A guaranteed rental is a transaction whereby a party looking to acquire a property in order to rent it out on a retail basis (i.e., nightly or weekly), typically a property manager or vacation rental manager, rents from the owner of the property a large block of time, typically several months or even years.It is a unique system for those who are looking for investment and guaranteed return for specific periods, this system is provided by private contracting companies to its clients, as it is available in various types of residential projects, commercial or hotel apartments, and the property is also used to obtain residence or Turkish citizenship at the same time!
guaranteed rental return
A Guaranteed Rental Return, or better known as GRR, is a future rental income that is guaranteed by the developer or management company to the property purchaser for a contracted period after the purchase agreement is signed. In simpler terms, it’s an auto rental when you own a property.
guaranteed rental system in Turkey
Investing in rental guarantee projects in Turkey has come into prominence as the most profitable decision according to the investors, it seems that investing in a property with continuous income is quite advantageous with high ROI.
The continuous income of a property means a rental guarantee, but this might not be valid for all types of properties!
In Turkey, the amount of rental guarantee projects increases in accordance with the demands of local and foreign investors. This situation might lead to concerns as to whether the rental guarantee is in danger. As “Aras Turk Property,” we make our best efforts to provide you a fixed income model while removing your concerns.
How Does this system work in Turkey
Rent Guarantee: It is a system that guarantees you to obtain a specific percentage of the total property price ranging between 7% and 12% annually and for a specific period, usually ranging from one year to five years, depending on the project and its type.
Repurchase Guarantee: It is a system that guarantees you from the construction company to buy back the property from you after a specified period, usually after three years, and with a profit rate ranging between 25% and 40%, depending on the project and its type.