Gallus Property - Tips for Investment

Gallus Property Tips for a Profitable Investment


Researching investment properties on behalf of our client and our own portfolio is a key part of Gallus Property.  Here’s our top tips for a profitable investment:


Research the Area


This one is quite obvious but essential – Prior to beginning your investment search you should carefully consider which areas to focus on.  Try and consider the market that the property will appeal to, if it’s a house does it have a nearby school?  Near a University or College for students?  If you plan to rent it out or sell it your priorities may change so think carefully about who would live in that area and why your investment property would appeal to them

Research the nearby sales and rental prices and consider how your investment property will fare in that market, needless to say you should use conservative figures in calculations


Talk to Local Agents


Before committing to an investment it’s very important to speak to local agents to find out what the rental or sales valuation will be, especially if you plan on doing a programme of refurbishment when purchased.  Consider using a specialist company like Gallus Property for a hands-off investment strategy - A Local and experienced investor could save you time and money and help you avoid the pitfalls of a bad purchase


Have a back-up Plan and Exit Strategy


As ever the market can change and if you plan on flipping a property by refurbishing you may want to make sure that you have a good plan if it doesn’t sell.  If you have purchased in a strong sales and rental area then your investment will be safe.  Just make sure you have an exit plan so that you can always re-sell or rent the property.  Calculate the worst-case scenario of what could happen – Doesn’t sell, low rental figure, market becomes sluggish.


Consider Financing and Budgeting Options


Prior to purchase you will need to think carefully about finance.  Consider talking to a financial advisor who can arrange mortgages and if buying a run-down property then bridging finance.  Depending on the circumstances you may wish to re-finance the property after refurbishments are complete to move on to the next project, just make sure that your valuations and calculations will match up.

Prior to purchasing a budget should be prepared for any works that are required prior to renting or selling, this is important to calculate what your total spend is.  If you are not familiar with refurbishments then try and get local and trusted tradesmen to provide quotes prior to purchase


Appraise the Property


When looking for the investment property study the Home Reports closely and ensure there is a ‘Mortgage Valuation Certificate’, if there is not one then proceed with extreme caution – Often the Home Reports without one are not worth the paper they are written on.  Most commonly this happens with auction properties (which should be avoided unless a savvy and experienced investor)

Be very cautious of some issues which may become expensive and render the property unprofitable – Problems with communal roofs, expensive factors fees due to building issues, damp and structural problems.  If they have a ‘2’ or ‘3’ on the Home Report then you will need to factor this into the purchase price to repair.  Just beware that some of these problems can be long standing and expensive to repair


Be Cautious


As with any investment if you make critical mistakes your investment can become costly and unprofitable.  Use caution and think logically – The numbers and the risk must all stack up.  A cautious investment is better than a risky one.  Do not get overly excited and make an offer that you will regret



Buchanan Street Corporate Apartment Glasgow

Maintaining a Profitable Short-Term Let

Maintaining a Profitable Short-Term Let

In the previous blog we talked about preparing your property for a short-term let, now that it’s prepared this guide will show how to maintain a profitable listing


Understand the Algorithms


One of the common questions we get when a new property has been listed is ‘Why is the price so low?’

Simply put when a new listing is put on you are at the bottom of the search results after your ‘New Listing’ status disappears, this means you need to get people through the door and get some good reviews before you move up the list.  The easiest way of doing this is to crash the price for a month or so, get some good reviews and maintain your response rate and you will start climbing.  It’s imperative to understand that the Algorithms of each site work on occupancy, page views/booking rate and price.

Some of the best looking properties I have seen on Airbnb are £150 a night and at the bottom of the search results - increase your occupancy and lower the price until you find that sweet spot that puts you in front of competitors

Currently our best performing listing achieves 90% occupancy which is almost unheard of, for the reason that we reduce the price and focus on occupancy


Use Pricing Software


Not 100% sure which conference is in town this week?  Don’t worry about it – Use pricing software and you will never again have to worry what concert or conference is on, it works with algorithms and data in your City to automatically adjust the price dependent on demand, it can be quite cheap and will help maximise your revenue in the busy periods and reduce the price to increase occupancy in the quiet months.

A top tip is always check the prices manually, I don’t like gaps in the calendar and prefer to sell a night below the minimum than have an empty listing.  Adjust the price if there’s only a few weeks to sell out a day and increase your chance of last-minute bookings.  If you want to get really geeky you can set up customised rules


Automate The Process

 Consider using a channel manager which allows you to send automated messages.  This is specialist software which syncs to your account and allows a listing and calendar to be shared across various channels, it is especially important if you manage multiple listings.  With the best will in the world the chances of forgetting to send check-in instructions on occasion is quite high.

