Mainland Rental Rates

After a long time of buying and selling land, I am thinking about getting into the rental business.

1) What are mainland rental rates going for now a days? Been forever since I rented myself.

2) I want to build a nice high end community on the water. Is there a market for mainland rentals where the units are pre-built? Basically a really pretty storage locker....LOL

Anyone have any idea?

Think about this. If you'd bought a 512sqm parcel a month ago for 10/sqm and then rented it out until now you would have had to charge a total of L$2048 (about L$500 per week) just to cover the amount of money you've lost in land value (now at 6/sqm). That's not even mentioning tier costs which would be another $400 minimum.

i rent the most charming lil sky condo on the mainland for $650L a week and i get 500 prims it is not normally that high a rent and it is not normaly that high a prims but i cant help i i love my primmy items and having extra prims if i want to work on building a few lil items while i am in my condo

the place is 95% or 100% full at all times

It's not a difficult calculation Lincoln but as you don't mention the area you have then I can give you an example of how to calculate:
Most important is to realise that sqM means not a lot it's about prims. So, example: 1024 sqm = 236 prims and costs you $5USD/month (You have your 'free' 512 sqM that's not charged for). $5USD is approx' L$1600 (Selling x-rate plus the 3.5% fee). You have 236 prims so cost/prim = L$6.8/month. Divide by 4 to get your weekly cost and then multiply by your desired profit margin.
As Elanthius said, you'll maybe lose out on the original purchase price but if you rent long enough you'll make that back. I've never factored the original purchase price into the equation as I look at the land as a capital asset.
Hope that helps. If you want my advice though I'd forget it. Land/property rental is minimal return for a ton of hassle.

I agree to a certain extent about mainland...but island rental is hot!

The parcel I am looking at is just under 16000 sqm. Its all water but on protected channels on 2 sides. I was considering a yacht club community with docks for each unit on protected channels. I want to do a community building clubhouse as a center of a spoke and 8 units coming off of that. Not sure about available prims because I am not sure what the build will chew up. Probably 400 available for each tenant. 3 or 4 group boats to be available as well.

I am a sl developer at heart. I have built office complexs and malls etc. but have always sold them. The market for developed property though is almost zero. Its sad but I can put in hours building a custom building and no one wants to pay anything more than what I bought for it. I figure paying a couple of thousand L's extra for a well built and attractive building shouldn't be a stretch, but thats just the way it is. Since we are overwhelmed with land for sale and since most buyers aren't end users, I figured maybe rental is the way to go since I can satisfy my bug to build and still manage to cover the tier.

I would love to find an island rental that would allow subletting, but that is way too much of a hassle and I can't dream of affording an entire island of my own.

I did exactly that in Liome. It is renting veeeeeeerrrrrryyyyyyy slllllloooooowwwwllllllyyy. Be prepared to do this venture at a loss, at least for the first month or so. But in the meantime, I'm having a blast in my own ad farm-free paradise.

It really depends upon how much land you own as tier fees are not even. For example half a sim is USD$125 a month whereas a full sim is USD$195, so with a full sim you can charge less for your land.

Two things you need are patience and more patience. You will almost certainly take a hit initially whilst you drum up business.

Now you tell me.

The other cool thing about having a full sim: 15000 prims. Woot!!

Your vision for your land sounds lovely. Two small issues with the plan in the short term: 1) All the cheap land for sale has greatly depressed the rental market because people just bought instead. 2) Things are sssssssllllllllooooowwwwwwww right now anyway due to seasonality and the fact that SL is not getting new residents in the numbers that they used to. But come October, land prices may be up a bit and so may the population. I hope.

I completely agree with the above...it is extremely slow right now. My mainland rentals were always 100% full and when one would ever become available it would rent within a few days of placing a classified add. Now Im sitting with 3 empty, but getting ready to shut those down to try something else with the land I think. Might bring it back if rentals go up again. I have 2 long time tenants left and I adore em, 1 new tenant as of last week that paid for a month in advance so I am hoping he becomes a long time tenant as well. THose would be, of course, my favorite kind lol

>1) What are mainland rental rates going for now a days? Been forever since I rented myself.

I've been renting at L$195 per 512 sqm per week. The rental market HAS been slow -- I've had vacancies in Peronaut Sim at these rates for the last few weeks.

Before, I think the rental market did a little better because the barrier to entry was so high with mainland land prices. With purchase prices now under L$7 per sqm, it's much easier to buy.

