Stories from people who have tried guaranteed rent

Many owners encounter the problem of tenants leaving a flat in a poor condition. This neglected state can cause the owner not only embarrassment but also substantial financial losses.  Mr Pavel, one of our clients, shares his story of how we helped him eliminate the risk associated with the end of a tenancy and protect his investment.

How a tenant cost Mr Pavel CZK 100,000 in flat repairs

Mr Pavel was surprised in the same way anyone else would have been in his situation. Even the security deposit he had chosen was not enough to cover all the necessary repairs needed to make the property habitable again. All rental income was therefore spent on the refurbishment, which cost CZK 100,000, and further funds had to be taken from his saved investment reserve.
Total annual return: CZK 65,000

How we solved Mr Pavel’s problem

We do not want to sound like teleshopping salespeople, but when Mr Pavel decided to let with our company, he began sleeping more soundly. We take on the risk associated with the condition of the flat after a tenant leaves, while Mr Pavel only needs to ensure his rental income is taxed correctly (which we also help him with). He can be confident that his flat is safe.

Total annual return with BE: CZK 135,456.
A total of CZK 70,456 more than when he let the flat himself.

*Why does Mr Pavel achieve a higher rental return with BE?
Due to a lack of information and poor-quality property presentation, most owners let their properties for an average of CZK 1,200 below market rent.

** Why is the total return lower?
This is the total return after deducting the BE commission. Even though we charge a commission, Mr Pavel earned CZK 70,456 more than when he let the flat himself and saved around 70 hours of his time.

Would you like the assurance that your flat will be returned in the condition in which you handed it over to the tenant?

For many owners, property is an investment they want to know as little about as possible. If anything, they only want to know what rent has arrived in their account and how much the property has appreciated over the past year. This can mean they overlook important deadlines:

• when waste charges are due,
• when property tax is due,
• when income tax on rental income is due,
• when the current tenant's agreement expires.

Mrs Kateřina's story shows what this approach can lead to.

How a relaxed approach cost Mrs Kateřina CZK 30,000

Mrs Kateřina suddenly found herself in a situation where her flat had no tenant. It was not entirely sudden, however. Her tenant had a fixed-term agreement, and Mrs Kateřina forgot to keep track of the deadline for extending it. A few days before the end of the tenancy, the tenant told her they were moving to another city for work. Because she did not start looking for a new tenant early enough and wanted to arrange everything herself, she lost two months' rent.
Total annual return: CZK 150,000

How we solved Mrs Kateřina's problem

Originally, Mrs Kateřina contacted us after weeks of unsuccessfully looking for a tenant to help her let the flat. However, once we explained how our service works, she made up her mind quite quickly and let the flat to us. From the following month, she immediately had the certainty of rent income (even if the flat was vacant) and knew she no longer had to worry about anything.

Total annual return with BE: CZK 159,360. 
Mrs Kateřina earned CZK 9,360 more with BE.

* Why does Mrs Kateřina achieve a higher rental return with BE?
Due to a lack of information and poor-quality property presentation, most owners let their properties for an average of CZK 1,200 below market rent.

** Why is the total return lower?
This is the total return after deducting the BE commission. Even though we charge a commission, Mrs Kateřina earned CZK 9,360 more than when she let the flat herself and saved around 70 hours of her time.

Would you like to stop worrying about deadlines and earn more?

Vacant flats are one of the main issues owners face, alongside non-paying tenants. In addition to financial loss, they also cause unpleasant stress. Mr Andrej's story is similar to Mrs Kateřina's, except that in Mrs Kateřina's case, it was caused by a relaxed approach. For Mr Andrej, it was a test of whether he could manage it himself.

Total annual return: CZK 270,000

How we helped Mr Andrej let his flat within 2 weeks

Mr Andrej came to our office after 3 months of unsuccessfully looking for a tenant on his own. Although it was a valuable experience, it proved quite costly. 

We professionally assessed the situation, recalculated the rent and advertised the property professionally. Our experienced brokers, proven promotional channels and tenant selection system let the flat within two weeks. Not only did we help let the flat quickly, so he no longer had to worry about anything, but we also saved him a few grey hairs :).

Total annual return with BE: CZK 330,240.
Mr Andrej earned CZK 60,240 more with BE.

