How Can You Find the Best Tenant For Your Property in Turkey?

Investing in Turkish properties for rental income is a promising option! Turkey's property market offers an advantage with rental yields of up to 9%, which is higher than the average 5% yield in the United States. This means property owners in Turkey can potentially earn back their investment faster. Factors like growing rental demand, a strong tourism industry, and affordable property prices contribute to Turkey's attractive rental yields, making it an appealing option for investors and property owners.

However, for an international investor, it is not as easy as it sounds to turn a rental property into a steadily profitable investment. Rental investment requires deep knowledge of the market dynamics, culture, and legal requirements of the target country (Turkey). One of the most difficult and important tasks of a landlord would be finding a reliable tenant for their property and keeping the property’s vacancy as low as possible.

If you also are looking for the perfect tenant for your property in Turkey, look no further! In this blog post, we'll explore five effective methods for finding a good tenant, along with their respective risks and benefits. From do-it-yourself solutions to digital-age property management companies, you'll be equipped to make the best decision for your rental property needs.
 

1. DIY: Using Online Listing Websites like Sahibinden.com

For those familiar with Turkey, online listing websites like Sahibinden.com are often the go-to choice for marketing rental properties. While this do-it-yourself approach has its advantages, it also comes with certain risks.

Benefits:

• Save on agency fees: By listing your property yourself, you can avoid paying commission fees to real estate agencies, thereby increasing your profit margin.
• Control the entire process: Taking the DIY route allows you to manage every aspect of the rental process, from creating your listing to negotiating with potential tenants.
• Flexible listing options: Online platforms like Sahibinden.com offer a variety of listing options, enabling you to customize your advertisement according to your preferences.

Risks:

• Time-consuming: Managing the listing and screening process on your own can be time-intensive, requiring a significant commitment to ensure success.
• Limited tenant screening: Without professional assistance, you may lack the resources to thoroughly vet potential tenants, which could lead to unreliable occupants.
• Potential legal issues: Navigating the legal requirements and regulations surrounding property rentals in Turkey can be challenging without expert guidance, possibly resulting in unintentional violations or disputes.

2. Delegating the Task to a Real Estate Agent

If you get overwhelmed with the DIY rental property marketing to find an ideal tenant for your property in Turkey, you can easily lean towards trusting a real estate agent. In many cases, people get so overwhelmed that they delegate this task to the first real estate agent they come across. This comes with some benefits and risks such as:

Benefits:

• Expertise in the rental market: Real estate agents possess valuable knowledge of the local market, which can help you set competitive rental rates and find the right tenants more quickly.
• Entry-level tenant screening: A real estate agent knows some factors to check before selecting a prospective tenant and renting out your property to them.
• Hassle-free process: Delegating the task to an agent allows you to enjoy a hands-off approach, as they will handle everything from listing your property to managing tenant agreements.

Risks:

• High commission fees: Real estate agents typically charge a percentage of the rental income (or 1 or 2 rents) as a commission, which can reduce your overall earnings. It can also add additional cost to your tenant, leaving them dissatisfied. 
• Limited control over the process: By relying on an agent, you may lose some control over how your property is marketed and the selection of potential tenants. You can’t expect transparency with this choice.
• Possibility of unscrupulous agents: Not all agents have your best interests at heart, and some may take shortcuts or engage in unethical practices, potentially causing harm to your investment.

 

3. Asking Friends/Family to Introduce a Prospective Tenant

If you have some network in Turkey, you might ask friends, colleagues, neighbors, and anyone you know for a referral or to introduce a possible tenant if they know. In many cases, you end up finding a good friend or a terrible tenant!

Benefits:

• Personal trust and familiarity: Renting to someone you know or who comes recommended by a trusted contact can provide peace of mind and a sense of security.
• No agency fees: By relying on your network, you can avoid the commission fees typically associated with hiring a real estate agent or property management service.
• Quick and easy process: Referrals from friends or family can speed up the tenant search process, as they often come with some level of pre-screening.

 

Risks:

• Limited pool of potential tenants: Relying solely on your personal network may limit the number of available candidates, potentially leading to a longer vacancy period.
• Strained relationships in case of disputes: Renting to someone within your circle may result in strained relationships if disputes or disagreements arise during the rental period.
• Lack of professional tenant screening: Depending solely on personal referrals might not provide the comprehensive background checks and screening processes that professional services offer, increasing the risk of potential issues with the tenant.

