…through Short Term Rentals
DUBAI 4 December 2018: Buying your first rental property is a major investment and can be a lucrative one, but there are definitely some precautions that should be taken.
Frank Porter’s CEO Anna Skigin, advises you to do your research, take your time, and get help when it comes to buying your first, second or third rental property.
Size: The first thing to think about is size, Anna suggests investing in single-family homes first since it’s the simplest and most risk-free way to get started. The upkeep is easier than multi-family or commercial properties and, with a single tenant, there doesn’t tend to be as much wear and tear on the property. With that in mind, the team advise purchasing studio, one-bed and two-bed properties – these are also easier to sell compared to larger three and four-beds.
Location: The second tip is to invest in an area that will bring a high return. In a crisis, they say the last thing to fault is the heart – the same ethos can be related to property. Buying in the heart of an area will always be protected and the last place to fail – with that in mind, in Dubai buying in the heart of an area is key. Investors should be looking at places that are close to amenities like malls, the beach and tourist hot spots, for example Jumeirah Beach Residence, Downtown Dubai (preferably close to Burj Khalifa), next to a golf course (which is key for some holiday makers) or near the beach. Also – consider picking a location close to public transit, rental properties near the Dubai Tram or Dubai Metro normally perform better.
Manager: So what is the next step? When you have purchased your property, finding the right company to manage it, is key – this will ensure you make the most out of your investment. Another thing to think about is your time. Do you have the time or desire to answer calls at 2 am to fix a problem? If the answer is no, then consider hiring a company that understands hospitality and has the ability to turn homes into a product that will compete with hotels in the market. The company you choose should be able to turn each property into a successful listing, complete with amenities, professional photography and description, styling (if applicable), daily adjustments of rates, friendly guest interactions, on-site availability, and cleaning and maintenance of the property.
“The time to invest in a Dubai property and put it out for short-term rent is now! The prices, mortgage rates and developer payments plans are at their most attractive – ensuring you will get the best deal if you spend a little time looking. Then, put your property out for short-term and make the most money – especially with the upcoming Expo 2020,” says Anna.