We expect to  achieve a minimum 70% occupancy through short-term/ Corporate contract  rentals, given below is and indication of our projection of the yield we can generate for the the calculation is for a 2 bedroom apartment in Bengaluru (prices are based on 2006-2007 property value, which is on the increase year after year. Amount stated here are in  Indian Rupees and based on the rental market  at the time of publication of this document.)

* Based on renting out the property annually furnished
** Based on a Corporate contract rate of  INR 50,000 with 70% occupancy, less 20% management charges including maintenance, security check and upkeep of the apartment.

Although the figures will vary depending on the particular property, the table above clearly shows that the rental income from a short-stay property rental to Corporates in this scenario is much better than an annual rental.

Further more when the landlord (NRI) and family is on vacation in Bengaluru or short holiday they can stay in their own apartment – which is indeed  now maintained by us like an Hotel apartment. From our experience we have seen once the apartment is given out for an annual rental – the state of the apartment is not worth mentioning. Most of the NRI’s invest in property in Bangalore as part of their dream home in the garden city and now the dream home would have lost all its charm by the conventional annual renting – on the contrary you cannot leave your property locked – because of the deteriorating  local security situation all over. 

This makes it a far more lucrative and compelling choice to work with us for even the most risk adverse investor.

Further more we also have foreign customers who are visiting Bengaluru on business and leisure – we will be marketing your property internationally for this venture.

ASSESSING RISK

There are  risks involved in investing in property and are not  much different from any other investment, but often with less management time needed and the possibility of a higher return. Any venture into property acquisition is going to be exciting, but it is important that it is profitable. In acquiring rental properties, an investor must first decide what they want to accomplish, and over what period of time.

Investing in property and letting them out has been in vogue in Europe and USA and is an alternative to other forms of investment, plus you are increasing your asset value. We now bring you the opportunity particularly with the short-term rentals. The risk factor is relatively low, and In Dutch Pvt.Ltd can guarantee its clients a minimum long-term rental income, although it has a proven ability to achieve much higher returns as illustrated above. Plus you will have the place maintained in style.