Tuk Tuk Drivers and their ways! Must read if you are using Tuk Tuks in Colombo

Using tuk tuks / Auto / three wheelers can be a challenge if you are an Expat / Tourist or even a local for that matter. Nowadays, with the growing number of foreigners coming over to Sri Lanka, the tuk tuk drivers have become very cunning and rude. Needless to say, there is always a bunch of honest and hard working tuk tuk drivers who are innocent in every sense of the word. 

Tuk Tuks without a meter

Do NOT get into these tuk tuks. Nope. I have learnt it the hard way and have often been ripped and disappointed with tuk tuks without a meter. Why would someone have a tuk tuk without a meter when 9 out of 10 tuk tuks have meters installed? The point it that they want to make more money and fool the foolish. 

Tuk Tuks with a meter (Buy hey! It's not working) 

Another no-go. This is more of a cheating technique where the board says that it has a meter and when you get in, the meter is just there but it's not on and if you don't bother asking, it will remain without use as it is and if you do ask him to turn it on, you would get a reply like 'It's not working' or he would quote the amount and say 'Even if you take the meter, it's the same thing' 

The catch between normal meter tuk tuks and company tuk tuks

The normal ones that you flick off the road charge around 40 rupees for a km while the company ones charge less (the range varies from 30 Rupees to 35 Rupees). It's best to call a company three wheeler if you are looking at a long distance. With short distances, the road ones will do. 

Night Hours 

Generally, the pricing differs at night and there is around 7 rupees increased for the first kilometer and then around 5 rupees more for every kilometer, understandably because it's at night. 

ALWAYS PAY IN RUPEES!!! 

This is one of the most important messages that I want to put across to all the users of tuk tuks. Make it a point to pay in rupees. Even if you have dollars and if they demand in dollars, simply tell them you don't have any dollars and pay in rupees. If you pay in dollars, chances are that you are going to get ripped off big time. 

Good luck with the Tuk Tuk experience in Colombo!

How to find out the market rate of a certain property / apartment etc

This is a very interesting aspect of property / real estate when it comes to pricing and costing. How can one get it right? As an owner you are put into this strange of whether, 'Am I asking too much or am I asking too little?' Below is a list of things you could do to figure out / investigate on market values:

1. Ask around and pretend to be a buyer of such a property

2. Call up Real Estate Agencies and inquire (Pay them for the service if you can)

3. Check out adverts of similar properties in the area on the newspapers and the internet. The internet is dominating the property market in many countries and you can easily gather facts and figures from the leading websites and thereby make your own report.

4. Talk to a bank and get them to do a property valuation, sometimes you may find real estate agencies that provide this service as well. Ask them how it works. (Pay and get it done if you think it's worth the job)

5. Use social media to get feedback from others and that way you would understand if there were any recent transactions in that area and gain a broader understanding of what's going on in the market.

Always remember that if you are getting a third person to find out about this, you got to pay them well otherwise the information is not going to be that accurate. There is no such thing as a free lunch. 

The prices can vary within days, weeks and months and it's important to have an idea on when to sell and when not to. 

You also have the option of testing the property in the market, although you may not want to sell it,you can still advertise and check the pulse of the market and see if there is less or more interest depending on the prices you advertise the property at. 

There is a rule when it comes to property prices, it either stays the same or it increases, property prices do not drop unless you have overpriced it or you are desperately in need of cash. Real Estate is the perfect investment for the future.

How safe is it to rent houses and apartments for expats in Colombo?

One of the prime concerns for anyone when it comes having a roof on top of their heads is this aspect of security. Regardless of the condition of the property and its luxury orientation, the first and the prime requisite or criterion for any renter or potential buyer would be the security and safety pertaining to that particular property. 

We, at Mr. T had a rather strange experience with a client when we took the client to the apartment on a rather high floor and to our surprise the client simply said that this is not safe. When asked why, the client said that rogues/thieves could jump over and enter into the apartment as it had large windows designed purely for light penetration and ventilation purposes Now then, this is an apartment on a rather high floor in Colombo 07 and the whole building is under camera surveillance and there are two security guards at the entrance with a control room that monitors movements seen through all the cameras. 

Imagine that. 'This is not safe' Oh well!!! 

This is partly to do with the mentality of the client that this is not a safe country and that there are drug addicts and robbers roaming freely in literally all parts of Colombo. Fortunately, that isn't the case. Sri Lanka has never been this safe and pretty especially the city of Colombo. Yes, the common notion of problems, accidents and crimes is always on the back of your mind wherever there is human life making its presence but that does not mean that Colombo should be singled out as a "NOT SAFE" area. In fact, Colombo is probably the most super-safe area in the country. 

So the answer to the above question would be:

Yes, it's generally safe to rent / buy a house or apartment in Colombo. We see more and more expats / foreigners asking for houses. A few years back, it used to be only apartments but now foreigners / expats do like to rent a place in and around the city, sometimes outside of it as well. There is just a bit of risk involved when buying a house as opposed to the apartment and that is the security factor, you can simply lock an apartment and go wherever you like but you cannot do the same with a house or if you have too many enemies, an apartment might be an easier option. 

