Renting Your Property in the Dominican Republic
Many of our buyers chose to use their properties as rentals when they are not in the DR. For some, this rental income makes owning possible. Others buy strictly for investment purposes. At the least, owners that use their properties as rentals can expect their monthly running costs to be covered.
Properties rent very well, especially during high season (the North American winter months). You can generally count on an average yearly occupancy rate of 50-90%. This depends on the unit, of course: it’s location, size, condition, etc
Many condo and housing developments have on-site rental management programs and cater to owners who are not in residence. Dominican Republic Properties works with several developers and companies that offer this type of product.
If you choose to rent a luxury property in the DR Please let us know and we will be happy to put you in touch with one of our local partners.
Some general monthly costs associated with operating a rental property:
- Condo/subdivision fee; security; garbage pick-up; utilities (can also be excluded and be a separate fee); lighting; – $150-$400/month depending on the property and location
- Cleaning and yard/pool upkeep: if your property is rented, tenants will expect daily cleaning service and in the case of a house, your yard and pool must be maintained. – $300-$400/month for both services
- Utilities: you may be responsible for paying your utilities separately. Some general costs: electricity – $100-$400/month (if your property is a rental, count on $100/month per bedroom); cable & internet – $30-$60/month; telephone – $50
- Costs associated with replacing appliances, dishes, towels, bedding, etc.
The key to having a profitable rental is choosing the right property. We are happy to help you find the right one, as well as point out those that will not be as profitable.
- What is turnkey? When you see properties listed as being “turnkey”, that means that all items necessary for rental or living should be part of the sale price.
- What do I need in place in order to start renting my property?The following is a minimum list of items you should have to begin renting:
- Furniture: living room suite; dining room suite; small table and chairs for outside patio or terrace; if you have a pool, then pool chairs, a bed and night stands in each bedroom;
- Appliances: fridge, stove, microwave, blender, toaster, coffee maker; washer; BBQ
- Kitchenware: dinner set for four-eight persons; glasses and coffee mugs; wine glasses; silverware serving spoons; spatula; pancake flipper, wisk; plastic bowls for serving; plastic juice container; colander; set of pots and pans; frying pan; can opener; drainboard; paper towel holder
- Linens: 2 sets of sheets for each bed; towels for ten persons; washcloths; hand towels; dish rags; dish towels; oven mitts; placemats; shower curtains (if necessary)
- Audio/Video/Computer: tv in the great room (many developments want tv’s in every bedroom) ; ipod docking station; modem for Internet; tv receiver for cable (if necessary); dvd player.
- Don’t buy the high end furniture package. Renters must pay for any damage to your unit, but wear and tear on furniture is to be expected and will happen over time. We always suggest to buy sturdy furniture, with removable covers for washing. Please ask us before you buy furniture.
- But how to accomplish all this in a new country?Many clients choose to spend time and energy to do all their own shopping, but we do not recommend that, we recommend 1) Let us help you, choose the right furniture is not always easy, of course you will find lots of really good furnture and department stores in the DR. But we recommend to just let a decorator take over the whole job, there is a special felling in rentals decorations! 2) We can recommend a decorator that will work within your budget.
- Should I decorate? Yes.The better your property looks, and the more it feels like home, the better it will rent. You will have repeat renters and word of mouth clients that you otherwise would not have had, buy some lively DR artwork and pots, and do all those little things that say “home away from home”.
- What other little “extras” can I do?
- Provide a guest book for renters to sign. This shows community and it’s fun reading for you and them.
- Ensure your place is kept spotless. Most management companies have great cleaning, but make sure the little things are being done.
- Provide an old laptop
- Provide a blowdryer in the main bath.
- Really nice, fluffy towels.
- Have a working, local cell phone for renters to use. They will buy the minutes. Ensure the management company or housekeeper get it back when they leave.
- Leave a list of restaurant delivery places on the fridge door.
- What should I avoid or do to save money?
- Put your air conditioners on a timer. Renters love to turn it on and go to the beach.
- Put in an on demand hot water heater. Saves money over the electric kind.
- Try a solar pool pump, and solar hot water heater