Mazel Tov! you recently purchased your place in Israel. You now have a significant investment. Have you thought about what you will do with it?
Let’s look at the pros and cons of each of the three viable options:
• Put it up for rent
• Short term AirBnB or rental
• Leave it empty and live in it when you visit Israel
Putting it up for Long Term Rental
The income should be able to cover all or most of the mortgage and associated costs involved with property ownership. Renting can bring in a steady passive income and long term rentals are generally hassle-free compared to short term rentals.
You are not able to stay in the home and would need accommodation when visiting Israel. You would still need to be available to accommodate your tenants, their problems, and Vaad Bayit issues.
Short Term Vacation Rentals
This option offers both of being able to profit from your property and use it at the same time. Vacationers pay for their stay and an extra income is generated, and you can stay in your home while in Israel.
You are, in effect, an absentee hotel manager, with many tasks that must be looked into after each visit. Checking for breakages, getting the key back, giving them the key, cleaning the property between tenants, constantly finding new tenants, advertising, collecting payment and possible taxation issues.
Leave it empty and live in it when you visit Israel
You can provide your friends and family a home in Israel when they are visiting Israel. It is very convenient o leave to leave clothing and bedding on the property and travel lighter You can live in your own home while in Israel, which lets you travel lighter.
The holding ane empty apartment fr an occasional trip may prove to be very costly. All the perishable items must be removed, and laundry will need to be taken care of before you leave. You are responsible for all costs like Vaad Bayit, Municipal taxes, electricity, water, phone, gas, cable, internet, to name a few. Finally, it is not usually a good idea to leave properties vacant for long periods. Hiring a cleaner each time that you return and letting them into the property can be a hassle.
A property manager can help you with anything that you may need. For more information about our services, please continue here.