Think smart when investing in property and yeah, it's safe to to buy/ rent houses and apartments in Colombo. Enjoy your time while you are here! What is meant to happen will eventually happen!

Good luck and keep smiling! :)

Pay Your Real Estate Broker / Agent on Time!

When it comes to payment matters, the professionals make it a point to pay on time. It's very important that these payments are made either on time or well before time as that strengthens the bond between you and the Real Estate Broker / Agent. 

What it also does is that you become a priority customer to them and winning their attention is never a challenge if you are able to pay up as soon as you can. The Sri Lankan property owners are gently gathering more respect toward the professional brokers/agents and this is a good sign. 

You real estate broker / agent is not just a person like anybody else, he/she is you property partner, your property advocate and can be very useful to you in real estate matters. After the police and the secret intelligence of any country, it's the real estate folks that know what exactly is going on. 

If you are thinking of ditching a professional broker / agent after you have used their services, be careful as this goes a long way, in a world where everything is available in the space of a few clicks, a lot can happen and can be done to tarnish and blacklist you if you mess around. 

Sometimes, the evil curse of money takes a toll on your head and you might think, 'Why should I let them make money from my property?' but the fact of the matter is that they have brought you the money in the form of a client and it is your duty to ensure that they too benefit just like you do. 

It must be said that there are property owners and clients in Sri Lanka who treat their Property Brokers/ Agents like family and when it comes to payments, they make it on time and sometimes offer a complimentary gift or an extra amount (tip) as a token of appreciation. 

'No one should say this to me - When I walk on the road, that man owes me money!' Were the words of a property owner who ensured that he left no debt and that is exactly the mentality of a perfect property owner. After all, the fee is a very small amount.

'Before the sweat on the forehead of the worker dries, you must pay him', were the words of a wise man when it came to honouring a business deal. Make your payments on time and make them count. The relationship you build with people is more important than any of the materialistic pleasures this world has to offer. Good luck!!!

SIGN IT OR YOU WILL PAY FOR IT!

It is super important that any agreement you reach with the client, broker or agent that you have the matters discussed / spoken  in writing. Sri Lanka is a developing nation and while this transition is taking place, the job of the conventional broker who works purely based on trust (verbal agreement) is slowly diminishing. From the honest broker's perspective, it is also quite a risky task to deal based on a verbal agreement. So it's actually a win-win for both parties to have things in written form. 

There are many local and international agencies that are hitting the Sri Lankan market because they see potential to provide their services and thereby make good money. It is important to have all what is said and discussed in writing. The same applies when it comes to the confirmation of a certain property, be it a sale or rental, it does not matter - every piece of information has to be in writing and that is what matters at the end of the day. 

It must also be said that many property owners are very nice people and I have personally come across many of them who have been taken for a ride and have lost a substantial amount of money. The whole purpose of writing this here is to educate and create awareness among all the owners / brokers / agents etc. that it's extremely important to have everything you discuss in writing. 

Do not buy the verbal bull shit, not only will you have to pay more but it would also impact your mentality and impression when it comes to certain people and their backgrounds, nationality and most importantly their profession. It's a dog eat dog world and there just as many good and bad people in the market, everyone wants to make a fast buck. It will not cost you to play it a little safe and get everything in black and white. Please do be extremely mindful about it. Sign it and be risk free.

Good Luck!

Determining the rent of your apartment. Get it right in the 1st time!

One of the most baffling situations any apartment owner gets caught to is the rental price of their apartment.
How do you figure out what a good rate is? What are pros and cons? Am you asking too much or too little?

Many a time, I have noticed that apartment owners are either asking for sky high rates or do not have an idea on how much to ask as the rent for their apartment. On a few occasions, I have come across a bunch of owners who are happy to give it out for a nominal rent purely because they want someone reliable to look after their place. The motive of such owners is not to make money or profits but to ensure that the house is maintained well and that the people living in it are honourable and dignified.

So what is the best way to set about pricing your place?

One of the first things you must do is to inspect your own apartment very carefully and fix all the flaws. This is only if the apartment is used and requires your attention.

There is always a range in which apartments could be rented out especially if they are in complexes and this range should be identified, if you are not living there or do not know how to do this, get hold of another owner in the same complex or simply get hold of an experienced realtor who might be able to shed some light on the numbers.

Once you know the minimum and maximum ranges, you should wisely arrive at what you think is a reasonable figure (preferable somewhere in the middle) and be flexible when it comes to negotiating with clients. Any sane person, once a few lines are exchanged with the potential tenant, understands the calibre of the client and is in a good position to gauge whether the client is worthy of the apartment or not.

This is the simplest way to approach this whole scenario. Do not go by the fancy numbers told to you by various people. There is always the market price and then there is your price which has to somewhere around the market price.