Last updated on June 26th, 2023
Executive Summary
Overview: More than 70 years ago, Gumenick Properties started offering houses to individuals. We still own and operate apartment complexes and commercial office and retail assets in vibrant urban regions throughout the Southeast. In Central Virginia, we also construct and market new townhouses, condos, and single-family homes. We are entirely devoted to great quality, exceptional customer service, and an unbroken heritage of excellence in all parts of our organization.
Mission: Gumenick Properties’ mission is to provide value to customers by creating, purchasing, and managing high-quality real estate while offering exceptional service.
Vision: We are devoted to our tradition and reputation by providing value, innovation, and quality in our operations, based on our foundation of high integrity and generosity. Personal responsibility, a feeling of spirit, and a dedication to the success of our workers, customers, community, and each other shall be pursued with pride and respect for others.
Industry Overview: The rental property market in the United States is expanding in terms of size, finance, and investment potential. The need for property management businesses and new software technologies will increase as investment, and new rental property portfolios grow. The VP and Head of Economics at RealPage discussed the rental market situation in the United States with Yahoo Finance. The house rental business is increasing, according to their statistics. He worries that supplies will be scarce by 2022. He also said that the typical apartment tenant now makes $70,000 per year and that renter salaries are steadily increasing (3.3 percent ). When you add that more purchasers are being locked out of the market, the vacancy rate is unlikely to reduce in 2022 or even in the following five years. Particularly in Texas, prices are rapidly increasing. And there aren’t many property management businesses with expertise in these new areas. This is a viable market for property managers that use technology to handle accounts. These are positive signs for rent-seeking investors.
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Industry Analysis
Rents are growing in 92 percent of cities, and rental property investment will remain favorable in 2021. The rental market is still tight in Florida, California, and Hawaii. Even though prices have leveled off or decreased in many locations, the earnings potential for builders and property owners remains good. The rental property industry in the United States is becoming a larger part of the $127 trillion worldwide real estate sector, accounting for 60% of all mainstream assets. Even though the rental property market is less than half of the $36 trillion U.S. real estate industry, it is a fruitful paradise for small property investors. Immigrants account for a large portion of rental demand, and the rental market in the United States is likely to concentrate increasingly on immigrant purchasers during the next 12 years.
The Real Estate Rental and Leasing industry includes companies that rent, lease, or otherwise enable the use of physical or intangible assets and companies that provide associated services. The majority of businesses in this sector rent, lease, or otherwise enable others to utilize their assets. Real estate and equipment are physical assets, whereas patents and trademarks are intangible assets. Establishments mainly involved in managing real estate, selling, renting, and/or purchasing real estate for others, and assessing real estate are included in this category. These operations are closely connected to the principal activity of this sector. Therefore, they should be included here on a production basis. Lessors also do a lot of their own property management. The real estate rental market comprises companies (organizations, single traders, and partnerships) that rent, lease, or enable the use of buildings and/or land. A rental agreement between a product owner and an end-user governs the rental of products or services, in which the end-user pays for the temporary use of the product. The rental agreement is a legal contract that allows you to rent a place (commercial or residential) for a certain time in return for a monthly fee.
The worldwide real estate rental industry is estimated to increase at a CAGR of 10.7%, from $2164.29 billion in 2021 to $2396.61 billion in 2022. The market is growing primarily due to companies reorganizing their operations and recovering from the COVID-19 impact, which resulted in restrictive containment measures such as remote working, social distancing, and the closure of commercial activities, all of which created operational challenges. With a CAGR of 9.7%, the real estate rental industry is predicted to reach $3476.58 billion in 2026.
Real estate brokers are increasingly using new technologies such as internet listings, video, and virtual reality (V.R.). With technological improvements, real estate brokers’ roles move from information arbitrators to local market experts and service providers. Zillow and realtor.com, for example, give a home database and information on tax and purchase histories. Video, virtual reality tours, and e-signing services help speed up real estate transactions. For example, Cartus Corporation, a US-based real estate services firm, announced a new technology-enabled global staff solution under its Language and Intercultural Solutions business line in June 2021. Employees may use the new digital learning environment and Language and Intercultural Solutions to help them travel and relocate to new areas and guide them through some of their most difficult professional and personal changes.
North America was the second-largest rental market area. Asia-Pacific, Eastern Europe, Western Europe, North America, South America, the Middle East, and Africa are among the areas included in the real estate rental market research
The worldwide rental market is divided into categories:
1) Type: Residential Buildings and Dwellings Rental Services, Non-Residential Buildings Rental Services, Mini Warehouses, and Self-Storage Units. Other Rental Services
2) Mode: Online, Offline
3) Property Type: Fully Furnished, Semi-Furnished, and Unfurnished
The Real Estate and Leasing and Rental industry in the U.S. has done well over the last five years, with a rising revenue of an annualized 3.7 percent to $988.4 billion, with a 1.2 percent increase predicted in 2018. A strong increase in each of this sector’s subsectors and following industrial groupings has aided overall success. Sector revenue is predicted to grow at an annualized 1.6 percent during the five years to 2023, reaching $1.1 trillion. Revenue growth is likely to decrease due to a real estate market reversal.
This industry is largely concerned with real estate managers, sellers, buyers, and renters. Renting and leasing of physical commodities, such as equipment, and intangible things, such as patents, are also included in this industry. This sector excludes operators that mainly rent or lease equipment to operators and commercial mortgages, which are classified as financial instruments.
Marketing Plan
Social Media: Gumenick Properties will be sharing photos of our property on Instagram and posting our listing on Facebook Marketplace.
Content Marketing: We will be sharing virtual tours of our property. Viewers will see actual units and their amenities.
Pricing: Gumenick Properties offers a reasonable price. Pricing will be in line with other comparable units.
Website: Gumenick Properties website provides tenants with what they need to know about the property. Photos and updated rent prices will be available on our website.
Rental Listing: Gumenick Properties will be available on rental listing sites and complete information about the property.
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