Is there a way get market price for pre-rented apt. building?

Q: We have a pre-rented apartment building in Bhawanipur, however, all the tenants are aged & tenured since grandparents time. The rents collected are laughably low for that area. Would like to sell the whole building if we can get the building's current market value. Is it possible? If not, any way to boost rents to current rate for the existing tenants?

Arijit Mallick, Kolkata

6th April 2016

Legal in Bhowanipore, Kolkata

market price of bhowanipore

property rates in bhowanipore

how to increase rent for existing tenants?

mutual agreement between landlord and tenants

how to increase tenants rent?

rental building in bhowanipore

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Replies (4)

Thank you for your quick responses Rajarshi & Subhajit. I am more keen on selling off the building. Where can I start to find interested buyers?

Arijit Mallick, Kolkata

6th April 2016

Comment

Hi,
Are you planning to sell out your building? To get best deal on your building, you can call on this toll free number (1800) (180) (180) (180) Or List your property for sale at List property for sale to find right buyer

Priya Gupta, Kolkata

6th April 2016

Comment

Good morning Arijit!!!!
The amount of rent payable for a property is agreed between the landlord and tenant at the start of a tenancy. Private landlords must follow certain procedures if they want to raise the rent. The rules are set out in Part 3 of the Residential Tenancies Act 2004 and have recently been amended by the Residential Tenancies (Amendment) Act 2015. These rules only apply to private rented housing, not to social housing.

Promit Dutta, Kolkata

6th April 2016

Comment

It's true Promit but Mr. Arijit's case is little bit different so, he should go for the mutual agreement. If there is a no mention of a rent increase in the tenancy agreement and you do,'t wish to serve any notices, you can still talk to the tenant and see if they will mutually agree to pay the increase rent. If they do, it is important to create a documented Rent Increase agreement.

Subhajit Rao, Kolkata

6th April 2016

Secondly, i can only suggest you that find out current local rates for similar properties in the same area. If you are undercharging, you can use that as a bargaining with your tenant. Softly, explain that you need to be keeping up with the economic change in the rental market, and currently the rent you are charging is not up with the local market.

May be, that will make your tenant think twice about vacating, because if they decide to vacate they will only move into another property, paying the same amount that you initially wanted.

Promit Dutta, Kolkata

6th April 2016

Thank you for your quick responses Promit & Subhajit. I am more keen on selling off the building. Where can I start to find interested buyers?

Arijit Mallick, Kolkata

6th April 2016

Hi Arijit,
Price of a flat & Apartment depends on locality, basic amenities, connectivity and transport facilities. So, if your building comes on the road side, price will be little bit higher then the inner part.

Currently the property rate in the locality is Rs. 10700/sq-ft. (Upper range), Rs. 7000/sq-ft. (Lower range) and Rs. 8900/sq-ft.(Average range).

Rajarshi Gupta, Kolkata

6th April 2016

Comment

Hi Arijit,
Selling an old flats in these days is very difficult. It is only possible if you have all the required legal documents in place and then serve a 2-3 months pre-notice to all your tenants that you are selling your flats. But it is again possible my the mutual and healthy talk.

Subhajit Rao, Kolkata

6th April 2016