If you are an Owner, be very careful of your attitude!!!

I thought of sharing some information with all the property owners out there when it comes to your responsiveness and behaviour in front of a client regardless of whether the client came through an agent or direct especially when it comes to renting out.

Even when it comes to selling, you, as an owner should be very careful with your conduct and not give in any information that may or can backfire. Of course, I don't mean to say you shouldn't be honest and professional, you have be very honest, straight-forward and professional but keep it only to business and do not go beyond business. You can do so after the transaction is done. Until then, let's keep it simple.

When it comes to renting, whether you are with an agent or whether the client comes to you directly, at all costs, ensure that all the relevant details such as the terms and conditions, payment plan and if possible, the pictures are sent to the client.

It is considered very unethical and unprofessional to quote prices only when you figure out whether the client has the cash in the tank or not, study the market and always quote a reasonable price. Again, don't get me wrong, yes you have to cover your loan,mortgages etc but remember that it has to worth the value.

Today, I came across a client who point-blank told me 'I don't like the owner's attitude' and this was specifically said after the owner changed some of the terms and conditions. On top of that, it is also important to be humble and help people when they are looking to rent a place. Not everything should be looked at from money-making perspective. Satisfaction matters and if the client is not satisfied with the owner, it's a sorry scene for the owner.

So how should an owner behave or what should their attitude be like?

At first, when you put out your property in the market, you have to ensure you cover every little detail whether it is describing the property or whether it has anything to do with payment. Once you have done your homework, you start to hunt for clients, this you do through Agents/Brokers or simply in your circles and when you do have a client, always be pleasant and indicate to the client that you are a kind and friendly person (you may want to show that you are tough and all that but at the first meeting, let's make friends shall we).

Clients often open up when you have a friendly approach and they tell you more than you need to know, this way, you also get to know the client and understand their needs and then you could probably help them out or if you feel your place is not going to fit the client, without wasting any time, you know what to do if it is the fitting and what to do if it's not. There are so many properties on the market and you as an owner will have to maintain really good relationships with everyone (Agents/Brokers, security guards, tuk tuk drivers, caretakers) and I mean it - EVERYONE. It makes life so much easier.

Further, do not be too money-conscious, always accommodate offers and if it's a no go, quietly turn them down. There is no need to be very strict or harsh. The client can always take revenge by leaving an unpaid bill or damaging something and not telling you. So be very careful. Agreements and contracts are signed to keep things formal but there is always a fine line between a heart-to-heart bond and a bond that is in writing.

Good luck with your hunt for clients. If you need our agency to get involved. Please write to info.mistert@gmail.com

Why should you use the services of an honest and reliable agency?

Real Estate Brokering can be a very tricky business. It is also a beautiful business to those who do it right, very much similar to anyone doing Gem Business but just like all other businesses, there is a dark side to it. 

Surprisingly, we find so many people claiming to be 'Brokers/Agents', more than 400 of them operating in Colombo. From tuk tuk drivers to house wives to security guards and caretakers of properties, they all do it. One cannot ask them not to do the business as they too are on the hunt to make a fast buck, however if you bump into the right real estate agent or agency, they will be able to:

a. Help you with the much needed market information and market practices

b. Advise whether a property is worth its value or not

c. Be your property advocate and keep you posted on other properties that might be of interest

d. Give you that real estate experience which would certainly be memorable 

e. Provide you the proper customer service be it in the form of compiling a report or even negotiating on your behalf. 

How to look for a good agent/agency?

Always ask as many questions possible:

For how long have you been on the market?

Are you a real estate agent?

Do you have a website?

Do you have a business card?

And you can always check on the professionalism of the agent/agency from how they talk, how they dress and how they conduct themselves. 

If this business of brokering is done properly with the right intentions and with the right people, not only does this business relationship become stronger but it also gives birth to a lifetime friendship which based on the foundation of trust. Truly a beautiful trade to be in. 

