8 most important preparation steps for landlords
It is not as simple as most people believe to rent out a house. However, if the necessary preparations are made, renting out a house can bring you a number of advantages. We’ve compiled a list of eight straightforward suggestions to assist you in preparing to rent out your property — you can thank us after!
Make some calculations.
Before you decide to rent out a house, you must determine whether or not it is financially feasible to do so. Set out a budget and take into account the costs of renting, as well as the costs of any improvements that may be required to be done. You should also need to make sure that you have sufficient resources to cover any potential void periods.
You should also consider the tax ramifications of your decision, and it is a good idea to speak to a number of different real estate agents in order to receive an accurate estimate of the rental revenue. Setting a price on either side of the extreme (too high or too low) might be detrimental, particularly in a competitive market such as the one we are presently experiencing.
Get creative
If you own a family house, take some time to make the garden attractive to both parents and children. If you own a commercial property, consider who your property may appeal to. It is also a good idea to be flexible with your needs and to consider limitations on visitors, pets, and decorations on an individual case basis, rather than imposing blanket rules. It is worthwhile to devote a few weekends to updating the décor, thoroughly cleaning the rooms, and finishing various odd work about the house. Remember that your home must be safe to rent, so get the boiler inspected, obtain a gas safety certificate, and install fire/smoke alarms in the appropriate areas.
Complete the final draft of your actual tenancy agreement
It is usually recommended to have a legal and formal tenancy agreement in place even if you wish to rent out your house to friends. It is also a good idea to personalise the agreement to meet your specific requirements. For example include the garden in the contract if your home has a large garden that you wish to keep in good condition.
Is it better to have an agent or not?
When it comes to letting your property, the choice of whether or not to engage an agency is a critical one. If you do decide to work with an agency, bear in mind that they may be entitled to a portion of the rental revenue. Regardless of this cost, many individuals value an agent’s skills, knowledge, and assistance in finding and maintaining a tenant. There’s also the issue of the many rules and regulations that govern lettings, so if you don’t utilise an agency, be sure that you are complying with all of them and that you are up to speed on any modifications that often occur. The alternative might result in you being subjected to significant penalties or possibly criminal prosecution.
Take a glance at yourself.
When you are showing a prospective renter around the property, not only is the building on display, but so are you as a representative of the property. If you are cold, unpleasant, and unapproachable, then this may reflect poorly on the property. Dress professionally, arrive on time, and remember that a business transaction can be amicable.
Start investigating
Get references for all renters to make sure that they are who they claim to be before renting to them. If you are renting out your home via an agency, they will take care of this for you; but, if you are not, it is not difficult to call a prior landlord, otherwise you may come to regret not doing so later.
Make sure that your money is safeguarded.
All deposits collected from renters must be safeguarded by a Deposit Protection Scheme. If you do not adhere to this guideline, you run the danger of being penalised, and you may have difficulty finding new renters in the future.
Be patient and understanding.
Relationships between landlords and tenants may be difficult but strive to be mindful of one another. If your renter has been paying their rent on time every month and now notifies you that they will be late with a payment, try to be as realistic as possible with your response. Additionally, you should respond to communications swiftly and professionally, and if you have promised to correct anything, you should follow through on your commitment.
At the end of the day, if you are a good landlord, your renters will typically treat you with courtesy and respect. If you are a landlord or are wanting to rent out your home, please get in contact with us right away to discuss how we can assist you!
