Apartment/ Real Estate Rental Tips, Please?

[sweet angel]

^sis, balitaan mo kami kung mas ok yung ganyan. kumuha akong pre selling na condo, pagturn over ganyan din sana balak ko...mas bare pa 

good luck sa pagpaparent

[Ms. Lavender]

We reserved 3 units of low cost housing sa bulacan area thru pagibig financing. 2,800 per unit monthly for 30 years ang babayaran namin. Paano kayo nagcocompute ng rental fee? Maliit lang yung unit 26 sqm lang yung floor area then 31sqm yung lot per unit. Reasonable ba kung 3,500 per month and singil namin?

[eischied_21]

^sure sis, I'll update here kun may mga inquiries ba ako matatanggap once I published the unit online

[liana]

^Thanks liana. Your input is very much appreciated and helped me in decision-making. The building doesn't allow airbnb kasi, 6-months to 1 year ang minimum stay for leasing.

Welcome sis and good luck!

[el presidente]

Hi there mga readers. I am putting my unit for rent sa Shine Residence. Bare type sya and the rent is negotiable. Studio de Luxe with balcony.

[Rory_Lorelie_Gilmore]

Joining for reference. 

[m0ncheri]

Done reading, now subscribing. I plan to invest in Real Estate din in the future. 

[Tea97]

Kung foreigner ang tenant nyo, do you require PDCs? I asked my Chinese tenant, kaso mahirap daw sila mag open ng checking account - what are normally required from a non PH applicant? Kasi I have a checking account pero simple lang requirements sa akin like government issued ID and utility bill. If not what are the other ways to collect the rent without a lot of pain (ie collection or direct bank deposit which is quite risky bec they can leave anytime and walang cheke to hold them back). I also have a sec dep pero sometimes that might not be enough deterrent to just leave the unit with them.

[LilaFowler]

Don?t accept sis pag walang PDC. Kasi sobrang hirap mag collect. Plus, since foreigner sila, ang hirap maghabol.

Passport lang kailangan and another ID to open a bank account. Walang difference between opening a normal bank account and cheque account. I opened one before as a foreigner.

If ayaw nya ng PDC, ask for rent to be paid in advance.

Also, make sure you are allowed regular inspections to the property. May tenant kami sa family property, trashed the place. They left only the P28k deposit, the estimate to make the property livable is P300k kasi it needs new kitchen, new bathroom, new floors. Could have been avoided with inspections.

[eischied_21]

^how many times do you think ang reasonable inspection in a year?

[LilaFowler]

Once every 3 months siguro but make sure give ample notice (7 days).

[Tea97]

Parang yun mga Chinese in that area (Makati) are in a 'bonded slavery' -  apparently their passports are held back from them, kaya di makapag open ng bank account. I was going to suggest he ask his HR to issue checks for him, or at least print out a certification that his passport is with the Bu of Immigration etc to help him with his living accommodation.

And yes, agree with the frequent inspections - I did it once every 6 months though, but might see if we need to do something more frequent with the new tenant.

[sweet angel]

mga sis, balita sa mga pinaparent nyo? matuturn over na yumg unit ko, wala akong budget para i-furnish so bare ko lang papaupahan...ok naman magpa-upa ng walang gamit?

[D4thAngel]

mga sis, balita sa mga pinaparent nyo? matuturn over na yumg unit ko, wala akong budget para i-furnish so bare ko lang papaupahan...ok naman magpa-upa ng walang gamit?

Kung condo yan sis, better kung furnished. Karamihan sa naghahanap ng mare-rent na condo, gusto may gamit na. Besides, kung furnished yan, naka fixed ang arrangement ng furniture mo, hindi palipat lipat, so mababawasan ang scratches sa flooring.

[eischied_21]

^^ Better na furnished na yun condo if you plan parentahan. You can also advertise it online or get an agent and try for few months kun may mga inquiries kang makuha for renting it as Bare.

[Tea97]

Meron din nag rrent ng bare - pero of course mas mababa than furnished ang upa (usually around 5 to 8k lower). Considerations mo should cover:
 - livable na ba yun current state ng unit (ie may toilets, flooring and kitchen cabinets na) so tipong furniture na lang ipapasok
 - kung students ang target market mo, ideally furnished na - but then of course check their capacity to pay, and get guarantee from parents kung pwede. If working millenials na matipid ang market, minsan ok lang sa kanila na bare, kasi they only rent to be close to their office, and if nagtrabaho na sila dati, may basic furnitures na sila which they bring with them when they change jobs within 1 or 2 years.
 - magkano available budget mo for furnishing the place. Kasi kung magpapalagay ka pa ng built-in kitchen cabinets baka abutin more than 100k ang buong budget.

Maybe look at it top-down = ie look at sino market mo - if market mo is expat na more than 20k paupa, then go ahead kahit abutin ng more than 100k reno mo, kasi mababawi mo naman eventually from positive cash flow. And you can also benefit from installment purchase ng big appliances (aircon, TV, rangehood, etc).

