One of the most profitable ways to utilise your property is by renting it out as corporate housing. With more and more businesses growing daily, many companies look towards renting houses for employees, and if you’re someone in the property business that can cater to these clients, there are a lot of benefits to expect.
Beyond just that use case, corporate housing is temporary housing provided to business travellers, relocating employees, or those in need of short-term housing, and it is becoming an increasingly popular option due to its convenience, cost-effectiveness, and comfortability.
Here’s what makes corporate housing so beneficial, and why you should be travelling down this business path too!
A Steady Flow of Income
Renting your property out as corporate housing guarantees a steady flow of income as its occupants are usually long-term tenants. Corporate housing often attracts business travellers, relocating employees, and families in the process of relocating, and they are willing to pay higher rates to secure a comfortable and safe space for the duration of their stay.
Less Vacancy
Corporate housing has lower vacancy rates in comparison to traditional rental properties. As long as your property is priced appropriately and maintained well, it can quickly attract tenants that need short-term housing. You can rest assured that your property will remain occupied for an extended period, bringing in steady revenue streams.
Furnished Rental Property
Corporate housing rentals are usually furnished with basic appliances, furniture, and necessary amenities. Since corporate housing is expected to have all the comforts of home, it is an excellent opportunity to market your property to prospective tenants.
Besides, a fully furnished property can also help attract higher rental rates, making it a more profitable rental opportunity.
Low Maintenance Costs
Corporate housing typically demands less maintenance than a traditional rental property due to its nature of accommodating short-term tenants. Since most of the tenants are only staying for a few months, wear and tear on the property is minimal.
High-quality furniture, appliances, and fittings are needed, so any maintenance required is fixable more quickly, and the furnishings can be replaced upon their departure.
More Responsibility Rests on the Tenant
One of the most significant benefits of renting your property out as corporate housing is that the tenants are usually responsible for the utilities, upkeep, and supplies required for their stay.
Unlike traditional rentals where landlords must manage all the aspects, a corporate housing rental results in less work for the landlord. This allows you more flexibility in running your property business, leaving more time for an additional income stream.
Bottom Line
Renting your property out as corporate housing is a smart move for property owners or property managers looking for additional passive income. The convenience of corporate housing, combined with its profitability, makes it a great option to maximise your investment.
The steady stream of income that corporate housing brings, low vacancy rates, pre-existing furnishings, and less maintenance costs make it an attractive opportunity that should not be overlooked. Start thinking about ways you can market your property to your new corporate tenants today.