How to earn Rs 50000 rent for your 2 bed apartment in Chennai

I was wondering if this could be possible. Rs 50000 as rent per month was definately attractive but too good to believe. I happened to come across a website which was talking about Serviced apartments in Delhi. I was really surprised after seeing the Peacock Suites website, who is renting out their fully Serviced apartments for $289 USD per day. Thats works out approximately Rs.11600 per day and Rs.3.5 Lakhs per month. But ofcourse all the offerings were 3 bedroom and 4 bedroom apartments.

 

Peacok Suites facilities were really impressive but made me wonder if it was cost economical than a hotel stay in delhi. Any ways that was DELHI. So this made me wonder HOW MUCH FOR CHENNAI ? A bit of research and i came across 2 Serviced apartments in chennai. One was WWW.ANGELSTAY.COM and other was Chennai INN .

I have come across Chennai Inn’s advertisement across city but haven’t see any of their apartments. But on a average their 2 bed apartment cost around Rs.40000 per month and 3 bed apartment ranges from Rs 50000 to Rs 65000 per month. A lesser know (atleast for me) Angel stay offers 2 bedroom for Rs 50000 (Believe me when i saw their website 10 days back it was Rs 45000 per month, they have increase now) and their 3 bedroom leaves you poor by Rs 56000 per month. Average daily rentals is $40 per day which works out Rs 1600. Thats a cool money.

While these apartment offers every facility including fully furnished kitchen,TV,DVD,Phone, FAX, Laundry,Maid services etc but they charges at actuals for most of the facility. So ideally Rs 50000 is only the rent of the apartment and customer is charged for Power,Telephone etc. A security deposit of Rs 10000 is charged to be on safe side.

I wrote some time back that Rents have almost doubled in most parts of the city and house owners are now charging more by making the house fully furnished. But Serviced apartment just overtook every other forms of rental.

I always believe NO PAIN NO GAIN. So if you want to maximise your returns you have put in some hard work. Well making a apartment as a serviced apartment is not that easy. You have to take permission from Apartment Association, furnish the apartments, find a care taker for whom you have to pay monthly salary. On top of it, you run the risk of apartment not being occupied. But even if your apartment is half month occupied you earn a lot of cool cash.

Most of the customers of Chennai Inn and Angelstay seemed to corporate customers. With majority of Companies trying to cut down the cost, i would say its not a bad idea to start with $25 per day rental and a monthly rent of Rs 30000 per month. Still you can get back all your furnishing investments within a year.

Now that makes me think :)). How about you? If you like this article, please comment.

 
 

3 Comments

  1. SV

    This is my first visit to your blog. I really enjoy reading your realestate section. It is very informative. Keep up the good work.

    Please post about your experiences with home furnishings too (like modular kitchens, bedrooms, furniture, etc). Thanks

  2. Satheesh

    Very good idea, I have heard about this and have been wondering about the same. I dont know if those big guys would lease it from us for $25 a day and they can make how much ever they want. It wouldnt hurt to ask them..

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