Last week, I saw a post offering mainland rental at ~L$100 to L$110 per 512 sqm per week. That is JUST making tier, at full-sim mainland tier rates (US$195 per 65,536 sqm per month). That looks like someone with full sims of mainland is just trying to make tier at this point, which adds more suggestion that mainland rentals may be a hopeless proposition soon.

I don't know, I'll see shortly if it's a doom and gloom scenario, I think there is a summer slowdown. I rent at around the same rates as you for 512 but have the odd one I rent for L$100 if I think the surrounding space has made it less desireable (which is always a risk with mainland).

My rentals are down this week but they were ok last week.

Do your tenants prefer to rent bare land and rez their own structure? I really want to maintain a uniform community regarding structures although I will be happy to allow placement of boats at the docks. If they would rather live in their boat, thats fine by me.

I went ahead and bought the parcel and am planning out my build. One nice feature will be a long stretch of water with dock on 3 sides....sort of a harbor with jet skis to use. I am planning on using the second story of the club house to put my shop in as well so I will get double use out of the property. The shop does between 7500 and 10000 L a month so at least I have a base income to cover a piece of the $75 tier.

I have wanted to do this for awhile but the lack of LL waterways always changed my mind. On the new continent though, boating about is possible so I am hopeful. I am thinking about contacting some of the boat builders to rent them some ad boards and rent a few myself at the boat builders locations.

I have found 3/4 of the people like the houses I provide (By Ace Albion and Jack Feaver). A few have rezzed their own. Overall, people like to have options.

One thing I did was spare no expense as far as landscaping. There are great features, poseballs, sailing lanes, a reef with manta rays and turtles, even a Paradise blanket (provided by one of my tenants). I think if you build the area for how you would want it for yourself, the renters will follow.

I think business is going to pick up after this weekend. Today was a very good day as far as traffic on my sim and I have two new longer term renters.

Yes, same here (although different house builders). We spent a lot of time (and a few Lindens lol) landscaping, and I think that is what has made the difference. Certainly we get a lot of compliments on the overall look and 'feel' of the sims, and our residents are pretty much long term. We've put in a lot of things to do when people aren't busy with their main SL activity (hehehe) and it all seems to go down very well. I added a Penguin Chucker today...... is that so wrong??

I was talking to another sim owner today who has gone down the same route as us (er.. rather too much, as he nicked/adapted my covenant.. umm don't ask me where I got mine lol) and he has found it very slow renting out to date. That said I think he has only been open for a couple of weeks... but he does have a very nice residential setting so I think it's only a matter of time before he'll be full. But as we said to him, that 'matter of time' does tend to be a bit nail-biting when you're looking at $295 a month......
Inc

(edit - just realised of course the OP was about mainland not private islands.... but I think the same thoughts apply)

Only if you're the penguin.

I dunno. Some penguins might like it...

I'm now at lucky #13 regions. Well to be honest, 12 regions and 1 island.

All are ad farm free, that's why I buy full sims, and well landscaped with paths and roads. I add gardens and game rooms and swamps and cave systems and holodecks, whatever fits the theme of the sim, to give people stuff to explore. For instance, Meglos is a dark medieval/ gothic city sim and has a good size underground sewer sytem to play in. I think it's important to blow a few prims on set decorations.

I am on line 14 hours a day 7 days a week as well as a employing a few full time property managers and it takes all that time plus more to eek out my current 85% tenancy rate. Most months I cover tier and when I don't it's pretty close.

It takes a LOT of work to keep tenants happy and provide a nice place people want to stay. Your idea sounds great! A lot of people ask for water and beach land. My beach rates are $2.35 per prim per week. Mainland is $2.15 I do give price breaks at higher lot levels to keep it just below Linden tier so it's cheaper to rent than to buy and my tenants get nice ad farm free land and a guarentee of only 1 club per region Max. Some regions I don't allow any clubs in lol. Keeps down the lag.

Good luck on your build! The only reason I keep buying sims is so I can keep building them lol. I love to build.

I love decorating and I love land. I found a pretty little sim with a lot of cheap land available and my partner and I bought up some of it. We're in the process of decorating and trying to get renters in, with the goal of creating cozy showplaces that people can just move in to. But um...now I'm starting to panic.

We have to rent at a pretty high rate in order to cover our costs. So now I'm asking (too late perhaps) about the market for furnished residences. And what is the best way to get the word out about them?