Tips on Buying a Condotel as a Rental Residence

Premhouse.com JAKARTA | Question: Do you have any tips for evaluating a condotel purchase as purely an investment property? The one we are looking at is in a new multi-use redevelopment project in downtown Branson, Mo. — Clyde Burnett, Little Rock, Ark.  

Clyde: “Condotels,” also known as “condo hotels,” are typically condominiums in resort or downtown communities. A condotel looks and feels to visitors like a hotel or resort, but in these resorts, individuals have the opportunity to purchase individual units. Unlike a timeshare, where buyers pay for limited use of a resort, buyers of a condotel own their residence outright and can stay in it, rent it out, or sell it according to their own wishes. In these communities, in-house management companies rent out the units on behalf of their owners in exchange for a percentage of the rental income. 

Condotel owners and their renters often have use of the resort’s amenities, such as concierge, fitness and spa services. Whether an owner can use the amenities while a renting guest is staying in the unit depends on the rules of the particular condotel development. These condos make up a relatively new investment category and account for less than 10% of all vacation homes and investment properties in the U.S., according to the National Association of Realtors. Owning a condotel differs from buying and managing a condo in several respects, says Joel Greene, president of Condo Hotel Center in Miami, a real-estate agency that specializes in the sale of condo hotels throughout the country.

Property Investment | Indonesia’s Law on Foreign Ownership of Property: What are the Changes?

Premhouse.com JAKARTA | On 28th December 2015, Indonesia put into effect a new regulation stipulating revised and newly-introduced rules on property ownership for foreigners. The Joko Widodo administration last year hinted at a complete regulatory revision to the now defunct Government Regulation No. 41 of 1996 (See Indonesia Opening the Door to Foreign Ownership of Property). While the new regulation – Government Regulation No. 103 of 2015 regarding the Ownership of Homes or Residences by Foreigners Residing in Indonesia – sheds light on the legal rights for foreigners seeking to purchase a home in Indonesia (See Ownership of Homes or Residences by Foreigners in Indonesia), it is not considered a groundbreaking policy. 

Though Government Regulation No. 103 of 2015 clears up several ambiguities that plagued the original law on foreign ownership of property including eligibility requirements and inheritance issues, property consultants and industry analysts remain underwhelmed. The primary criticism of the regulation is its failure to allow property purchases by foreigners residing and working outside of the country which therefore limits the potential of Indonesian property as an investment vehicle.

What Makes a Good Property Manager?

If you are letting out a property you might want to think about hiring the expertise of a property manager as they can save you money and reduce your stress levels. If you have not heard of a property manager here is a quick guide to finding a good property manager and what services they provide.

Property managers are people that are able to offer help and advice to landlords of privately owned properties. They are particularly valuable if you are located far from your rental property or if you own multiple properties that require a considerable amount of time in order to maintain them and manage them.

Property Maintenance is One Element of Property Management

If you are new to being a landlord you might find some aspects of the job easier than others. Property maintenance is often one of the tasks that can seem quite straightforward with renting a property as long as you are have a good knowledge of your local tradesman. If you are renting out a property that is not in your local area you might want to get the help of a property management company that will be able to handle this aspect of your rental property.

Initially when you let a property out you should always make sure that it looks in the best condition so that you will attract the best tenant for your property. However, over time the appearance of the property can deteriorate and this could lead to your tenant being unhappy with the property and deciding to move out.

Tips for Expat Moving to Jakarta

Sharing more info that may be useful to expats moving to Jakarta. I want to be honest about some of the things that we experienced when we moved to Jakarta in the hopes that it will help other expats who are moving there as well. There are some things that we had to do that I’m not so proud of, but we had to adjust to the culture of “giving tokens” or “tipping” quite a bit. (I am of course putting this politely). More info after the jump:

WHERE TO GET LIQUOR

• BRINGING IN BOTTLES WITH OUR SHIPMENT: Being Diplos, we thought that we would be able to bring a few bottles of alcohol duty free into Indonesia with our shipment. We had a small box of about 10 bottles, left over from our despedida or going away party. We know that diplomats from other country are able to bring in wine and beer from their countries via diplomatic cargo for personal consumption and entertaining so we thought it wouldn’t be a problem. We were wrong. They delayed our shipment and we had to pay more just so they would release it. I don’t know if this applies to countries with more political clout, but looking back, I would have left the bottles rather than had my shipment delayed and give them a reason to ask me for money.
• BRINGING A BOTTLE WHEN FLYING IN: Each person is allowed One 1Liter bottle of sealed alcohol coming in so usually our expat friends bring a bottle every time they fly back to Jakarta or they request their friends who are visiting to bring a bottle.

Strategy to Assess Property

The trend of property industry this year is surely predicted turning to be bullish on early second half of recovery time towards the peak period. In other words, this is the right time for investors to buy, before the price of property is reaching higher, so that they will be able to get high capital gains later.

                                                                                                       

However, it does not mean that the developers may sit nicely only waiting for the buyers to come. Before the bullish sign appears, they must be prepared for anticipating with some proven strategies. According to the capital market observer, Jimmy Dimas Wahyu, there are several issues that must be considered. Among others are to ensure that PREP (product, reputation, engagement and performance) are good.

Where to Buy Property in Jakarta, Indonesia

The hot and humid busy city of Jakarta is the capital of Indonesia. Also the largest city in the nation, it holds the record for being the most populated city in Southeast Asia and 12th largest city in the world and the second largest metropolitan area in the world. Jakarta’s first name was Sunda Kelapa, then Jayakarta, then Batavia and finally Djakarta before it became Jakarta in 1972.