* Why does Mr Andrej achieve a higher rental return with BE?
Due to a lack of information and poor-quality property presentation, most owners let their properties for an average of CZK 1,200 below market rent.

** Why is the total return lower?
This is the total return after deducting the BE commission. Even though we charge a commission, Mr Andrej earned CZK 60,240 more than when he let the flat himself and saved around 70 hours of his time.

Had enough already? Unfortunately, there is more. Once you find a tenant, they may stop paying. And an investment can only be called profitable until it starts requiring money. This is what happened to Mr Milan. Over the course of a year, he did not receive rent 3 times, and because he had taken a low security deposit and had not checked the tenant's creditworthiness thoroughly enough, he lost two months' rent and has a claim against someone in insolvency proceedings. In addition to the unpaid rent, he had to deal with an outstanding energy bill of CZK 10,000, while repairs to the flat after the tenant cost him CZK 10,000.

Total annual return: CZK 180,000

How we took over the risk of non-payment and secured a stable income for Mr Milan

We will keep it brief. If you choose the Komfort option, you do not have to worry about anything at all, and rental income arrives in your account every month regardless of whether the flat is occupied. We take on the risk of non-paying tenants, so that you, as an owner, can sleep soundly.

Total annual return with BE: CZK 234,960.
Mr Milan earned CZK 54,960 more and insured himself against the risk of non-paying tenants and flat repairs.

* Why does Mr Milan achieve a higher rental return with BE?
Due to a lack of information and poor-quality property presentation, most owners rent their properties for an average of CZK 1,200 below the market rent.

** Why is the overall return lower?
This is the total return after deduction of the BE commission. Even though we charge a commission, Mr Milan earned CZK 54,960 more than when he rented out the flat himself, while saving approximately 70 hours of his time.

Would you like to stop worrying about non-paying tenants and enjoy a hassle-free income?

Unfortunately, we quite often encounter lease agreements that, in the better cases, have been drawn up incorrectly. In the worst cases, they have not been drawn up at all or have not been extended, so the owner assumes that the tenant is living there on a verbal agreement and can be evicted without any difficulty if necessary. Tenants are also very often charged incorrectly for utilities, or owners sign open-ended agreements, which is one of the worst possible options.

How we helped Mr Matouš set up his lease agreement correctly:

Like many others, Mr Matouš believed that his fixed-term lease agreement was valid. On closer examination, we discovered that the agreement had in fact been invalid for quite some time. We agreed the correct level of rent and charges with the tenant, saving Mr Matouš a great deal of money and potential inconvenience in the future.

Did you know that renting below market value can ultimately cause you more problems than benefits? The story of Mr Robert, who wanted to rent his flat at a “friendly price”, illustrates this clearly.

Total annual return: CZK 127,000

How we helped Mr Robert optimise his rent:

Mr Robert was renting below market value for two reasons:

• He did not know how to calculate the market rate.
• He hoped that lower rent would keep tenants happy while also allowing him to be more selective.

In reality, the lower price attracted less financially reliable applicants, and he wasted a great deal of time on viewings with them. Once he finally found decent tenants, he could have rented the flat to them long-term at a higher price and received a greater profit. The tenants would have remained in the flat in either case.
When Mr Robert contacted us, he was looking for new tenants because he had had to evict the previous ones due to non-payment (he had not received the last 2 rent payments). He then also had to clear out the flat and restore it to a habitable condition (CZK 5,000); the security deposit covered one month’s rent.
We reviewed the agreements, calculated the market rent, began advertising and, within a few weeks, the flat was occupied.

As a result, he now rents at a better price than before and also receives a full property management service:

• cover for the risk of non-paying tenants,
• guaranteed rent every month,
• guarantee of the flat’s condition,
• administration.

Total annual return with BE: CZK 134,360.
Mr Robert earned CZK 7,460 more and secured complete management of his property.

* Why does Mr Robert achieve a higher rental return with BE?
Due to a lack of information and poor-quality property presentation, most owners rent their properties for an average of CZK 1,200 below the market rent.

** Why is the overall return lower?
This is the total return after deduction of the BE commission. Even though we charge a commission, Mr Robert earned CZK 7,460 more than when he rented out the flat himself, while saving approximately 70 hours of his time.