Facilities owned by condotel far above the ordinary apartment

The second option that you can do in a condotel is an investment. queens peak condo operational unit is handing you have to the hotel management that manages the condotel. The hotel management will rent your unit to a third party. From there, you can take advantage of the lease. There are two schemes that can be used in a condotel unit rental business you have, namely the guarantee scheme or for the results. If you choose the insurance scheme, usually the hotel management condotel manager that will provide a return on investment, which amount is about 8-12 percent.

This percentage is certainly much more profitable than liquid funds you deposit in a bank. So if you have a condotel unit in the area of Orchard Road is worth 8 billion and decided to make a managed rental business management with a rate of 10 percent per year, then you can earn 800 million annually. Divided by 12 months, each month you can pocket the profit as much as 66.7 million. Of that number will be cut by taxes. However, that does not mean this scheme does not cause any harm to you. Guarantee scheme has a certain period of time that makes the value of your property is getting down after each deal. If the above example is a guarantee scheme for three years, when the time runs out and you want to ensure a longer, its value will be reduced than before.

Meanwhile, the second scheme is the result. Here you will not get a definite advantage every month because the funds will be obtained adjusted to the value of the lease that occurred in the month. When the lease was a lot, you will be a great advantage. Conversely, if your condotel unit quiet visit, funds for the results obtained from the manager was thinking. In general, the comparison to the results for the rental unit condotel between owners and tenants range from 50:50 or 60:40. This figure looks quite fair and lucrative. You have to remember, the profit-sharing scheme, which is divided not just profits. Costs incurred in the maintenance of the unit portion will also be charged to you. The two schemes have advantages and disadvantages of each.