I've started to get interested in running a share house, but I want to know if an individual can run one.
This article introduces information that will be the first step for such people in running a share house.
I will explain the differences from general rental properties and the key points of operation.
【Conclusion of this article】 ・No qualifications are required to run a share house, and individuals can do it! ・Introducing the pros and cons of running a share house ・Introducing 3 key points for successful share house operation
Supervisor of this article: Kyoko Watanabe (Makigumi Inc.) Moved to Ishinomaki after the Great East Japan Earthquake. Established Makigumi in 2015. Purchased vacant houses with low asset value and started a landlord business targeting creators. Currently exploring mechanisms for circulating local real estate through sharing and reuse.
Here, we will explain in detail about share house operation, focusing on "What exactly is a share house?" and "You can run a share house without qualifications."
A share house is a rental property where several people live together in one residence.
Lower rent
These are the appeals of a share house.
As lifestyles become more diverse, share houses have become widely recognized as one option recently.
Therefore, the number of people, especially younger generations, moving into share houses is increasing.
No qualifications or licenses are required to operate a share house.
If you own a property and have the legal knowledge and know-how required for rental management, you can start. If you have a vacant house that you're not using, or if you're interested in running a share house as a business, you can start right away.
Since no special qualifications or licenses are required, individuals can run a share house.
Even when operating individually, it is possible to entrust management to a management company.
There are mainly two ways to operate a share house.
Self-management: You handle all operations and management yourself, and receive the full rental income.
Entrusted management (sublease method): You pay a management fee to a management company and entrust them with management, reducing your effort compared to self-management, and allowing you to delegate highly specialized tasks.
Understand the characteristics of each and choose the operating method that suits your style.
Here, we explain in detail the pros and cons of share house operation. Knowing the pros and cons will help you understand the differences from general rental properties and determine if share house operation is suitable for you.
Can utilize older properties
One of the appeals is that even older properties can be easily operated as share houses.
Furnished with appliances
and so on.
Therefore, many people do not place much importance on the age of the building.
Recently, there has been an increase in share houses that have stylishly renovated old buildings, and older properties can generally be purchased at a lower price.
In conclusion, the possibility that the age of the building can be an advantage is a major benefit of share house operation.
Share houses can expect high profitability because one property is rented out to multiple people.
Since it is rented out to multiple people, even if a vacancy occurs, there is rental income from other residents, which reduces the risk of vacancies. Also, share houses equipped with furniture and appliances are easy to move into, so even if a vacancy occurs, new residents are easily found.
I myself have lived in two share houses, and new residents always moved in quickly even when vacancies occurred. Therefore, share house operation tends to offer high profitability.
Share houses have clear differences compared to general rental properties, so they can meet specific needs. Therefore, they can be differentiated as rental properties.
In particular, they often match the needs of younger generations who want to keep rent low. Share houses with concepts such as international exchange or living with pets can be further differentiated.
In this way, it is easy to achieve clear differentiation, which is one of the advantages of attracting residents who match those needs.
Extensive management tasks
One of the disadvantages of share house operation is the extensive management tasks.
Cleaning common areas
and so on, there are many things to manage.
Also, having to make individual contracts with all residents is a hassle. Depending on the share house, some tasks can be entrusted to residents.
For example, taking out the trash, replenishing consumables, and cleaning common areas.
Nevertheless, it's not possible to "completely leave it to them" like with general rental properties. The disadvantage of share house operation is that you cannot just "rent it out and forget about it."
Since unrelated individuals live together, interpersonal conflicts are prone to occur.
In case of trouble, the owner may have to intervene. Also, due to interpersonal conflicts
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