Executive/Luxury Rental

[Hal Cranmer]

Hi,

I was wondering if anyone has any experience with renting a more expensive home to executives or high net worth people? I have a really nice 4BR/3BA overlooking an aerated pond with the other side of the pond being one of the top golf courses in Minnesota. The town is a very high-end part of Minneapolis. The house is a 1960's ranch that needs about $40K in work.

My question is:

What is the best way to market to these kind of people?

What about marketing to company's who want a place to put up executives while they are in town?

Furnished or unfurnished rental better? Furnished probably means higher turnover but higher rents as well

Any other ideas on how to maximize cash flow for something like this?

Thanks.

[Yolanda Smith]

I have a lakefront luxury rental in a gated golf course community. The rent on it is 4800 and the tenants have been there 3 years now. I have had no problems. The community where the home is located has over 20 luxury rentals and the rents go over 5k per month. The community is comprised of mainly owner occupied homes however, there is always a waiting list for rentals. Some of the tenants are even on 5yr terms with the owners.

I would not suggest renting it furnished unless you are doing rentals for relocation companies where the terms are much shorter. Those types of lease agreements are good because the rents are guaranteed from the company.

I had a previous luxury rental awhile ago and the experience was not that great. The tenants rented at 5k/month,then they ran into some serious money problems and were late every month. They stayed two years but at that point I was fed up with the property and sold it.

I would advise you try it, make sure your applicants have strong financials to support the lease.