Bitprop will provide you with a monthly report on the rent collected and expenses incurred for your property and per flat.
Bitprop will retain the tenant’s deposit, which will receive interest for the duration it is kept by Bitprop, in accordance with law.
If a tenant pays late, you will not receive your portion of rent for that month. Bitprop will process payments once a month on the 7th of the month. If a tenant only pays after this, their payment will not be included in that month’s payment to you. You will still receive your portion of that payment, but it will be paid with the following month’s payment. If a tenant does not pay at all, they will receive a notice of eviction, as you will need to readvertise the flat to find a new tenant. It is not possible for them to pay with their deposit.
If one or more flats is empty for a month, the total rent collected will be reduced. You will still receive 15% of whatever has been collected.
Bitprop has the benefit of having worked in a similar way with many homeowners. We will provide guidance to you about how best to manage your property to ensure that all tenants are happy and that things run smoothly. Before construction is complete, we will provide you with educational material that will allow you to train adequately to be a property manager. Completing this training is mandatory for all homeowners, even if you have prior experience with managing a property.
Once construction has been completed, Bitprop will provide you with assistance to manage your property. Bitprop will collect all rent and handle deposits, provide rent agreements, insure the flats and provide reasonable maintenance as and when necessary.
Every flat has individual water and electricity meters that the tenants will pay for.
Bitprop will provide lease agreements for all tenants. It is essential that all tenants sign a lease agreement.
As the property manager, it is your responsibility to find tenants for your property. We will provide assistance, however, by advertising online as well.
We decide, together with you, what the appropriate rent is for the flats we build in your area.
Once construction has finished, our rent sharing agreement begins and continues for 8 years.
The rental sharing process is how we pay for the construction process. Instead of you needing to pay anything in the beginning, we help you create an asset that can generate income (the flats) and we share the income from that until our agreement ends.
We split the rent 85/15 each month. This means that you will receive 15% of the total rent collected. This remains constant regardless of how much rent is collected. If a flat is empty, you will still receive 15% of what is collected. Bitprop uses the 85% it keeps to repay the building costs and to pay for maintenance and insurance of the flats.
All tenants pay rent directly to Bitprop. We will pay you your portion of the rent once a month, once all payments have been processed.
You as the homeowner will not need to contribute any money towards the construction process, and there is no application fee. You will pay by providing access to your property, providing property management skills and by sharing your rental income with us for the duration of the agreement between us.