Today we will meet you with Nedko and Mimi - a wonderful young and successful family with a 2-year-old boy. Mimi is a partner in a law firm, Nedko - in a responsible position in an international company.
They decided to invest in a property and contacted us in the spring of 2017. With Nedko and Mimi, we worked entirely remotely and helped them choose the apartment to invest in, furnish it and prepare every necessary detail for putting it on the market on short-term rentals.. The property was realized extremely successfully and the return on investment was significantly higher than expected.
Now Nedko and Mimi also benefit from our new service - FM invest. It is the only one of its kind in Bulgaria and gives our future and current clients the opportunity to buy or sell not just an investment property, but a developed business.
Why they decided on exactly this type of investment and what they will advise you, read in the interview:
How did you decide to invest in property? Were you both unanimous in this decision?
For quite some time we have been thinking about options on how best to invest a certain amount of savings we had, since the banks give very low interest rates for deposits. Investing in real estate is always very safe and interesting, but it is usually large and at the same time the return is relatively limited. After we inquired about the short-term rental property market, we realized that the number of tourists in Sofia is growing rapidly and at the same time there are not enough options for affordable and quality accommodation. The calculations showed that this type of investment could generate almost double the return of long-term rentals, and luckily we were proven right.
What challenges did you face in making the investment?
Since we only had the funds to participate in the purchase of the property (15% of the purchase price), we had to rely on a bank to provide the rest of the amount for the purchase, but also for the repair and furnishing of the property. The biggest challenge in this case is that we don't like going into debt with banks, but our preliminary calculations indicated that with short-term rentals, the property would be able to pay the monthly payments to the bank on its own. We risked and won.
How did you find us?
One of the main reasons we decided to make this investment is that our longtime friend, Bobby, decided to start a property management company. We knew our investment would be in the right hands and the decision was easy.
Tell our readers what we actually helped you with and are you satisfied with working with us?
My wife and I both work full-time, and the rest of the time we are parents to our beautiful baby boy. With this daily routine, it was important to entrust the management of our property to the right people and not have to waste time on this as well. For me, the most important thing is that I can focus on my work and not lose time with my family, and for that I can thank Flat Manager.
Did you have specific revenue expectations and are they being met?
We did a lot of preliminary calculations and studies and they all paid off.
How much time do you need to spend on your investment property and its development?
I spend about 10 minutes every few days checking the correspondence between the Flat Manager and clients to make sure all clients are being attended to properly and on time.
What advice would you give to people who are currently considering making such an investment?
It is very important to look for a property in the top city center if possible, because this gives an incredible advantage and guarantees occupancy of the property. I would advise them when they are looking for a property to make sure that it can be rented out successfully, both on a short and long term basis.
