1 / 5

Factors Keep in Mind before Turning Your Home into PG Accommodation

Do you want to turn your house into PG accommodation? Then learn all the facts about it, What are the legal formalities before converting your home into a PG?, the Difference between a rented-out property different from a paying guest facility, etc before doing it only on HonestBroker. https://www.honestbroker.in/blogs/factors-consider-before-turning-your-home-into-pg

Anusharana63
Télécharger la présentation

Factors Keep in Mind before Turning Your Home into PG Accommodation

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. HonestBroker FactorsKeepinMindBefore ĪurningYourHomeintoPG Accommodation Indiahasthehighestdemographicdividendontheentireplanet. Manypeoplearemigratingtolargercitiesduetothegrowing 1

  2. workforce, and small towns are gradually becoming the center of employment and economic activity. This unexpected growth, whichhasreducedthecostofhomeownershipformany,hasalso benefited the real estate sector. Currently, there are various ways to generate revenue from a home or apartment, with the most popular one being to transform it into a paying PG guest house or apartment. Young single people are now choosing PG homes since they provide a cozy and economical dwelling choice. And thishasoffered Indianhomeownersagreatchance. HerearesomekeyfactorstoconsiderinPGbusinessifyou're planningtoturnyourhomeintoPGaccommodation. Thingstoknowbeforeconvertingyourhouse intoaPG Thosehousingadvantagesareover:Assoonasyoumakethe houseafacilityforpayingguests,itisacommercial property. Electricity, water, andtaxbillsmustbepaidatcommercialrates. Compared to residential expenses, these charges are substantially higher. You could also need a commercial gas connection,whichismoreexpensivethanaresidentialone. Additional Responsibilities: Sanjeev Vasudev from Bhakti Realties, a brokerage company in Mumbai, claims that landlords willalsohavemoreobligations,suchas10-hourworkdaysifthey choose to prepare their meals. You can employ a cook, but the cost would go up. You must set up security measures, such as a guardandsurveillancecameras.

  3. Regulations and Laws: You require permits to convert your homeintoaPG facility. Theseincludenodsfromneighborhood watch groups and the police. Every city has different laws and ordinances that you must follow to maintain a steady income stream.Youhavetomakepayingguestaccommodationrules. Countering societal pressure: Cooperative housing societies would not enjoy the full-scale commercial usage of residential structures,accordingtoAshaNayyarBasu,managingpartnerof SJalan&Co(NewDelhi). Marketing demands: If no one knows about your PG facility, you cannotbeasuccessful proprietor.Youneedeffectivemarketingto spread the word about your paying guest facility. You can do it yourself or employ a marketing specialist, although it will take moretime. RelatedInformationWhatistheRENTCONTROLACT andwhataretheRulesforOwnersandTenants inIt Adding Additional Facilities: You must also take care of the amenitiesandservicesthatarepartoftherent.Theservicesmay also be made optional. These include things like food, laundry, storage spaces, and WIFI. But keep in mind that increasing serviceswillraiseyouroperatingcost.Therefore,youmustadjust thepricestoturnaprofitwithoutovercharging. Rent Agreement: You should have a rental agreement with the visitors.Itmayincludemeasurestopreventupcomingdisputes.If

  4. youintendtoraisetherent,forinstance,periodically, includethat in the contract. Other issues can involve arriving and leaving the property;youcanspecifythetimesintheagreement. While turning your home into a PG comes with many duties, you canstillearnagoodlivingdoingit,especiallyinmetroareaswith significant demand for PG lodging. For instance, a PG facility in Bangalorewith four beds might earn about INR 7000. If fewer people are sharing a room, you can raise the fee. In Mumbai, income from single occupancies might range from INR 10 K to INR30K,dependingonthelocality. Background Checks: Making sure you are not sheltering fraudsters is a must. Otherwise, you risk losing your money and perhaps getting in trouble. As a result, you must ask them for the requiredIDs.Givingthenamesofyourpayingguestsmayalsobe necessaryforpoliceverification. RelatedInformationWhatisimmovablePropertyand associatedwith it RelatedInformationWhichisBetter-RentorLease Agreement Whatarethelegalformalitiesbefore convertingyourhomeintoaPG? You are changing the type of lodging from residential to commercialwhenyouturnyourhomeintoaPG.Becauseyouwill receiveincomeratherthanrentingouttheservices,itwillbe

  5. regardedasacommercialpropertyandsubjecttovarious regulatoryrequirements. Getting the local authority's consent before converting a residential property to a commercial operation is essential. To avoid disagreements later, obtaining approval in writing at a generalbodymeetingisnecessarybecausecooperativesocieties typically oppose such plans. Failure to follow legal requirements may result in a business closing down, which could result in a substantialfinancialloss. RelatedInformationKnowAbout TierCitiesandtheir Classifications

More Related