Property rental issues

[SHO]

Totally agree with J4Hurghada.

Now is not the time to rent...best way to rent is privately through friends and family. If you are prepared to wait for a few years for a rental market to kick in then your on the right track. Those expecting to get 10% rental income without doing anything are going to be very dissappointed!

The rental market at the moment is long term, not week by week, in which case you are looking for about £200-£300 per month for a 2 bed apartment

[philthecar]

we were thinking along your lines in relation to rental of property at this time and are still considering whether we want to rent to third parties or maybe just friends and family. You are right in what you say staying in hotels is very cheap we have booked for a 5 star hotel next week all inclusive for 3 adults for under 300 pounds. Its the flights which are expensive.

[awahee123]

Rental threads old and new have now been merged.

[propertywatch1]

Has anyone given a thought to what would happen if a person who is renting your apartment was injured in anyway whilst staying in your apartment. Especially as most British are now going like the Americans and would make a claim for compensation for any small mishap.

I think things like electricity and the construction of the building needs to be looked at closely down to the height of the balconies etc.

Even for the person who is renting the apartment out needs to be aware of the replacement cost of some of the more expensive items he or she has placed in the apartment.

Its one thing keeping a deposit back until the end of the rental agreement is over but would it cover the replacement costs and how would one go about checking the apartment to see everything is satisfactory before the person leaves.

Just think how difficult all of this would be on a weekly basis.

[rosa]

I am considering buying off plan in Lotus Breeze development in Hurghada, I realise this area is condidered an 'emerging resort', but would be grateful to hear of anyone who has already purchased in either Sharm or Hurghada, what the possible complication are during the buying process and if renting out is successful?

[queenie40something]

Hi Rosa and welcome to the forum. I have bought in Nabq bay in Sharm. The development offers and management and rental scheme but to be honest the returns are not very good. It was about 8% on your investment per annum over 3 years and you could only use it yourself for 4 weeks of the year. Ok you dont have to worry about anything but there are other ways to rent it out. We have not made up our minds what we are going to do yet. The whole complex wont be ready until at least October this year. We may well just keep it for our own use plus friends and family. but if we need the extra cash we may well need to rent it.

[J4hurghada]

Hi rosa and welcome,
We have bought across the road from the lotus breeze a bit nearer to the beach at the oasis 1. We recieved our apartment last year but due to the location and building work going on in Hurghada the rental protential is low until the whole area is built up and the price of flights are cheaper. As I said earlier on thread be willing to keep it as along term investment and rent out to family and friends people you can trust not to damage your property.

[rosa]

Thanks for the info, hopefully within the next few years more cheap flights will be available to increase the rental potential, we feel the same that even if the rental income isn't great at the moment, it should still be a good investment in the medium-long term as regards to property value.

[Goldberg Global]

Maybe we should try to think like local people and other North African and Middle Eastern potential renters as well as from our own European country.

To rent to locals and other nationals is where the longer term action is, in my opinion and tapping into this market, is the interesting one. (or certainly another revenue stream)

[queenie40something]

Originally Posted by Goldberg Global

Maybe we should try to think like local people and other North African and Middle Eastern potential renters as well as from our own European country.

To rent to locals and other nationals is where the longer term action is, in my opinion and tapping into this market, is the interesting one. (or certainly another revenue stream)

Hi Goldberg - the long term rental income in Sharm for a 1 bed apartment is only about £200 - £250 per month to locals. It makes more sense for me to rent to the UK market as I could get that per week. I am in quite a good position at the moment as there is not alot of private rentals in Nabq - yet!
Personally I would not like long term tenants.
Be interested to hear other owners views.