All the best! Renting is a good business, as long as you can be on top of issues all the time. Slow but sure way to wealth creation ang real estate investing.

[eischied_21]

^ Well said @Tea97 esp the "All the best! Renting is a good business, as long as you can be on top of issues all the time. Slow but sure way to wealth creation ang real estate investing."

^^ If your unit is bare "as in" like wala pang tiles, 1st coat lang yun paint, etc - you can also market it as storage room for other unit owners or private contractor ng building para lalagyan nila ng mga tools and equipment nila. I remember my contractor kasi she told me that they were renting a unit in the same building para dun nila ilalagay mga gamit nila and appliances ng mga client habang ginagawa yun unit. Ayan may tip ka na a . Good luck!

[Tea97]

Who's renting out via AirBnB, Rentpad or yun mga short term? How do you handle security deposits, breakage/pilfering? And how much time resource do you allocate for doing the routine, ie welcoming guests, checking out etc? Pwede siguro i-automate yun with the new smartlocks coming out but not entirely sure if anyone here has done that yet. Also what sells better sa short term -  studios or larger units (ie 2BR at least)?

Puro kasi ako long term rentals, but I'm thinking of doing short term (ie weekly nga lang not on a daily basis kasi malayo ang bahay ng caretaker ko from our rentals) if I can justify the costs of hiring a co-host or a part time coordinator. Gusto ko sana itest yun market, but apparently it will take at least 6 months to do the marketing, renting test phase, plus I think I need to register the biz.

[rics]

Subscribing to this thread.
Our unit was just turned over to us and we plan to rent it.  We are based abroad.
Megaworld has this program na sila hahanap ng tenant and we'll pay them 1 month (or was it 2 months) rent for 1yr rental. Ok na rin siguro. Pero we wanted to try Airbnb before we commit to a long term rental. Sa nabasa ko dito, dapat ba talaga we have to get all the permits to be able to rent out the unit?  we just want that yung rental fee atlest ma-cover yung condo fees, etc. saka of course income din ng konti. We have somebody who will be our caretaker, so we don't have any problem in that area. If we rent out long term, min. 6mos dapat. But where to we start?

[Tea97]

Not sure paano ang tax collection sa AirBnB. Pero kapag individual/private landlord, basta hindi lalampas ng 1.8m ang rent collection in a year, hindi sya papasok dun sa 3% na gross tax receipt - this was the advice given to me several years ago (2017); baka kasi nagbago na dahil sa TRAIN law. Kapag nag ffile ka ng ITR sa PH, kelangan mo ideclare siya as other income; pero kung hindi, wala na tax ang pagkaintindi ko kasi below the taxable threshold ang monthly income.

Maganda nga na may income pa extra, apart from paying the HOA dues, amilyar, and amort if applicable. Start with how you want to market your unit - FF (fully furnished) or Bare, then start taking good stock photos of the unit itself, the surroundings (the view if meron), swim pool if you think it can attract more tenants. Be clear in your advert kung anong terms mo, sino sasagot sa HOA dues para di sayang oras mo sa pag reply, lalo na overseas ka pa mahal mag text back.  Under the law pede mag demand ng 2mos sec dep. Also make sure you rental is more than 10k (if in MM) - if not, it will be under the rent control law and you cannot increase your rent by more than 10% pa (AFAIK). Ask for 1 mo advance, and remaining rent in PDCs (para di ka na babalik mangolekta and si caretaker mo na lang mag ddeposit sa account mo).

Get the following forms ready:
a. Tenant info sheet - where you get all the residents' profile, contact details, source of income, proof of address (eg. utility bill). Get at least 1 government issued ID.
b. Ask for a landlord reference if nangungupahan na dati, so you can assess kung maingat ba sila sa gamit, o hindi nakakabayad sa oras (pinapaurong yun pagbayad sa cheke).
c. Lease contract - which is your operating manual kasi lahat ng potential events should be covered, such as pre-termination, damage to property, illegal use of unit, sub-lease, lease assignment due to sudden need to sell the unit, mag liability limitations.
d. Speak to your admin ano pala allowed - pwede bang short term or lahat long term. Hingi ka na rin ng forms (move-in, move-out, gate pass, etc), plus sabihin mo si caretaker mo ang official rep mo para he/she can sign forms for you. Ask mo rin paano procedure ng move-in - sino magchcheck ng water and elect meter, yun ibang units (like Cityland) sariling sikap, whereas yun iba naman si Admin na nag chcheck. Meron din ibang units maarte may bayad pa kapag may nag move-in e wala namang added value ginagawa kasi di naman sila yun nagchcheck. Make sure sali ka ng homeowners group para up to date ka sa mga issues ng admin at ng condo.

Ingat ka nga pala sa mga ibang estudyanteng 'rich' ha, kasi baka mamaya gamitin unit mo for other purposes, madawit ka pa sa gulo. Normally kapag college student hingi ka ng recommendation from Guidance Counsellor o parents.

God bless! May forms pala ako above - let me know if you want any of those forms.