Your Guide to Fixing Underperforming Property for Rent in Dubai
If you are an investor concerned with the underperformance of your property for rent in Dubai, here are some tips that you can consider so you can be effective renting out your properties.
1. Assess your property’s financial performance.
Doing a financial analysis of your property will help your figure out how you can make solutions for it. It is important to look into the following factors:
- Cash flow
- Cost of Maintenance Fees
- Capital Growth
You may need to seek the help of a professional real estate agent for proper valuation of your property or rent in Dubai. This will help you know if your property value has grown vis-a-vis your current rental rates. It also helps to know the vacancy rates in the area. Low vacancy rates means rental rates are likely to rise in the long run. This can be one of your indicators to determine the right rates for the project.
2. Study your market’s demands.
To effectively market your property for rent in Dubai, you have to know what the people wants. Research on the demographics of the area. What is the age bracket, profession and the top preferences of the people in the area?
If most of the population are large families, your one-bedroom apartment for rent in Dubai may not be the best product for the area’s market. If it is possible, you can renovate your property to add an extra bedroom to increase its market appeal. You can also add additional features such as security equipment.
3. Renovate and clean your property.
Nothing beats Dubai properties that exude fresh ambience. Renovation does not necessarily mean a hard overhaul. It could be giving your property a fresh coat of color that suits the latest interior design trends. Choose colors that appeal to both genders, unless you target only the female market or otherwise.
Replace your old furniture and carpets and remove outdated elements. Fix broken doorknobs and patch those wall cracks. Making your property for rent in Dubai look ‘good as new’ does not have to be expensive. Sometimes, all it takes is one hard cleaning session to make the property more attractive to customers. A filthy property is a major turnoff for potential for renters.
4. Furnish your property.
Among the factors that makes a property attractive to customers is being one that provides everything they need. Furnishing your property for rent in Dubai with basic appliances and furniture will allow any scouting client to prefer your property over your competitors.
There are a lot of furniture stores and appliance centers in Dubai that offer cheap yet quality products that you can add to your home. Adding value to your property will eventually get you higher and quicker returns as customers will be more willing to pay more for the add-on features.
5. Be patient for returns.
Investing into all the overhauls may frustrate you if you think returns would take a lot faster than expected. However, as in all investments, getting positive results takes time. There are instances when an underperforming property for rent in Dubai suddenly increases in value over time. So don’t cut your losses immediately if you feel like nothing is happening with your property after the changes you made. Give it some more time, especially if you have studied that it has strong potential returns in the future.
Your final option after doing analysis, increasing property value and patiently waiting is cutting your losses and selling the property. Consider other opportunities and look at other areas where there is better potential market and where there is constant demand.
Get to know more about Dubai properties
To know more about the different properties for rent in Dubai and properties for sale in Dubai, visit our projects page. Here you can easily access prices, features and amenities that all homeowners look for in a home. If you are planning to invest in properties for rent, our portal will help to find the best property in Dubai that suits your preferences, style and budget. Start browsing now!