If you want to contact MR. T - The Real Estate Giant and acquire any of their services. Please write to info.mistert@gmail.com

2 Bedroom Apartment for Rent at OnThree20

REF NO: AFR0123

Brand new 2 bedroom apartment for RENT.

- 20th Floor with a great view of the Harbor, City and the Sea
- Fully Furnished 
- 907 sqft
- 2 bedrooms 
- 2 bathrooms 
- Living area with balcony
- Good view of city 
- Fully tiled, fully air conditioned
- Hydraulic gas 
- 01 Parking slot 
- Super tight security

Common Area

- Covered Car parking for each apartment plus an option to purchase additional car parks (based on availability)
- Building Management System
- Standby Power 
- Broadband Infrastructure
- Separate Entrance Lobbies in each Tower Over half an acre of landscape garden on the podium level
- Swimming pool, Lap pool & Kiddies pool
- 2,000 Sqft Gymnasium
- 40 Visitor parking slots 
- Large Club house and 2 multi-purpose function rooms
- BBQ Pits 
- Business Centre
- Squash Court
- Steam Room
- Indoor Games Room

Click here to view pictures Strictly serious clients only!

Also note that MR. T is a dual real estate agency and a service fee will be charged from the tenant for the honest and trustworthy service provided. We put your needs before ours.

How Agents Get Paid!!!

Apartment Costing - Buying as an Investment

I think this will be a very important aspect when you are investing for a return and there can be many costs that could incur in the beginning which might escape your mind when planning:

For instance, when buying an apartment 

1.       You have to add another 4% as stamp duty fee (Don't even think about undervaluing now - too risky) 

2.       Standard lawyer fee is 1% (if you have a friend who could do the job for less, that would be great)

3.       Management fees are covered by the owner, so that is a cost for you.

4.       Apartments in Colombo are mostly given with furniture. Not forgetting the designing of the interior if it’s a fairly old apartment that may require some touch ups.

Optional but worth considering

1.       If you find a tenant through a real estate company, then there is a commission that you have to pay to the agent. 

2.       If the lease agreement is signed, then there is a legal fee (Small amount but again it’s a cost) which is split by you and the tenant.  

So considering the above, I think the goal should be to get as close as you can to the 6% you are targeting as you might understand now that it requires meticulous planning in terms of the costing. There might be additional costs too which I might have missed. 

That is a brief overview of the expertise and experience that I have gathered from this industry. 

Hope the above information is helpful. Write to me if you are in need of property advice. info.mistert@gmail.com 

How to Categorize Apartments in Sri Lanka

This is a very interesting topic. Categorizing of apartments in Sri Lanka. The best way to categorize them is to gauge the project and the amenities. The price also is an indicator but in most cases it's the space and the size of the project. When it comes to the categorization of the apartments, I categorize them in the following way and so it has worked for us:

Super Luxury 

These are the high end apartments that carry price tags of 30 million and upwards, there are apartments up to 180 million and so on. Examples, Crescat, Monarch, Iceland, Emperor, Havelock City, on320, Iconic, Royal Park, Trillium Residencies, Altair (Under construction) Destiny (Under construction) These are within the city and could be rented from anything between USD 1500 to USD 4000. 

In terms of facilities, they have everything. Convenience and comfort coupled together. 

Luxury Apartments & Semi-luxury Apartments

Then we have these apartments which are just stand alone buildings,they have the basic interior inside and a pool, gym and rooftop. Some don't have the pool and gym like the Queen's Court, Prince Alfred Tower, St. James, St. Micheal's but are big in size and in prime location such as Colombo 03. These are mostly priced at around 25 million and above. The majority of expats try to rent out these kinds of apartments. Apartment complexes such Lumiere, Spathodea, Seagull (They have 40 + buildings but not well maintained), Suncity etc. You can find many like these. 

(You cannot buy one on a lower floor if you are not a Sri Lankan) 

These could be rented out at around Rs. 120,000 – Rs.130,000 per month. Closest you can probably get to 6% p.a.

