Guaranteed rent is a new trend in real estate and property management, and it gives owners a number of benefits that are hard to find elsewhere. Here are some of the perks that come with fixed rent:
Stable income from rent
One of the best things about guaranteed rent for landlords is that it gives owners a steady and reliable source of income. When using this plan, most landlords work with a third-party company that manages the property and handles the lease. With guaranteed rent, the company decides to pay a set amount of rent for a set amount of time, usually between one and five years. This payment is due whether or not the property has a tenant and whether or not the renter can pay.
Landlords can have more peace of mind and security when they work with a property management company that guarantees rent. When landlords sign a written contract, they know they will get a certain amount of money every month, even if they don’t have a renter. This means that owners don’t have to worry about empty apartments, renters who don’t pay rent, maintenance bills that come up out of the blue, or changing housing prices.
No hidden fees or costs.
Most guaranteed rent deals don’t have any secret fees or costs, which is another big plus. Some of the costs of standard property management methods include a percentage of the monthly rent or a fee for advertising empty units. These costs can add up quickly and cut into the landlord’s income. With sure rent, the owner knows exactly how much money they will get and doesn’t have to worry about fees they didn’t expect to come up.
Almost no danger
As was already said, sure rent gives landlords a lot of peace of mind about their rental property. This low risk is a good reason for many property owners, especially those who are new to property management, to think about this plan. The landlord won’t have to think about the ups and downs of the real estate market or whether or not their business will do well because of it. With guaranteed rent, landlords don’t have to worry about things they don’t know.
Property inspections will be less of a worry.
Another benefit of guaranteed rent that is often ignored is that the property management business is in charge of regular checks. This makes sure that the renter takes care of the property and keeps it in good shape. The property managers, not the owner, will take care of any damage, fixes, or other problems that come up. This means that the owner won’t have to worry about setting up repairs or checks.
Helps save time and work
Guaranteed rent saves owners a lot of time and effort because it takes care of the day-to-day chores and responsibilities of property management. The Property Management Company is in charge of visiting tenants, collecting pay, making fixes, putting up ads, and taking care of the house. This can be especially helpful for renters who have a lot of rental homes but don’t have the time to take care of everything themselves.
Better control of the flow of cash
Landlords can also better control their cash flow when they have a stable and regular income from guaranteed rent. With a clear idea of how much money will come in each month, landlords can better plan their funds, make faster choices about investments, and avoid having to pay out of pocket for property maintenance.
In conclusion, guaranteed rent can be a great choice for landlords who want to lower their risk and invest in real estate in a more quiet way. By working with a reputable third-party management company, they can get a steady stream of income, protection, openness, less responsibility, and peace of mind.