 

4. Using an Ordinary Property Management Service

If you want to receive a more structured and professional set of services when looking for a tenant for your investment property in Turkey, you can reach out to property management companies. You might find several companies offering property management services in Turkey and ask them to manage your investment. This can reduce complexity and stress from your side and increase the chances of finding more economically stable tenants. However, you can lose any kind of control over your property, which keeps you in dark. Investors usually don’t want to lose 100% of the control and need to have supervision on their property.

Benefits:

• Hands-off approach to managing property: A property management service handles all aspects of the rental process, allowing you to focus on other priorities.
• Professional tenant screening: These companies employ comprehensive screening processes to ensure the selection of reliable and responsible tenants.
• Regular maintenance: Property management services typically oversee routine maintenance, ensuring your property remains in good condition and addressing any issues promptly.

Risks:

• Expensive fees: Property management companies charge fees for their services, which can cut into your rental income and potentially affect your return on investment.
• Potential conflicts of interest: Some property management companies may prioritize their interests over yours, potentially leading to unfavorable decisions for your investment.
• Lack of control over the property: By outsourcing the management of your property, you may lose some control and oversight, which could be a concern for investors who prefer to maintain a close watch on their investments.

 

5. Using a Digital-Age Property Management Company like Propline

Having international property investors in Turkey in mind, Propline took several steps further and developed a more comprehensive property management system coupled with a digital infrastructure that delivers a seamless experience in property management for real estate investors, property owners, and even settlers. By using Propline property management, not only do you benefit from all the benefits that an ordinary property management company can deliver but also you get an extra level of control and transparency.

 

Benefits:

• Cutting-edge technology for tenant screening: Propline utilizes advanced technology to conduct thorough and efficient tenant screening, increasing the likelihood of securing reliable renters.
• Comprehensive property management services: Propline offers a full range of property management solutions, covering everything from tenant placement to maintenance and rent collection.
• Transparent and affordable pricing: With clear pricing structures, Propline ensures you'll understand the costs involved without any hidden fees.
• Expert local knowledge: Propline's team possesses deep knowledge of the local market, which can help optimize your investment strategy and maximize returns.

Additional Features Exclusive to Propline:

• 24/7 customer support: Propline's dedicated support team and its user-friendly digital platform are available around the clock to address any questions or concerns you may have.
• Customizable service packages: Tailor your property management experience to your specific needs by selecting from a range of customizable service options.
• Online portal for easy property management: Propline's user-friendly online portal allows you to manage your property effortlessly, granting access to important information and updates at your fingertips.

Risk:

• The only risk with Propline Property Management is the fact that you can't find anything similar to it!!!

 

Finding the best tenant for your property in Turkey doesn't have to be a daunting task. With options ranging from DIY methods to digital-age property management companies like Propline, you can choose the method that best suits your needs and preferences. No matter which routes you choose, it's essential to weigh the risks and benefits carefully to ensure a successful and stress-free rental experience.

 

Final Thoughts

Finding the best tenant for your property in Turkey requires thorough screening and careful consideration. One crucial aspect to consider is the prospective tenant's financial stability, which can be assessed by examining their bank account statements and utility bills, ensuring that they have a history of timely payments. It's also essential to draft a well-structured lease agreement, outlining the terms and conditions of the rental contract. Opting for a long-term rental arrangement is often advisable, as it offers greater stability and reduces the need for frequent tenant turnover. Be sure to include the term of the lease in the contract, as this will provide both parties with a clear understanding of their obligations and responsibilities during the tenancy period.

 

FAQs

What Is Property Management, And Why Do I Need It?

Property management involves overseeing and handling the daily operations of a rental property, including tenant placement, rent collection, and maintenance. It's essential for ensuring your property remains well-maintained, profitable, and legally compliant.

How Much Does Property Management Cost?

Property management costs vary based on factors such as location, services provided, and the company's fee structure. Typically, fees range from 8% to 12% of the monthly rent, with additional charges for specific services.

What Qualifications Should I Look for in a Property Management Company?

Look for a property management company with experience, knowledge of local regulations, a proven track record, and excellent customer service. Positive reviews and recommendations can also help guide your decision.

How Can I Ensure That Rent Is Paid on Time And Consistently?

Ensuring timely and consistent rent payments can be achieved by implementing a clear rent collection policy, conducting thorough tenant screening, using a reliable property management company, and employing online payment systems for added convenience and efficiency.