As it is the political and economic capital of this Asian archipelago, Jakarta pulls many foreign and local settlers. This mix has created it to become a crazy cosmopolitan city with an equally crazy mix of cultures. Jakarta is called “The Big Durian” by expatriates living in the city. The durian is a tropical fruit with a strong distinctive smell and is an acquired taste.

Home Design | The Strange Allure of Swedish Estate Agents

The best-kept secret for interiors inspiration? Swedish estate agents. The Swedish half of design duo Att Pynta, Amanda Nelson, reveals three websites worth bookmarking...

The online shop Att Pynta specialises in stylish, functional homeware at very accessible prices. Beautifully-crafted Welsh wool throws for £60? Yes, please. Run by a Swede and a Brit living in London (they also sell at east London's Broadway Market) Amanda Nelson and Kai Price bonded over their love of the Scandinavian aesthetic while working together in the fashion industry. Att Pynta was born, which they describe as 'a destination for Scandinavian style and interiors without breaking the bank'.

In addition to the online shop, Att Pynta post an array of inspirational imagery on their blog. When quizzed about this, they revealed a curious source: Swedish estate agents' websites. As Amanda reveals below, they are an unlikely (yet highly-effective) destination for beautiful homes. Take it away, Amanda...

Overview of the Booming Residential Property Sector of Indonesia

Indonesia's residential property market has shown robust growth in recent years as demand from the country's rapidly expanding middle class for mid-level and luxury property increased steadily amid a low interest rate environment and robust national economic growth. Demand for property is also backed by high consumer confidence as a recent Nielsen survey shows that Indonesians are among the world's most confident consumers. Indonesians' consumer confidence was at a four-year high in the fourth quarter of 2013.

6 Critical ‘Musts’ for Every Real Estate Investor

If you want your money to work for you, follow these rules! Investment in any industry isn't easy and real estate investment can be particularly challenging. Here are six things you need to get a handle on before you start pouring money into a real estate investment.

Effective Tips in Finding Property During Expo | Indonesia Property Expo 2015 at JCC on February 14-22

Jakarta | Kompas.com - Indonesia Property Expo 2015 in Jakarta Convention Center (JCC) has been being held from Saturday (14/2/2015) to January 22nd 2015. For those who have been looking for a house, there are many ways to find some references. In example, you can use a property search portal or go surveying the location of your dream house.

But please remember, there is another one way to get the information about the houses, i.e. to visit a property exhibition. This exhibition is usually held in particular period of time by respective parties, e.g. the government, developers and banks.

Useful Information: Moving to Jakarta

Moving to Jakarta will take you to a bustling city, complete with skyscrapers and traffic jams. Indeed, Jakarta is often considered to be the “Big Apple” of Southeast Asia. Our guide on moving to Jakarta will help you with your move by providing you with advice on housing, education, visas and more. 

The Big Apple (Big Durian) of Southeast Asia is the economic, political and cultural hub of the Indonesian archipelago. With almost 10 million inhabitants, it is the largest city in Indonesia. Jakarta is a fascinating place, even though it is fighting against the negative image of being a terrorist stronghold. This prejudice arose in the wake of violent terrorist incidents across Indonesia in the past decade. Actually, most expats in Jakarta are pleased with their decision to move to Jakarta and enjoy the city’s flair.

Property Industry to See Positive Growth in 2015

The surge in the middle-income bracket is predicted to have a positive impact on the growth of property in 2015, also favored by the development of much-needed infrastructure, such as toll roads in several regions. 

The prospects of the Indonesian property industry for 2015 are predicted to remain positive, driven by demand for products catering to the middle-class segment. The middle-class segment in 2015 is expected to grow to 90 million people, reflecting high purchasing power, according to an analyst.

The population grows 1.49 percent annually, leading to rising demand for residential property. “However, discrepancy between supply and demand for residential property reached around 15 million units in 2013,” the analyst said in a discussion themed “Housing Estate-Property Prospect and Business Opportunities 2015” held by Kompas.com recently. 

Apartment Maintenance Checklist

Proper apartment maintenance prevents unnecessary expenses for apartment leasing companies and property tenants. Regular general upkeep will also ensure optimal living conditions, and may help prevent accidents. 

In addition to simple tasks, such as regular cleaning, apartments should receive regular inspections and renovations if necessary. If you are an apartment tenant and are unsure of how to fix a maintenance problem in your unit, be sure to contact your property maintenance team to assist you in resolving the issue.

Apartment Renting 101: What Every First Time Renter Should Know

You’ve saved up some money and landed a good job. Now you’re ready to become a first time renter and move out of your relatives’ home.  If you want to leave the nest on strong footing, there are some important things to consider.

Keep in mind that moving out of the house means learning to pay bills on time, and the rent bill should be your highest priority when it comes to spending your money. 

Jakarta Shapes Up to be Asia's Hot Property Market

Cashing in on Jakarta's hot property market 02:43

In the Indonesian capital of Jakarta, not even the notorious traffic congestion can slow the voracious demand for property. Roughly 10 million people live within the urban core of this vast city while a further 28 million populate the suburbs. With affluent cash-buyers and local businesses driving the housing market at a rapid pace, anyone with a hope of climbing on the property ladder has to move fast to secure value.

"The prices go up really quickly," said Afifa Loutfie Abdousaalaam, a local property investor. "If you think 'oh you know I don't have enough money now,' you're not going to then catch up with the race because property prices in Jakarta go up above 10% a year," Abdousaalaam added.