So You Want To Be A Landlord On Pei

On PEI there are basically 2 types of landlords

. There are conventional landlords that rent homes and apartments to residents. Then there are specialized landlords that rent cottages and summer homes to tourists and summer residents.

The marketing for these are completely different but much of the knowledge regarding the business of rental is the same. You may have a property that you are seeking to rent already. This may be a home that you are leaving either because you are upgrading your residence or because you are leaving the island and you want to keep your property as an investment. However if you are looking to purchase a property for rental then you have a few choices to make.

If you are interested in the local rental market and renting a home or apartment to an island resident you should most likely be looking for a home in the city. Summerside offers a variety of property. You could purchase a starter home. There are many in the west end of Summerside. These are small homes on small city lots. However they can start as low as in the 50s and go up from there depending on size, location and condition. These can be rented with or without utilities and create a positive cash flow as well as building equity. Remember that there are some rent control restrictions and that renting without utilities will help to ensure that you dont get caught in the inevitable fuel oil price increases however you should note that rentals that include heating, particularly at this level, are more popular.

Summerside also offers larger heritage homes, some built in the 1800s and with spectacular architectural features that have been or can be converted to apartments. These are potentially excellent real estate investments.

If you choose to focus on summer rentals, cottages and summer homes then you will be looking for property outside the city probably in the area of Cavendish or other North Shore areas. This is the islands prime tourist area. Although there is a market for the simple cottage, if you intent to service this market you would be advised to buy a property with several or more cottages as you will need the income from many to promote your operation and net an income. Otherwise buy a single luxury rental that will bring in $2000 per week or more in rental.

As vacation property requires a lot more work on the part of the landlord including garden, repairs and maintenance as well as the weekly clean and check out/check in procedure you might consider hiring a property manager experienced in holiday rentals to look after your property. They will usually work on a percentage basis and many will look after the marketing of your property as well.

There are property managers available for everyday rentals as well but most of the rental market in PEI would not afford you this option. If you are renting starter homes you will have to be your own property manager. The same really applies to the lower end cottage rental. It comes down to a matter of economics. However PEI real estate is such a bargain when compared to other provinces that becoming a landlord is very appealing.

by: R. Parker

POST COMMENT

Is Living In Costa Rica Right For You? Advantages Of Becoming A Ccma Member Happy Little Costa Rica In America - Civilized, Prosperous, Orderly And Most Of Its People Whites. Helping Your Executives Relocate To Costa Rica.20 Tips For Finding The Best Real Estate Professional Choose Homes In Houston Heights For A Perfect Family Homes Foreclosure Help: How To Avoid Foreclosure Properties In Playa Del Carmen And The Ways To Ensure Reliable Deals Concrete Masonry Unit Applications. Blue Bayou Resort: Movies At The Beach Managing Rental Homes With Utah Property Management 4 Guides To Finding And Buying Investment Property Istanbul Property For Sale Market Creating An Apartment In Your Pei Home