Normal/Basic Apartments

These hardly have any facilities and are relatively cheaper. Starting at around Rs. 18 million and going up to about 25 million depending on the location, most of the apartments in Colombo 06 could be found at this price. The old ones are a no go as they have issues with title deeds and certificate of conformity (COC) etc. There are new ones coming but they get sold soon and could be rented for Rs. 100, 000 or less. Some examples would be Falcon Residencies, Carlton Residencies, Unity Residencies, Majestic Apartments, New Frontier etc. It’s a little risky to buy the new ones as the construction could be questioned and the class of people living in them can make the building go to the dogs in terms of maintenance.

Of course there are shoddy ones too that are just built purely for profit making purposes, I have not mentioned anything about them. Also a note on the security factor as that is the first thing any occupant would look at, the super luxury and luxury apartments generally have a property security fir/system with guards properly trained and dressed in the usual uniform, normal apartments mostly do not hire the firms as the management fee is kept at a low price.

Management Fee / Maintenance Fee / Body Corporate Fee 

This a fee that is paid to run the daily operations and in most instances is divided with the number of apartment units in the building / the number of square fee in an apartment. For example: Rs. 12 per square foot, so if your apartment is a 2/3/4 bedroom, the number of square feet is multiplied by 12 and a figure is arrived at. 

Super Luxury – Very High – Can go up to 30,000 to 80,000 per month

Luxury – Mostly is around Rs. 15 per sqft. So in most cases, it is less than 20,000 per month unless you buy a really big apartment.

Normal – Mostly less than 10,000, Suncity needs to be mentioned in this. It comes under Luxury Apartments but management fee is very low and is maintained well.

A note on Sinking Fund

It's very important to check if there is a sinking fund or not. This is mainly provision for major repairs, replacements in along the lines of common elements such as the exterior of the building requiring a paint job or the tiles in the pool to be replaced or gym machines to be changed etc. 

Why it's important to share all your details with a reliable Real Estate Agency.

When it come to working with Real Estate Agencies in Sri Lanka. There are few who that are actually passion-driven. Most of them are money-driven and that is why clients feel very insecure when it comes to sharing information.

When you are buying a property.

If you have the means to buy a property all by yourself without the professional services of an agency, it's okay but not advisable as Agencies know more about what's going as they are players on the field and it's important to have an Agent you can trust and rely on.

When it comes to renting a property (especially apartments) 

The owners/landlords or landladies are very picky and very few would actually entertain all nationalities. Word spreads very fast and it is nothing new, certain lifestyles are not so impressive and hence, owners do not want their apartments to be hacked. When sharing your nationality, be very careful in how you present it and be very clear on who is going to be living in the property and who is not.

The other important thing is the period of stay. This plays a key role in winning the deal but you have to do your homework before inquiring and check if you are pitching at the right place. Most clients look for short term stays and inquire about properties which are advertised for long term. The game is different. When it comes to:

Long Term

Property owners are not obliged to give you everything that is needed such cutlery and crockery and linen sets. There is a proper method of paying bills as well.

Short Term

You are likely to get everything that you won't get above but it's also important to know that some property owners are also unaware of how the game works and they are nice enough to ask you if you need them and sometimes they provide them too. So you have to be alert and always ask as many questions as possible when viewing the property.

Employment Details

It is advisable to share surface details, do not go deep into explaining what your job role is and how you plan to work unless you have decided on the property. It's okay to share information with the Agent as you have established a certain degree of trust and remember, the agent represents you when dealing with the owner, so be very careful and try your best to impress the agent because an impressed agent will definitely succeed in getting you what you want.

