How do NRI's manage their properties in India?

Before I advise how to manage the property in India, let me tell that how you should not manage the property

• Never ever sub-lease your property.

• Never ever associate with a property management company or property manager who charge you recurring fee (Ex: month service fee, monthly commission, or recurring brokerage)

Trust me, most property management companies in India use your property to increase company profit and are least bothered to pay your due returns. Most property management companies don’t even bother to think about your emotional attachment towards your property.

For Example :

• Under market value: Sub-leasing companies undervalue your property with you. They pay less rent and security deposit than the actual market value. But they quote exceptionally more rent to tenants.

• Lack of information: Most sub-leasing company doesn’t share the true information of your property condition like tenant name, tenant profession, rent, security deposit drawn from tenant, how many people stay in property and structural damages to property during tenancy, etc..

• Hedging to increase company profit: Leasing company accommodates 7–8 people in a room instead of nominal accommodation of 3 people and they don’t care about damages incur to property due to over accommodation.

• Illegal renting: Renting residential property for commercial use of office or small scale factory is illegal but some sub-leading companies do such act to increase profit

• Hefty cut in payment: Sub-leading companies draw more rent from tenant and pay less to you. (your returns would be more if you deal directly with tenant instead 3 parties)

• Year on year rental appreciation: Sub-leasing companies renew yearly rent with tenant but they don’t pass on this rental increment to you until you insist on this.

Above are just few examples and there are many other ways that your property would misuse by sub-leading contract.

Having been work with many NRIs, most NRIs regret the decision of appointing 3rd party leasing company because of poor returns, poor maintenance of property, and lack of communication.

Eventually NRIs realize the blunder and have to fight with leasing company to terminate the sub-leasing contract and get rid of this mess.

Now comes to the question, NRI can manage the property by appointing a local guide who doesn’t sub-lease the property.

A local guide could be your friend, relative, colleague, broker, property manager, or property management company under the following terms

• Rental Agreement will be done directly between property owner and tenant (strictly no sub-leasing). Make sure that you have all information about your tenant including screening and ID proofs.

• All the financial transactions of monthly rent and security deposit transferred directly between tenant and property owner (no fund is routed through 3rd party).

• The task of your local guide is to fill the gap of your geographical constrain and coordinate for your local needs.

• No recurring payment to your local guide. Payment is one time and its task basis.

It's always not pleasant to leave your property matters to your friend, relative, or colleague, it some time bitter. so hire a decent broker, property manager, or property management company that complies with only coordination work and open rental agreement between owner and tenant (strictly no sub-leasing).

We at PGN Property Management: We provide property management service under following terms & conditions

• We never ever sub-lease the property. Property will be rented directly between owner and tenant. We just take care of your ground to fill the gap of your geographical constraints.

• All the financial transactions take place directly between tenant and owner. No fund is routed through us unless require from your end

• We take care of scouting tenant for your property + tenant screening + facilitating rental agreement + agreement delivered at your door step.

• We don’t have recurring payments of monthly service fee, monthly commission or annual recurring brokerage. Our payment is just one time and task basis.

• We follow up on grievances of non-payment of rental and tenant complaints, if require.

• We will be a witness in rental agreement to assure our consistent service

• We take care of termination process of outgoing tenant and onboard of new tenant, Our service includes property inspection + provide an estimate for repairs so you have an idea to refund balance security deposit to outgoing tenant + repair work of plumbing, carpentry, electrical, painting, and cleaning. We provide valid receipts for all the material purchases and update work progress consistently.

• Utility bill payment of electricity, water, and LPG

To opt for our service, please WhatsApp to + 91 - 9 7 4 2 4 7 9 0 2 0.

Thank you for reading…