Are you looking for an effective and stable investment channel? You think that investing a house for rent will help you to get the expected cash flow but you cannot be 100% sure. An Nhien Hotel Apartment would like to give 7 tips for helping you to be more confident in your decision.
- Choosing the form of investment and customer segment:
If you have already had a land, then you need to consider to choose the form of investment to optimize the efficiency of your land. It’s difficult to find tenants when investing an office building in a small alley. Or it will be extremely wasteful to build a students’ accommodation right on the main street frontage.
You should find a professional company that thoroughly advises on how to invest in a rental house to exploit your land in the most effective way.
After defining your exploitation purpose, you need to think about the customer segments you want to target. With each segment, the initial investment amount will vary. At the same time, the income brought in the future is also different. You must think carefully about invested capital and income in order to make an accurate decision. In addition, when choosing a customer segment, you need to be mindful of your ability to find customers in that segment.
- Searching land:
If you are looking for a land, you need to identify the purpose of the exploitation and the budget that you have. Select the optimal location in the selected positions.
For example, if your goal is to invest in a rental house in the form of a serviced apartments and the maximum budget you can accept for buying the land is 20 billion Vietnam dongs. You can choose many lands in districts 1,2,3,10, Phu Nhuan, Binh Thanh within only 20 billion Vietnam dongs. Then you should prioritize to choose the land in District 1 because the serviced apartment model is often preferred by foreigners, but foreigners coming to Vietnam will prefer to live in the central district, where concentrates almost all of the quintessence of the City.
After you have owned the land with clear exploitation purposes, you begin to choose the customer segment you want to target to make the right investment plan.
You must pay special attention to the design if you want your rental housing investment to be effective. When you enter the design phase, you have already identified the customer segment you want to target. An optimal design is not only based on the ability of the Architect, but also the understanding of the customer according to the segment you choose. There should be a close coordination between Architects and sales professionals in this segment. This helps you optimize the cost of investing in your rental house. You will not be wasted on unnecessary items that even make customers uncomfortable, and spend money on items that are your plus point in the decisions of customers.
You cannot skip the construction phase. It is necessary to carefully select a contractor with reputation and experience in the field of rental house that you invest in. Bidding should be organized with the participation of many different contractors so you can refer to the price and quality of your project. In addition, the construction also needs to be closely monitored, ensuring the progress and quality of the project. The more you focus on the construction process, the less pressure you will meet to operate it.
- Building price policy:
You need to refer to the selling price of the market in the same area and customer segment, determine your strengths compared to other investors and you can build a competitive price policy to ensure expected profit, match the investment in rental house and periodic operating costs.
- Selection of distribution channels:
You should choose the right distribution channel, it is necessary to consider between self-exploitation, full-package lease or cooperation with experienced operators to optimize the efficiency of investing a rental house. The size of the building will affect your choice. Exploiting the project requires capacity and experience in many different fields: the ability to find customers, the ability to handle problems that arise during the operation. You should ensure that your exploiting is efficient, at the lowest cost, to achieve an estimated profit.
- Building relationships with customers:
If you directly exploit or lease all, you need to pay attention to building relationships with tenants to have a loyal and stable number of customers to ensure revenue for you when investing in a rental house.
To decide accurately on your rental housing investment, please consider the above suggestions of An Nhien Hotel Apartment. In particular, you should not overlook in planning revenue, cost, profitability and understanding the needs of potential customers. These are also the strengths of An Nhien Hotel Apartment in the serviced apartment business for foreigners, with more than 10 years of experience in the financial industry and 5 years of working directly with foreign customers.