The importance of estimating the rent
When you want to rent out your furnished apartment in Paris for the first time, you have the right to list the property at the rent you wish. But as soon as you re-rent your apartment in Paris, you must follow the rent control rules applied to all "tense areas”. A tense rental market is one where it has become difficult for most people to find a rental, mainly because the rent prices are too high.
All in all, a poorly estimated rent can cause problems later. That is why it is mandatory to evaluate the rent price correctly and reasonably before putting it on the rental market. A common mistake is to rush to calculate the rent only based on the bank loan amount and purchase price.
It is nice to get rent to pay off your mortgage, but you still have to look at the real estate market where your rental property stands before putting it on the market. It may be counter-intuitive, but rushing may lead to a loss of rent in the future.
A high rent price may cause you to lose weeks or even months of rent revenues. While at the right rent price, you will be surprised to find a tenant in a short amount of time. Also, high rent amounts dramatically increase the risk of non-payment.
As a rental property owner, you wish your tenants to stay as long as possible in your furnished apartment rental in Paris. But unfortunately, rent that is too high increases rental turnover, so you will have to constantly find new tenants as quickly as possible to avoid having weeks without a rental.
On the opposite, you may underestimate the rent of your apartment to find tenants quicker. However, rent prices that are too low can also be risky because future tenants might think there is a hidden scam, poor soundproofing, noise pollution, etc. Therefore, it will have the opposite effect of what you are looking for, which is to rent out your property quickly.
Therefore, correctly calculating the rent of your apartment rental before signing the lease will allow you best to secure your rental income!
Who can estimate the rent price for landlords?
If you choose to rent out your furnished rental property through a rental Real Estate agency in Paris, the agency will help you evaluate the rent you can charge for your rental. Then, thanks to experience and market expertise, the agency will give you the correct rent price.
On the other hand, if the owner wishes to lease his apartment without going through a Real Estate agency and expects to have a different opinion, many online simulators help estimate the rent value of a property. Most are free, so take advantage of them. However, these online counselors won't do the job of renting your apartment for you!
These tools generally start by asking you for information about your rental property, such as the address, surface area, heating, energetic condition, etc. They then use the database of rental properties in your vicinity to calculate an average and thus estimate how much you can charge for your rental apartment.