This may be a little premature as I havent started landlording yet, But I was just wondering by offering something like free Internet connection, you could really help your IP.
How many properties are offering Free broadband. I work with a company who sells it and I was thinking of looking into it , I think they have a national service with a 1800 number so It might be that little extra niche that could mean the difference between having good rent and not being another rental on the market.
So any other good ideas out there anyone wanna brainstorm.
You could even offer differnt prices for a property, if you work out the cost of leasing a computer and the cost of having internet. property comes with computer and internet for X amount extra a week, the bonus for the renters is they don’t have to know anything about computers or internet and dont have to worry about buying one of those new fangled contraptions there kids need for school.
what about large screen tvs or whatever the rental places have, as there deals.
A kewl little niche, or would it be like a pool and end up just bieng a burden and even a drain on the income.
another pro is after you set up internet in enough of your properties you can become a reseller and get the broadband wholesale.
Tom
hi word,
I am very interested in the idea of offering extras as part of rental agreements. I beleive you can turn an property well and truly cash flow positive this way.I have students in some of my properties, and the first thing they ask is “we need the internet”
Do you have that 1800 number.
How many connections do you think would be needed to become a broadband provider.
How much capital, where do we start.I would love to offer my tenants a broadband deal, and would love to get involved in a broadband business.
Want a partner?
lifexperience
Guys,
Get real here – you’re landlords, not amusement park owners.
It’s not about whether you WANT to give away stuff.
All that is important is:
How much does it add to the rent?
How much does it add to the value of the property?
Does it add to the long-term rental stability of the property?Anything else is emotion.
Cheers,
Aceyducey
interesting idea, but would it really create a bigger return than not having it?
” a blind man may see what a sighted man may not”
My worry is about non payment (okay not with internet, that just gets turned off) but with large screen TVs, etc. I think it would be hard to get a judgement for non-payment aginst someone who moved into your property, signed up for the deal and then re-neged on it (but still kept paying rent).
While a good idea in principal, practically speaking it looks difficult to do on a sustanable basis, without havig to worry about reapirs and warranites, to much risk (money and Time) for not enough reward in my humble opinon.
Interested in what others say though…
Rgds.
Lucifer_auI have one example of increasing rent from $130 to $315 per week by going the extra yards for tenants.
Acey, Would you like to buy shares in my amusement park business now or later?
[dead2]
Lucifer, All my payments are automatic transfers, no probs so far.[cowboy2]I am pro-extras for tenants. Why limit the satisfaction and service you offer.
If extras make money, why not consider such things?
[hat]lifexperience
Originally posted by lifeX:I have one example of increasing rent from $130 to $315 per week by going the extra yards for tenants.
And how did you do that LifeX.
It’s more valuable if you explain it.
BTW – did you know that the amount you’re allowed to increase rent for a tenant in any twelve month period is limited by law – this sounds like you changed tenants & probably the purpose of the dwelling.
Cheers,
Aceyducey
unless the tenant agrees….
I increased rents by including air cona nd dishwasher in two places, not in the third, dont like the tenants, ouch did i say that?
better served with the rent as is
” a blind man may see what a sighted man may not”
Extras were:
Furnishings = Beds, Desks, fridge, Washing Machine, Dining table, couches, pots, pans, and other kitchen stuff (you can get a lot from $2 shop which helps tenants settle in).Towels, linen and everything needed for first night.Include gas, elec, water all in rent.
Bonus 1100W oil column heaters for rooms (will save heaps on bills, compared to if they bought a 10amp fan heater too)
Ran computer cables under house for them.
Deliver wood for their wood heater.
Get a gardener.
Have a rent to buy system for furnishings too, but am still perfecting this.
As they are students, I also split the tenancy up for each room. They get all of this for less than the cost of staying on-campus.
Extra money you outlay at the start, but even including the extra expenses i incur, I have turned a property well +ve cashflow.[juggle]
Plus i hope word will spread on the service and extras provided, so i will have a better base of tenants to choose from.
BUT, my point was to not rule out extras for tenants. I believe that if tenants had to choose between a landlord who only did the minimum required and landlords who offer extras, they’d choose the latter. Y’know better props attract better tenants.[sunny]
The purpose of my properties is to service the tenants the best i can, not the least. As a reward, i get +ve cashflow properties in high growth areas (cap gains !!!)
Hope this is valuable[idea].
[thumbsup2].
lifexperience
Wow! (lifex) Sounds great! Maybe alot more work 4 u tho? But has given me some great ideas.What about if tenants steal/break your things??
Misty1,
I do the initial work on the house in the beginning, but have all extras done by others (jims mowing, fire-wood deliverer, etc.)Good point on theft and damage, I will let you know how i go. But there is insurance for some things and for the rest, i am hoping to absorb any extra costs like these with the other good properties. I am aiming for one huge problem house for every 10 props.
I can’t reccomend this system as time will only tell if it is feasible, no probs so far.
However I am getting more focused on my due diligence checks on tenants as i have more tenants to choose from.
As with all my ideas, time will tell. And I’ll keep everyone posted[daisy]
lifexperience
Originally posted by lifeX:Hope this is valuable[idea].
It’s very valuable lifexperience
Good use of creative thinking to really increase the rental return.
I have a number of mates who do well out of student housing & one mate (who’s back at uni) who worked out it was cheaper to buy & then rent out all the other rooms to students….the other students don’t know he’s the landlord
Cheers,
Aceyducey
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