One most important factor when considering an investment, or condo investment in particular, is the potential for a passive income. Without it, you could have a liability instead of an income generating asset. And as a condo owner or a condo-owner-to-be, I just hoped that you have thought about the outcome of your investment. Have you? Surely buying a condo is an exciting activity, but too much excitement should not blind from what lies ahead.
Passive income is almost always the goal when condo investing. Right now, you may be searching or looked at several condos already. But the right question is “Is there a high potential for a passive with this condo investment I am looking at?”.
For a condo to be a good condo investment, there must be a stable rental market for it. Obviously, a stable rental market are ones who will pour in the passive income that you want. And a stable rental market is one that you should be looking for first. That is why you invest in the first place right? For a passive income? I’m pretty sure that no one wants a condo investment property that drains you money instead of giving you more it. And where can you find a good rental market? Here are some suggestions:
It is very common to see a row of rental apartments, rooms for rent, and bed spaces for rent every time there is a nearby university or school. The reasons is simple, schools have been proven a lot of times to be a stable source of potential tenants. Since most students are coming from outside Metro Manila or even outside NCR, renting a temporary shelter is the most common option for them. Victoria De Manila 2 along university belt(u-belt) is one good condo investment option.
Can you find a lot of tourists nearby universities? Of course not. Tourists is a different group of potential rental market with a different set of needs. Having said that, this means that your condo investment should also have unique features that will fit your target market’s needs. One rising trend I have observed the increasing number of satisfied tourists who rented a condo nearby or at the ASEANA Business Park(nearby Mall of Asia and Roxas Boulevard). This master-planned business, leisure and residential community just carry a very high potential for a great progress. The place is dubbed as the ” soon to be the mini Las Vegas of the Philippines”, the tourists will surely love it, I’m excited.
I’m still searching for more evidence about the third group of potential rental market but as of this time, I hope the first two above will give you an idea on which rental market to pursue. As a property specialist, I heared about condo owners or condo investors who wanted to re-sell their condo after two or three years of ownership. The reason, a lack of rental market or potential tenants. To know more about pursuing potential tenants, this condo leasing tip should help.