Estate Investment in SL

[eric052015]

Hi, my partner and I, we are planning to launch an estate rental business in SL and would like to get some technical guidelines about the process please such as:

 

1. How and where to buy lands for investment?
2. Sharing options to make small plots for rental spaces.
3. Applicable cost etc.

If anyone can provide me some relevant information about this, that would be great, thanks.

[Buttacwup Float]

I have run a small estate for over 3 years. Happy to answer questions based on my experiences. Feel free to msg seanabrady Resident in world for more discussion.

 

1. Assuming you want to start a private estate and not start buying up mainland to resell, the beat place to start is the land section of these forums. You can get full regions at far less than the normal LL cost. I would recommend never buying a region from LL direct. Always cheaper resident to resident. Should be noted though that LL is still a part of those transactions and handles the money changing hands.

 

2. Its common to subdivide your land into smaller parcels and then sell/rent those out to people. It is very easy to do on the viewer. Even though others may buy these parcels as the estate owner you still retain the ability to reclaim them.

 

3. Costs to get started are dependent on your plans but at the minimum. A) you need to buy a dim. This will cost around 300-600 USD. Also plan for the next month's tier which is $295. You will likely need to buy a rental management system to control payments. They are a couple thousand L$. Unless you offer something unique or get really lucky you will need to cover at least partial tier for a number of months. So plan on that cost as well. As for pricing things here is the formula. Itntake 76000 L$ at the common exchange of 248 to make your 295 USD needed each month for tier. That equates to charging about 256 per prim per week at 15000 prims. On full regions, not homesteads, I find at or below 1.50 rents fastest.

 

Anyway feel free tp ask questions here or in world I am happy to try and answer them.

[bebejee]

Does one make profit, or recover what they invested, putting in nearly 1K in real money is alot.

[Amethyst Jetaime]

It depends on you and how fast you can get it ready for tenants, how nice it looks, rent amount, your marketing it etc.

The first month you will have to pay the tier, and maybe the majority of it for another month or so until you get it all rented out.  Even then you will have turnover and sometimes a tenant will leave and it may take a while to rent out the parcel again.  So plan on a certain amount of vacancy when you are doing a business plan and deciding on the rent you want to charge. 

You will have to offer competitive rental rates or you may not rent any of them out.  I would research what you competitors charge and the extra amenities they offer.  Then decide what to charge.

Don't count on making a lot of or any profit with just the one sim.  The ones who make a lot are the land barons that own a lot of rental sims.  Some of them just started with one sim though, just like you.