Five tips for new landlords
You’ve decided to take the plunge and become a landlord. Congratulations. With rental property continuing to be in high demand, BTL mortgage products competitively priced and with the cost of rent rising in many areas, letting property out remains a lucrative business.
That said, becoming a landlord for the first time can be daunting and is not without its challenges.
Check out the following five top tips for first-time landlords.
Research and understand your legal duties
Landlords have a number of legal responsibilities and it’s important you are aware of such regulations and comply to all of them. Some of the current legal duties include getting an Energy Performance Certificate (EPC), protecting the tenant’s deposit, carrying out right to rent checks, getting Gas Safety certificates and ensuring all electrical appliances are safe.
Market the property to suitable tenants
Take the time to get to know the area your rental investment is in and then market it to the most suitable tenants. For example, if the property is in a city or near a train station, it might be most suited to professional tenants. Or, if it’s in a university town with a heavy student population, you might want to let it out to students.
Get a tenancy contract drawn up
It is highly recommended to get a tenancy agreement drawn up when you let out a property. This legally binding contract will protect you, your property and tenants from potential disputes related to the likes of rental costs, the deposit and length of contract.
Get landlord insurance
When letting property out, it’s important you have a landlord insurance policy in place to cover you from financial losses that you might incur.
Come to a property maintenance agreement
Prior to having a tenant move in, you should discuss who is responsible for different aspects of maintaining the property. For example, who will be in charge or mowing the lawn or replacing lightbulbs and so on.
It can be a good idea to have maintenance agreements drawn up into the tenancy agreement.
If you are looking for a buy-to-let investment in London, the south east or anywhere in the UK, buying at auction can be a great way to secure your perfect rental home for the right price.
Check out the lots available in our forthcoming property auction in London.