Property rental valuation
Every landlord in Dubai knows that it is easy to find real estate broker but difficult to find a decent tenant.
Now, how to estimate the right asking price when looking for a tenant?
Don't seek for a clear answer by just checking property portals such as dubizzle.com or propertyfinder.ae. Calling real estate agents with this question will lead you to discount the price before negotiation starts, your property in a moment becomes the cheapest deal in the market.
Here are the guidelines that will help you more:
- Competition rate in your area
Check how many similar units are available in your area. If the availability is limited then your target is to define advantages and disadvantages of it. Limited availability is mostly a positive sign but sometimes it may be due to lower demand.
- RERA rental price index
RERA rental price index shows you a gap between registered minimum and maximum achievable price in your area.
- Payment terms
There are lots of ways to agree on payment terms with your tenant. This is another opportunity that is connected to annual rent amount. 1 cheque term can't be equal to 12 cheques scenario. It is important to say that asking for 1 cheque has more disadvantages than advantages for any landlord, obviously, 1 cheque avails the minimum annual rent amount for the tenant to pay.
- Tenants management
When it's time for viewings, make sure that property manager assists potential tenants referred by professional brokers. Unprofessional real estate broker treats the customer in a wrong way, the client becomes emotional and your property is of the interest.
- Appropriate negotiation
Keep a room for negotiation to avoid aggressive "Yes/No" talks. The market always supports negotiators, so doing it in a correct manner will let you select a deal within the number of offers.
BSO Real Estate Management makes accurate rental valuation considering it's importance prior to marketing and viewings.
Request BSO to make a complimentary rental valuation of your property.