Payment Terms and Conditions

There are very few property owners that charge the rent on a monthly basis. In most cases, the owners prefer to have the payment in bulk but they are quite flexible. It is advisable to inform the agent well in advance about your payment plan or how you plan to pay the rent. It makes the job so much easier for the agent when you tell him/her what your minimum and maximum budget is and from when you need the place. Never say your budget is x. Always give a decent range so the agent can look for options and in doing so, you would be able to note whether the agent is quoting the maximum budget amount for the properties or whether he/she is being honest. This is very important. In selling, there is not much to discuss as most of the paperwork matters are looked into by lawyers but always keep the agent on the loop.

Contact Sri Lanka's Leading Real Estate Agency - Mr. T - The Real Estate Giant if you need to know more information - write to info.mistert@gmail.com

Super Luxury Apartments in Colombo - Best Condos to Live in!!!

Sri Lanka is experiencing a boom in the real estate sector especially in terms of the number of apartments that are coming up. Listed below are some of the apartment complexes you must consider to live in:

1. Havelock City

This is rated as one of the best and biggest apartment projects in the country purely because of the value and space it brings in. As the name suggests, it's a city in itself. The project is reaching its half way stage. The plan is to have 1500 apartments, 250 room hotel, 2 commercial towers /shopping mall and a 7 acre garden. Imagine that. The total land area is around 18 acres. Clearly the Big Daddy of all apartments. This is located on Havelock Road - Colombo 05/06

2. Royal Park Residencies

Sri Lanka's oldest apartment complex. Still standing tall with two towers. The amenities are great and the entrance to the complex is very welcoming with a hotel-like set up. It is also one of the only complexes that has a bar with license to consume alcohol and is surely a preferred spot for many of expats to rent. Some people consider it an 'Old' building when it comes to purchasing it but it's okay to buy and keep/rent out. Location - Lake Drive - Colombo 08 / Rajagiriya

3. Trillium Residencies

'BIG is the word. The apartments are big unlike many other complexes in Colombo. Most, if not, all of them are 3 bedroom apartments and provide all the facilities such the supermarket, badminton court, swimming pool, commercial bank atm, gym, laundry, nice roof top and there is another plus factor in its location as well, walking distance to the British School in Colombo and it's quite central in terms of other locations one may need to go to. This is in Colombo 08.

4. Cinnamon Grand Compound - Crescat City

This is not one compound as such although Monarch Residencies, Crescat Residencies and the Cinnamon Grand Hotel along with the Crescat Boulevard are within the same compound. Just adjoining is the Emperor Residencies, Iceland Residencies and of course the Seylan Towers. Further down is the Galle Face Court 3 and the Galle Face Hotel, one of the oldest hotels in the country. The prices are on the expensive side as it's in ultra-prime location - Colombo 03. This is a highly preferred option as most of the action is around here.

5. Iconic Residencies

This is another complex which has scraped into the super luxury category, certainly a place worth having a look and seeing if it fits your way of living as the apartments are quiet spacious and the facilities are also of high standards. There has been a certain degree of complaining about the small houses (slums) on one side and the road noise on the other side but people are living in the complex. Some like it to be super quiet while others can manage. This is also located in Rajagiriya and is quite close to the Royal Park Residencies.


6.  OnThree20

This is another highly sought after super luxury complex but let's face it, they are small in size and that is by the only downside about this complex. Superb location, amazing views, amazing facilities and the best part is the pool area which is landscaped in a very picturesque manner. Located in Colombo 02. 

7. Marine City 

In Dehiwala, just outside the city of Colombo but pretty much within the range of the expats that love the sea. Maine City is one of those buildings that give you a heavenly view of the sea, the closest you will ever get and trust me, if you find the right apartment (some apartments face the city - not that overwhelming) you would pay anything to have that view. Simply priceless. As the apartment is just outside the city, the pricing is pretty good although some owners have started to compare it with many of the super luxury apartments within the city and have jacked up the rate. 

8. Empire Residencies

Targeted segment. Huge three and four bedroom apartments, what makes it super luxury is the location and the size of the apartment. Less than 10% of the residents happen to be Sri Lankans. Most of them are occupied by diplomats, embassy officials and high end expats. Great location with the Arpico Super Store being a stone's throw away.