During the downturn of property market, we have heard negative news about people facing hard time with their properties such as getting bankrupt due to outstanding loan amount, difficulties in renting out units, retrenchment and so on.
People!!!!! Be positive! There is always silver lining in the darkest! Let me show you several positive ways which are proven and tested by people in the market. The essence is:
Some ideas on transforming your property to money making machine:
1. Airbnb and Homestay
Airbnb and homestay are becoming popular and common across the world. It is a great alternative options for travellers and tourists other than hotels. The number one reason that people choose homestay and airbnb over hotel is because of the larger space which can accommodate more people with cheaper rate. With the online platform, to name a few, Airbnb, Propsocial, Romorama, and ibilik.com, property owners have greater accessibility to reach and connect to the travellers.
However, managing a property for airbnb and homestay requires extra effort in hiring house cleaner, fully furnished your unit with upfront costs, promote your room at online platform with attractive pictures, reply enquiries and so on. The profits derived from Airbnb business can be lucrative than the conventional landlords tenant renting if the property is situated at a strategic area that near to tourist attractions.
2. Virtual Office and Co-working space
Singapore is rapidly growing as a business hub, making it attractive for local startups and SMEs to kickstart their business in Singapore. Also, Singapore has one of the most expensive rental space markets in Asia. As such, virtual offices and coworking have gained popularity over the years with start-up owner who is looking to expand with tight budgets. The cost saving is one of the great advantage for business owner to choose virtual office or co-working space compare to renting one whole unit in commercial building. In addition, coworking spaces can offer a networking platform and create a working community of like-minded people with a common goal and entrepreneur spirits. In future, when this trend rise even more, commercial property will get affected by the traditional rental due to the rising of the online platform. On the other hand, property owners who ventures into virtual office and co-working space business will continue to flourish as the results of the rising popularity of startup owners and entrepreneurs who prefers flexible and cost effective office space.
3. Confinement home
Do you know there are property owners who have used their landed property for confinement home? Confinement home is relatively new in Singapore but is getting popular in Taiwan and growing steadily in Malaysia. In Malaysia, it cost around RM 10,000 for mummy to stay in confinement home for 30 days in order to rest and recuperate from the rigours of childbirth. These confinement home are experiencing rapid growth as the scarcity of maids and space constraints in condominiums. There are nurses caring for them and their babies 24 hours a day with a buzzer in their rooms to ring for help. Mummies get body massages and nutritious meals six times a day. The women’s husbands can also stay with them overnight. There is a separate cleaner and cook. Imagine 7 mummies & babies, each mummy paying you RM10,000-00 a month, obviously how good is that?
4. Tourist attractions themed museum
The popularity of themed museum is rising across these years especially in Penang where according to news report, there are total of 40 themed museum in Penang. During peak season, it attracts approximately 6000 to 7000 visitors.
While converting the property to themed museum can be very exciting yet overwhelming as there are plenty of planning that need to do such as the design of the museum, the budget, the management and the regulatory aspect for converting into museum. It was reported that the museum in Penang brings approximately RM 120,000 revenue every MONTH from the entrance tickets and each ticket is priced at average RM 20.00. Simultaneously, it promoted the tourism place and boost the economic growth of Penang.
It is definitely one of the creative ideas to leverage on your property investment return, one must also consider the location, the market and the regulations of the country for implementing this idea of converting your property to themed museum.
To learn further: Click here to download free chapters of my upcoming book.
