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Back You are here: Home Property Buying, Selling, Renting Long Term and Corporate Lets

Long Term and Corporate Lets

Many buyers are looking to purchase a Bulgarian property which is suitable to rent on a long term basis or is suitable for corporate renters. We take a look at how to succeed in renting your home to these tenants. The first step is to make life as easy as possible for yourself and buy the right property.

It doesn't really matter if the bedrooms are on the small side but you should look for a good size living room. A key factor for tenants is having an en-suite bathroom to the main bedroom.

 

Choose a property with square or rectangular rooms as irregular shapes can make tenants feel it will be difficult to live with.

 

Letting Agent

If you want your property to be rented quickly, then you'll need a good letting agent working in your area. Their presence in the local market through a high street location and/or their presence on the international market are critical. Buying a Bulgarian paper is one way to find out which agents advertise on a regular basis. Those agents are likely to have a constant stream of tenants. Undertake some searches on the internet with keywords your potential tenants might use and see which agents do well in the results; these will be the agents your tenants are likely to find too.

Keep in touch with your letting agent, ask about the number of viewings. If your property is slow to rent you will need to find out why and sort out the problem.

 

Interior Design

To secure higher rent and a quick let, furniture and a sophisticated interior design look are key. The right look will rent your property within three viewings. This will also bring better quality tenants who will take more care of your property.

We are often amazed how many people spend hundreds of thousands buying a property which they wish to let, then buy cheap furnishings and fittings. Buying quality furnishings, whilst more expensive initially, will save money in the longer term as they will be more robust. They'll also provide a wow factor to attract a better rent. You'll need a colour co-ordinated, well thought out, stylish and spectacular look. The sofa and armchairs are particularly important. Don't go overly contemporary, most tenants prefer sofas which are not so narrow with cushions not too hard. A modern look may appear great but can be uncomfortable. Once you've furnished and decorated take really high quality photos. They are your best selling tool and excellent photos which make your property look amazing will set you apart.

 

Parking

With apartments, a parking space or garage will make your property much more rentable. Particularly in places such as Sofia and Varna where parking can be a real nightmare.

 

Apartments

Talking of apartments, try to avoid buying on a large site where the apartments are exclusively sold to investors. Keep away from developments with more than thirty units. When lots of properties come on to the market for rent at the same time, there will be over supply and you are less likely to find a tenant at the rent you want to achieve.

Check out the management of the apartment block. A well run company will make sure the common areas are kept clean and will make sure the building is maintained. Take an active role in the management company if you can. Effecient management of the building will make your property more desirable to potential tenants. If the management company is not doing their job, get them changed fast. If the majority of owners in the building are active in the running of the management company this will impact on the level and standards.

Apart from long lets, there is also the corporate short term rental market. Frequently, corporate lets can provide strong returns. The property will likely also have less wear and tear from corporate tenants. There is a significant number of overseas companies who are bringing staff to Bulgaria for six month periods, particularly in the large cities of Sofia, Varna, Plovdiv, Rousse and Vidin.

 

Rent

How much rent? The answer is not to be greedy. An overpriced property may take months to find a tenant, and may never even achieve it at all. It is pointless asking for more than is achievable as the property will just sit empty for months. If renting in a very competitive market, try to set a price which is just under the competition. It might not seem the right thing to do but it could well be better to get a tenant than the property is left vacant. Be realistic and don't be greedy - the key is to get the property rented as quickly as possible.

 

Getting Paid

Getting the rent paid. Only you can decide whether you want this paid by direct debit or by cash. Straight into your bank account is best. Check your account every month and if the payment is late, write to your tenant and tell them you are unhappy with this and tell them not to repeat it. Asking for two months (or even six weeks) up front as a deposit can help you at the end of the tenant's term as some withhold the last month's rent as a way of getting their deposit back. If there has been any damage to the property, the deposit is all you have to use.