In the ever-evolving landscape of property investment, there’s a growing trend that’s creating new opportunities for savvy property owners – serviced accommodation. Coupled with the professional touch of property management companies, this model can turn your property into a hands-free cash generating machine.
What is Serviced Accommodation?
Serviced accommodation refers to fully furnished properties that are available for short-term or long-term stays. These properties often include amenities and services such as cleaning, utilities, and a full suite of furniture, offering a “home away from home” experience for guests.
Serviced accommodation can take many forms, including apartments, houses, or even holiday cottages, and are a popular choice for travellers who want the comforts of home during their travels. In fact, serviced apartments are the fastest growing section of the hospitality and accommodation business worldwide, and they are now a popular choice for many corporate travellers, as well as leisure travellers.
The Upsides of Serviced Accommodation
There are several benefits to choosing serviced accommodation over traditional rental models or hotels.
- More Space: Serviced apartments typically offer up to 30% more space than a hotel room, making guests’ stays more comfortable.
- Cost-effective: Serviced apartments are on average 35% lower in cost than hotel rooms, making them a desirable option for those seeking accommodation for a longer period.
- Cooking Amenities: Unlike hotels, serviced apartments have cooking facilities, allowing guests to enjoy home-cooked meals during their stay, adding a touch of home comfort that hotels often lack.
- Flexibility & Privacy: Serviced accommodation offers guests the flexibility to live as they need during their stay. They can entertain guests, cook for themselves, or enjoy the privacy of their own space. Unlike hotel rooms, serviced apartments offer more control over services, like choosing the frequency of cleaning services.
Property Management Companies: A Key to Success
While serviced accommodation offers a wealth of benefits, managing such properties can be a daunting task, especially if you own multiple properties or live far from your investment. That’s where property management companies come into the picture. They take care of the day-to-day management of your property, allowing you to enjoy the benefits of your investment without the hassle of daily operations.
Here are some of the many benefits of retaining a property manager:
- Securing Trustworthy Tenants: Property management companies vet all their tenants first by looking at their background to identify any potential red flags. This ensures that you have tenants who will pay their rent on time, look after your property, and stay long-term.
- Finding Good Tenants Quickly: If a property is vacant, it’s not making money. Property management companies have marketing strategies in place to attract the attention of tenants quickly and reduce void periods. They can also suggest cosmetic improvements to enhance your property’s appeal.
- Longer Tenant Retention: A property management company can help you achieve longer tenant retention by maintaining good relationships with the tenants and addressing their needs promptly.
- Legislative Peace of Mind: Keeping up with legislative changes is a full-time job in itself. Property management companies keep you up to date whilst ensuring you meet your legal obligations, saving you from potential legal fees and fines.
- Maximising Rental Income: With their local market knowledge, property management companies can advise on the optimum rent for your property, and also manage rental increases, helping you maximise your rental income.
- Quick Response Times to Tenant Issues: Property management companies ensure any necessary repair work is carried out to an acceptable standard, without it costing the earth. They can handle tenant maintenance requests and emergencies calmly and professionally, ensuring you are not distracted away from your daily tasks.
- Property Inspections: Regular inspections organised by your property management company ensure that the tenancy continues in the right way and that the property is being looked after properly. These inspections also allow any issues to be resolved effectively.
- Managing the Checkout Process: Property management companies manage the moving out process, ensuring everything goes smoothly to minimise any deposit disputes and ensure your property is in a suitable state for your next tenant.
Conclusion
The future of property investment lies in the hands of those who can adapt and take advantage of new opportunities. Serviced accommodation is an exciting and profitable avenue worth exploring, and with the help of a dedicated property management company, you can turn your property investment into a passive income source.
Whether you’re a seasoned property investor or just starting out, it’s important to keep abreast of the latest trends and strategies to maximise your return on investment. With serviced accommodation and professional property management, you can unlock the full potential of your property and enjoy the financial rewards without the day-to-day stress of property management.
Remember, the key to a successful investment lies in understanding the market, offering a high-quality service to tenants, and ensuring the smooth operation of your property. With serviced accommodation and a good property management company, you can accomplish all of this and more.
Remember, your property is not just a building; it’s a business. Treat it as such, and it will reward you handsomely.