If you have cleaners you can give them access to the calendar so you don’t have to call or email them every week to schedule the cleans



Ensure Good Reviews

 The main two factors that guests use when selecting a property are the pictures and the reviews.  As shown earlier the algorithms are important to ensure you have a highly visible listing on Airbnb, and Expedia.  An essential part of this is the reviews you received from guests, so what can you do to ensure good reviews?


Automated messages with check-in instructions help keep the communication smooth but regular (and quick) communication in response to special requests and information are great for guests.  Gallus Property always create a handy guidebook with not just check-in information but directions, parking information, and a comprehensive guide on how to work everything in the property.


Other important tips for good reviews are to honestly solve all problems as quickly and effectively as you can, small touches like a welcome pack, coffee machine and toiletries are great to keep guests happy.


If you need more hints and tips then get in touch and see how we can help manage your property

Renovating on a Budget

When renovating a property it is important to maximise your return for the amount spent, especially if you are doing a lower end project with tight margins.

It's actually quite incredible what you can achieve on a small budget though.  Simply replacing lightbulbs, adding fresh paint and re-arranging furniture can make the world of difference.

Here is a recent example of a clients property in Glasgow which was renovated on an extremely tight budget.

We used some leftover white mould resistant paint which has an eggshell finish, some mould resistant silicone sealant around the back of the sink and a new lino floor which was £80 supplied and fitted.

Tired and dated kitchen. Magnolia on the walls and a dim lightbulb made the space feel very dark.
Flooring was dated and peeling so needed replaced


Fresh paint, new floor and a new silicone sealant. Cheap fix, not perfect by any means but it looks a lot fresher and only cost around £100


A kitchen which now looks useable!  New Lino floor was only £80 supplied and fitted


This property had been seriously lacking investment for years on end, so much so that the hallway only had one (yes one!) working lightbulb.  As the ceilings were quite low and I wanted to save money on shades I bought some large Ikea lightbulbs which work as a stylish alternative.  They look a bit whacky but I think they're ok, at £6 they are great value:


One dim and lonely bulb working. Careful not to bash into the walls in this dark hallway!


Ikea is your friend. Remember that

These two jobs were fairly straight forward and the price was very reasonable.  As much as there is great satisfaction in a high-end job with a large budget, its sometimes as satisfying spending less and transforming the look and feel of a property on a small budget.  It really is incredible what a touch-up of paint and new lightbulbs can do for a room.

If in doubt paint it white and put in some good lighting!

Get in touch today if you would like more tips or help with your property in Glasgow 

Gallus Property Guide to Becoming A Hands-Off Landlord

Gallus Property Guide to Becoming a Hands-Off Landlord


If investing in Property is only a side to your main career then you will want to make sure that you invest wisely and create an investment this is as hands-off as possible. 


There may always be some level of commitment required but planning ahead and preparing can save you time and money in the long run.  Here is the Gallus Guide to becoming a Hands-Off Landlord 2019:


Property Sourcing

If you have not yet bought a property then the first stage is deciding which area will make the best investment.  Cheaper areas can provide better yields, you may have more problems with tenants and repairs.  Beware especially of unfactored blocks of properties or flats which are not well managed communally as these could end up being costly and time consuming. 


Consider the Gallus Property Investment solution to assist with the search if you are not familiar with rental properties or areas



Tenant Screening


The right Tenant for the right property should be carefully referenced and screened prior to accepting their Tenancy.  A good Tenant which pays rent on time and respects the Property is invaluable and will allow the Landlord the ability to be hands-off during their Tenancy


It would be wise to use a referencing agency or Letting Agency for this. 




Empower Tenants


How often do the same issues come up – radiators need to be bled, boiler pressure is low, condensation on the windows or even mice.  If you give your Tenants the knowledge to deal with these issues they may even be resolved before you get the phone call which allows you to be as hands-off as possible.


The only issues you should receive will be unresolvable by the Tenants



Use Technology


It’s 2019.  Why are documents still printed and signed?  Use Technology to streamline your operation as much as possible – Video walkthrough inventories, software which gives reminders when certificates expire and even Tenants signing documents can all be done online, save yourself the stress of firing up your printer.


You could even Facetime your Tenant to look at a reported issue, just make sure your tenant is happy to do everything online or by email



Professional Property Manager


Using an experienced Property Manager could save you endless heartache in the long-run.  With a myriad of legal requirements and paperwork it pays to have your property professionally management.  This is the simplest and quickest way of putting your feet up with a hands-off investment, no more emails and phone calls.


An experienced Property Manager like Gallus Property will also know the quickest and cheapest solution to the problem, potentially even saving money should anything go wrong