Starting a Furnished House Business in 2021? Here is How

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Attention entrepreneurs! Are you starting a furnished house business in Kenya? Do you want to venture into furnished home property? In any business, you don’t dive in and bite the bullet. You have to do research and learn tips and tricks to succeed in the industry. When you start a furnished home business in Kenya, you are giving your tenants a ready-to-use house. It is crucial to have a concrete business plan, niche, understand the risks, and stay ahead of the trends in the industry.

Check out this post on other business ideas you can try for a successful and profitable business in Kenya.

Starting a furnished house business in Kenya means that you are opting to rent out a ready-to-use house. It is a house that is complete with furniture, kitchen appliances, interior furnishings like the carpets, curtains etc.

Reasons for starting a furnished house business in Kenya?

  1. Higher rental rates. To reap big from your furnished house business, you need to be smart. When you minimize the furnishing and running costs while providing the best service to your network of clients, you will smile your way to the bank as the need for housing units increases every day.
  2. Huge return on investment. Averagely a furnished house business would generate twice the amount you spend every month if managed well on the minimum side. This is because of the advantages of working with a predictable industry, which gives you the advantage of recovering your ROI at the earliest possible time.
  3. Ready market. A furnished apartment is one real estate sector that has a continuous pool of customers. This type of business attracts tenants like travelers, business people, university students, and families. You won’t run out of business that easily as long as you meet the basic requirements and the best service required.
  4. Rent it to Airbnb service. Airbnb is a service that has been around for a while. It’s best known for connecting travelers and tourists to private homes and furnished apartments for rent on a long-term or short-term basis. Visitors from abroad usually book houses and apartments using a mobile app or via a web portal. Having an opportunity like Airbnb means that you can register your furnished apartment on the portal to attract business travelers and people on vacation.
  5. The rise of high-end buildings. Recently there has been an increase in the construction, sale, and lease of high-end apartments across the country. Any person thinking of utilizing the opportunity by leasing these stylist apartments and re-renting back creatively to the new tenants will probably make a kill.
  6. Pandemic Seasons. With the Covid-19 pandemic affecting almost every business, the hospitality industry has been brought to its knees. More hotels are currently closing down due to high running and maintenance costs. Yet, the number of tourists remains to be at all times low. On the other hand, furnished apartments remain the only option left to accommodate the few visitors remaining. Local tourists have also taken the option of finding privacy, cutting costs, and exercising social distance with a few friends and family.

On the flip side, furnished rental houses have their disadvantages.

Disadvantages of a furnished house business.

  1. High cost of investment. One disadvantage of a furnished house business is that it has a higher initial cost of investment. You will need to buy furnishing items which will cost you more money. The good thing is that you will recover this money quickly when you start renting out your houses.
  2. The cost of maintenance is higher. Furnished rental properties need to be in good condition all the time. When you venture into this kind of real estate business, you should be prepared to incur a higher maintenance cost. Furniture and kitchen appliances are bound to wear off quickly from time to time. And no tenant will want to rent a furnished house with no functioning kitchen appliances or damaged furniture. As the landlord, you will either spend more time managing your property or spend money hiring a property management team.
  3. Furnished houses have a higher risk of damage. The risk of clients damaging your property is higher because you have more items in the house. Aside from the agreement between you and your tenant, you have no control over how the tenant uses your property. You are running a higher risk of spending money to repair your property frequently.

Chosing the best location for Starting a Furnished House Business.

Choosing the best location for your furnished rental houses business is very crucial. A furnished house business in Kenya does not flourish in any random location. This is because your tenants need to rent an excellent and affordable place that is well furnished. Focus on areas that attract business people, students, and tourists.

Some of the places to consider for your business include cities like Nairobi, Mombasa, Kisumu, and other towns in Kenya like Nakuru and Eldoret. Also, locations near colleges and universities are the best. You will be targeting students and lecturers majorly to rent your furnished houses. Places near tourist attraction sites are right too for furnished rental homes. Think of families going on vacation and need beautiful places to rent during their stay.

The best furniture to include in your furnished house.

When choosing furniture to put in your furnished houses, it is crucial to consider the quality and cost. You are in business, and you want to keep costs down. If you can’t afford high-end furniture stores, Corido Marketplace is here to help you with a vast range of quality furniture to furnish your home. That said, below are some of the essential furniture you need to put in your rental property.

  1. The Living room furniture. Purchasing living room furniture is one of the steps you need when furnishing your rental house. You will need to include a good set of sofas, tables, TV stands, and lamp accessories for some of the furniture. We have all these types of furniture to make your furnishing process easy and affordable.
  2. The Dining area furniture. Another place you will need furniture is the dining room. You will require a dining table and dining chairs.
  3. The Kitchen furniture area. In the kitchen, you will require kitchen cabinets. Additionally, it is good also to offer a fridge, a microwave, a cooker, and kitchen utensils.
  4. The bedroom and bathroom furniture. Another area to furnish in your house is the bedroom, bathroom, and laundry area. You will need a bed, closet, nightstands, chest of drawers, bathroom curtains, waste bin, and towels. Also, you will need to offer a washing machine, dryer, iron, and an ironing board. The good news is that you can find all the things you need to furnish your home here at the Corido Marketplace.

Choose the right appliances and furniture for your furnished house business.

Purchasing the best quality and cost-effective appliances and furniture for your home is very important. Therefore, you should consider the cost, space, and your clients’ needs when buying your furniture and appliances. Perhaps Corido can be considered as a one-stop shop for all household items. We have the best things at affordable rates when you purchase in bulk.

Are you set to start and furnish your rental house?

Contact us here at the Corido Marketplace for quality appliances and house furniture by calling on 0794858010