Rental reductions

Discussion in 'Egypt property' started by elhayatowner, Feb 27, 2011.

  1. elhayatowner

    elhayatowner New Member

    since the trouble in Egypt has anybody been asked to reduce the rent that they charge on there property.

    I have an apartment in sharm and I am being asked to reduce the rent to 50% for the next 3 months as the resort is quite.

    It is not a holiday but a long term let to an Egyptian that works there.
     
  2. shilly

    shilly New Member

    Was interested to read that you have been asked to reduce your rent.Do you pay maintenance charges? If so are these being reduced by half too????
     
  3. elhayatowner

    elhayatowner New Member

    I pay maintenance to the developers and that has not got down 50%. I think its just my letting agent trying to rip me off. It will be interesting to see how many more people are being asked to reduce there rent, because according to him everywhere is reducing rent.
     
  4. Alan Cockayne

    Alan Cockayne Banned

    Rent reductions.

    Tell them to get lost....

    You can find other tenants if you look further. And they will look after it better. Besides, this lull won't last forever, then you wouldn't be able to ask for the normal rate again once you lower it.

    I once got a tenant paying £2,000 for two weeks on a large villa with an Arab family. It cost the owner £2,750 to repair it. It was better not for him to let it out.

    Alan.
     
  5. LOUKIC

    LOUKIC New Member

    If this management company has done a good job so far, you should perhaps keep them. If this reduce is only temporary, try to negotiate the terms (compensations, maintenance costs...).

    or you might be better off cancelling and rent it out your property yourself by using a local agent or appointing a new management company. Check your contract to see if you have the possibility to cancel your lease agreement or management agreement.
     
  6. samui13

    samui13 New Member

    As far as I am aware, sharm el shiekh real estate have just halved the rents and not given the owners any choice - people are complaning on another forum - they felt they should have only been approached if the tenant was having probkems and planing on vacating the property!
     
  7. elhayatowner

    elhayatowner New Member

    what is the other forum?
     
  8. Alan Cockayne

    Alan Cockayne Banned

    If anyone has a signed agreement with Tarek (SESRE) stating regular tenant rates, this is binding. As I know him well, he fully understands the meaning of a contract and should fulfil it.

    You may find new rentors will play the game and ask agents for reduced rates. You know not to. Wait till another enquiry comes along and stick to the arrangement. Or find your own alternative customers by multi-adverts through various agents. If anyone is looking to rent-out and is not prepared to make the effort, they are in the wrong trade.

    Alan.
     
  9. samui13

    samui13 New Member

    The other forum is stay in sharm.com
     
  10. sharmelsheikh

    sharmelsheikh New Member

    Tarek El Saddi; MD SESRE

    How did you get to know Tarek and what do you think of him? What do you mean "the contract is binding"? What difference does it make if the contract is binding or not! If the contract is binding and the other party does not comply with its terms and condition what could you do Alan? You will need to go to court and this will take years to resolve and you might lose the case at the end. It is a nightmare.

     
  11. Alan Cockayne

    Alan Cockayne Banned

    What I meant was that a contractual agreement made with Tarek would be binding.

    If Takek's staff wanted to put up rents or ask for more fees, or to keep the tenants by reducing rents without the owner agreeing, then RSRE would be breaking the contract and the owner could walk away from that agreement and find another agent or private tenant.

    As you know Mahmoud, laws are made for that purpose.... But..... some like to abuse them.
     
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