Investing in real estate is most certainly a great source of long-term additional income. Many homeowners understand this and inherently rely on income from home rent for their daily expenses. Some owners even choose to rent out their unused private parking lots if it means extra cash. Luxurious apartments in prestigious areas such as Gulshan, Dhanmondi, Banani, and Baridhara, often have multiple parking lots to their name. Apartments in these areas usually come with two or three parking lots and therefore have more scope to rent out if one or two are unused. Here are some things you should know before you hang up that signboard of letting your parking space!
Check Whether You Are Eligible
As a homeowner, you have signed the deed of agreement when buying the apartment and must have paid a separate amount for the parking lot. This establishes the fact that the parking lot is also essentially your property and you can choose to rent it out if you wish. Some apartment complexes and government-built properties might not allow renting parking lots. Do check your agreements and concerned authorities before giving your parking space to a tenant.
Screen Potential Tenants
Your parking space is a lucrative spot for many, especially tenants who commute with bicycles and motorbikes. Of course, it is easier to know more about tenants already residing within the building and it is also better to prioritize them. However, if you are looking for an external tenant who does not reside within the building but wishes to use your parking lot, then you need to screen them thoroughly. When such an individual knocks you for your parking space, do take their ID details and set up a formal agreement with them. You can even use a third-party service for further safety. The third-party will screen tenants for you and get you the right fit! They will also help you set up an agreement and mediate negotiations of the rent amount, which depends on the type of vehicle to be used. Usually, prices are higher for those using the parking lot for cars than for those using it for motorcycles or bicycles. You can also choose to not use a third-party agent, and instead place rent ads yourself in various ways. You can network with your family, friends, and colleagues to find reliable people willing to pay rent for a parking lot.
Consider Access and Safety
Your parking lot is also your property, so if you have junk lying around there that is wasting space you should remove it for easier access. Inform the security staff and everyone about your new parking lot tenant so that there are no discrepancies and so that the tenant can move in and out easily. Safety is also crucial here. If it is a tenant not residing within your building it will be harder to follow his or her schedule. Some buildings shut the gates by 11 pm and some even earlier. The tenant must adhere to building committee rules and ensure no property damage. You could install a CCTV camera from Get Smart by bti in your parking lot just to be on the safe side. This will allow you to keep a lookout for any shady activities in your parking space.
As the number of apartments is increasing at a steady rate post-pandemic, the number of parking spaces are also simultaneously increasing, allowing homeowners further opportunities to make extra money. On the verge of more income without extra effort, it is crucial to do it the right way, so that there is no issue later on. Remember that while verbal agreements can be acted upon it is still not formally legal. The same applies if you are willing to sell a parking lot. Therefore, using a third-party service such as bti Brokerage would make life a lot more hassle-free for you! From screening tenants to proper inspection and finalization of agreements, you would have absolutely nothing to worry about.