If you are a landlord in London, one of the main reasons to consider hiring a property management company to manage your residential property or properties is to avoid some of the common problems that can arise. While investing in buy to let property and renting it to tenants can be a lucrative venture with a high return on investment, landlords often deal with various problems that a property management company can take over, allowing you to get on with your life, reduce stress and relax knowing that your investment property is in good hands. From damage to properties to problems collecting rent from tenants, all of the issues can be a major headache for landlords which is why many agree that investing in the services of a property manager who can take on the responsibility is worth the price.
Common Problems That Residential Property Management Companies in London Deal With
As a London landlord, working with a property management company can have several benefits for you. In addition to marketing your property and finding suitable tenants, the property management company can also be the first point of contact to deal with a range of different problems, allowing you to avoid them and simply rely on the property management company to ensure that they are rectified. Some of the biggest issues that residential property management companies in London will deal with on your behalf include:
· Late Payment of Rent
Late rent payments might not always be a cause for concern, especially if the tenant is in communication with you and you know when to expect the payment and that it is a one-off event. However, a tenant paying their rent late on a regular basis without informing the landlord can become a problem over time, particularly if you are relying on the rental payments to cover certain expenses pertaining to the property. A property management company can deal with this in the appropriate way including liaising with the tenant to set up a more convenient arrangement if necessary.
· Non-Payment of Rent
Another huge issue for landlords is non-payment of rent. A tenant who is not paying their rent can be very concerning. Not only will you need to ensure that the tenant is okay if they have suddenly stopped paying, but a tenant who is continuously missing rent payments may need to be evicted from the property. In addition, back payments of missed rent will need to be collected. This can be a stressful situation for any landlord, and it’s often worth having a property management company on your side to communicate with the tenant, issue the correct documents and ensure that this situation is deal with in the most appropriate manner.
Repairs to properties are another main problem that property management companies will deal with on behalf of the landlord. If you own a rental property, the last thing that you want is to be woken up in the middle of the night or to have your weekend with the family interrupted by a call from a tenant to inform you that a pipe has burst. Problems like this can arise in any property, even if it’s maintained and looked after, and it’s something that property management companies are always prepared for with contractors who they can send out to the property at a moment’s notice to ensure that repairs are dealt with quickly.
· Legal Requirements
Making sure that rental properties are up to the current legal standards and meet all necessary requirements is an important part of being a landlord. However, this can also be a lot of work, especially if you have several properties to keep track of and ensure that this is maintained. When you work with a residential property management company, they will be able to ensure that all of your properties are fully legally compliant including the necessary annual checks on the property and any licenses that are needed.
Why Landlords Should Work with Residential Property Management in London
While self-managing a property is always an option, many London landlords decide to opt for a property management service for a variety of different reasons. When working with a property management company, you will have peace of mind that your property is in good hands. Investing in a property management service can reduce some of the stress and worry that can often come with owning and renting out a property in London. They can make sure that you get the ideal tenants in your property by performing vetting checks before an agreement is signed, and deal with any emergency situations and necessary repairs so that you can simply get on with your life without the need to worry about something happening that you’ll need to deal with.
Rental payment problems and evictions are another reason why some landlords decide that working with a property management company is worth it. These are often problems that most landlords will want to avoid as they can be very stressful, especially if you are working full-time and have other commitments. A property management company can take care of these types of issues for you, reducing stress and making it easier for you to deal with.
What to Look for in a Property Management Company
The best property management company for you will depend on several factors including the type of service that you want and your budget. A property manager is mainly responsible for acting as a third party between the landlords and tenants, and working alongside landlords to ensure that properties are well-maintained, kept in good repair and compliant with all legal requirements. You will be able to trust a good property manager to deal with a wide range of different requests along with taking charge of the work that is often involved in renting a property out including preparing the property for tenants, pricing the property competitively when it comes to monthly rent, and dealing with tenants moving in and moving out.
Whether you have already purchased a buy to let property or are considering investing in rental property in London, there are several major things to consider when it comes to choosing the right property management company for you. With so many options available, finding a company that offers a suitable service and is trustworthy can often be daunting. Some of the main things to look for when you choose a property management company include:
· Good Reputation
The best way to start looking for a suitable property management company for you is to ask for recommendations. Speak to both landlords and tenants if you can to get a better idea of how the property management company deals with clients on both sides. Read online reviews and ask on social media to find out more about the reputation of the property management company and whether or not they come recommended by others.
· Customer Service
Bear in mind that you are going to be trusting the property manager with access to your property and relying on them to find the best tenants on your behalf, so it’s important that they have excellent customer service and you feel comfortable handing over so much responsibility for your investment to this organisation.
As a London landlord, you are going to expect your property management company to deal with your tenants with a professional and courteous manner at all times. The last thing you want is a property management company that ignores tenant concerns or is rude to your tenants, as this could damage your reputation and cost you money if tenants leave and you need to find somebody to let the property to more often.
Landlords will often feel more comfortable when working with a property management company that has a lot of experience. It is worth finding out how long the property manager has been operating in this market and how many properties they have experience managing. Along with this, some landlords may prefer to work with a property management company that has experience with managing a certain type of property such as apartment blocks, listed buildings or luxury homes.
Your budget will usually be a main factor to consider when choosing a property management company. While many landlords agree that it is worth the cost, you also want to be as profitable as possible when letting the property out. Most property management companies will charge around 10-15% of the rent each month for the service that they offer. Be sure to find out exactly what this charge covers and if there are any additional fees to pay.
It is also worth finding out which contractors the property management company is partnered with or tends to use the most when it comes to repairs and maintenance. Make sure that they use reputable contractors that you can trust.
While investing in London property can be a worthwhile venture, letting property in the capital can often come with problems. The role of a property management company is to deal with some of the biggest problems that landlords face, providing peace of mind.