What you should expect when you rent an apartment


How many apartment landlords repaid over pay and how much contrast, well earns? Accurate statistics exist. But the truth is that inexperienced landlords are based on experience of financial consultants surprised cost with which did not count rent apartment in Prague. What are the main costs to the landlord waiting for?

The first cargo of the Realtors commission for mediating contact with the new tenant. Realtors may have different rules. Try to conveniently deal. Another cost of lost profits are months when the tenant has rented an apartment.

What you should expect when you rent an apartment

This is confirmed by the story of Eva čtyřiatřicetileté from Prague 4, which to my apartment 3 +1 looking for tenants for four months. She decided to keep the price high rent, but I guess it more worthwhile to compromise their standards and finally rented apartment. "Perhaps even worse is when the tenant stops paying rent and you need to move out. Landlord is in law, but its enforcement can get a little "play" on the nerves, "says John Lener, financial consultant Broker Consulting.

Tax and maintenance
There also remains considerable expense tax. The tax base is, however, possible to reduce the necessary and demonstrable costs to achieve this income, and can be applied also to "flat rate" of the legislation.

Real estate brokers agree that after 3-5 years is flat "vybydlený" whether anyone lives in it. There may be wear flooring, it is necessary to re-paint it, knead nail holes in the wall. Some kitchen appliances may require some maintenance. With the need to be anticipated.

The apartment tenant and communicate with someone to care for. It is either money or time. It is necessary to pay the bill and charges for energy services. Some owners have also set fees for rented apartment. A few hundred crowns prepares you also need insurance of housing units that will appreciate at the time of the occurrence of an insured event. Appear, however, a number of other costs.

Profit wait about one-third less
It follows that the lower estimate of the profit from the agreed rent of 1/3 is reasonable and adequate. Who sets the example for a three-room flat in Prague for rent 15,000 per month, they must reckon with the fact that he actually left 10,000 crowns a month (this is a rough estimate - each apartment is a different amount). If the market value of the flat four million crowns, then the net income from the lease only 3%. This is not far from the highly liquid savings accounts or conservative investments.

It would therefore seem that renting the apartment is not very competitive. This is not always true. The prices of some flats may increase in the future, the rental income is added and investment appreciation. For some this may be relatively stable regular income the right nut. There is always a need for access to renting a flat as reasonably to any other investment and weigh all the "pros" and "cons".


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