Apartment/house rental business

[dr. d]

We don't have a rental business but my question is kinda similar. My Uncle is renting our house and we gave it at a very good price. Previously kasi my Lola was paying a caretaker to stay in the house (all utilities shouldered by Lola) so now at least profit kami instead of expense. Anyway, my Uncle renovated the place and he gave us the accounting, I almost fell off my seat. Na shock nga ko I thought he'd do that for free kasi the rent is so LOW. He said that expense can be deducted from the rent so he only pays half OR he pays no rent until the amount is covered

50% of rent = 10 yrs for us to pay!
100% of rent = 5 yrs

My Uncle wants to buy the house kasi but we refused. I think he was hoping na he could deduct the renovation cost sa selling price

Now I don't know if we'll go for the 5 yrs or 10 yrs?

was there an agreement prior to the renovation, as to how accounts will be settled?

if you are unable to agree on compensation,
"fair market value of the rent" would be a good number.

also,
document the condition of the house. take lots of videos and/or pictures.

[_Cathy_]

was there an agreement prior to the renovation, as to how accounts will be settled?

if you are unable to agree on compensation,
"fair market value of the rent" would be a good number.

also,
document the condition of the house. take lots of videos and/or pictures.

None. We were shocked at the amount my Uncle spent on the renovation. Anyway, it's just the decision on whether we will deduct the cost 100% or 50% from the rent. I think my Uncle was banking on we'll sell it to him kasi

[dr. d]

common sense suggests that a renovated house should command a higher rental price, especially if the owner is the one shouldering the cost.

"you may rent the house from us at xxxx pesos a month. if you want to renovate it, go ahead. but don't bill us for it. but if you're going to bill us for the renovation, i must insist that you pay higher rental now, say, fair market value."

my thoughts.

[Walter]

Double the rent so that it will be done in 2 years ...

[makelovenotwar]

I agree with the previous suggestions to increase the rent.
(edit) Ginastosan mo yung bahay eh..so fair lang na taasan mo yung rental fee.

[_Qwerty_]

dapat kasi dyan may contract kahit pa kamag anak..

sa ibang house / apartment / condo for rent.. you can do any modification for as long na may approval nang owner, and renter will shoulder all costs..

[Walter]

Problem with having no lease contract is it will be very hard to kick them out when you need the property ... it's like dealing with squatters ... but worse ...

[_Cathy_]

Yup, I told my Tita dapat may contract pero di na ko nakialam, importante sakin hindi ibenta. Nagulat kami siningil samin renovation e siya naman may gusto nun 😂 The house was in good condition, dated lang.

Sent from my SM-N960F using Tapatalk

[111prez]

apartment rental biz just raided and closed ...

[kagalingan]

Its time na to ban this offshore gaming. Talaga pangit pangitain ang negosyo sa south. First yung work from home tapos ngayon pogo.

From Manila Bay to Makati to Alabang: Office rent to collapse by as much as 80% from total POGO pull-out – Leechiu
September 18, 2022
BILYONARYO.COM

A leading real estate expert warned that a total pullout of Philippine Offshore Gaming Operators (POGOs) could trigger a collapse in rental rates.

Leechiu Property Consultants said office rental rates could drop from 55 percent to 80 percent if the Marcos administration decides to kick out the remaining legitimate POGOs in the country.

In a recent report, Leechiu said the Bay Area office towers would bear the brunt of the POGO full exit with rentals expected to plunge to as low as P300 per square meter from its peak of P1,500 per square meter in 2019.




Leechiu projected gloomy lease figures for other POGO centers in a post-POGO exit scenario:

* Makati rental down to P700 per sqm from P1,500 per sqm;

* Alabang down to P300 per sqm from P1,000 per sqm;

* Ortigas and Mandaluyong down to P300 per sqm from P900 per sqm.; and

* Cavite down to P250 per sqm from P700 per sqm.

POGOs have occupied a combined 1.7 million sqm of office space in 2019 but tightening regulations from China and Philippine authorities, plus the pandemic, have shrunk the industry footprint by nearly 40 percent to 1.05 sqm.

Some government officials, lawmakers and public interest groups have lobbied the government to kick out all POGOs in the country due to a wave of crimes perpetrated by a few rogue industry players.

The Department of Finance and Philippine Amusement and Gaming Corp. (Pagcor) have addressed the main public concerns on the rise of POGOs and influx of Chinese staff such as income tax payments, workers permit registration, higher franchise fees, and self-policing in the industry.

Pagcor has already cancelled the franchises of lawbreaking POGOs while the police have cracked down on the crimes these few bad apples have perpetrated.

https://bilyonaryo.com/2022/09/18/fr...A9kFcaKWlVUOJw