Landlords Guide to Renting
The amount of commitment and work involved in letting property should never be underestimated. The majority of landlords choose an agent as it takes the stress and hassle out of letting your property. We have compiled this guide to aid you through the process.
1. Make a Plan
Whether you have decided to rent out a home you already own, or have purchased a property especially for rental purposes, you will need to make a plan. You should consider what type of tenant to target. Think about where your rental property is located and the type of person that would most likely want to rent in this area.
Once you’ve decided which type of tenant you want to attract, you should consider tailoring the property in a way that might appeal to them. However, it is important to remember to keep your property flexible and decoration neutral to prevent alienating other types of individual who may be thinking of renting in your area. Think about:
- How you will present the accommodation.
- How you will promote the property
- How you will let it (single unit/multiple tenants etc)e.g. students.
- The cost of running your rental property and the rent you will charge.
- Do you want to manage the property or have this done for you?
The answers to these questions will help you formulate a basic plan.
2. Important considerations
Before you can market your property for rental purposes, you will need to:
- Consider your mortgage. If you are thinking about letting a property that has previously been occupied by an owner-occupier you will need to inform the current mortgage lender that tenants will be living in the property.
- You need to obtain specialist landlord house insurance as you will not be covered by regular household insurance.
- Let your freeholder (if you have one) know that tenants will be living in the property.
Letting property is not a licence to print money, you should be prepared to incur costs throughout the tenancy. Remember, even when your property isn’t occupied, you will still need to pay the mortgage and council tax.The following costs should be considered:
- Refurbishment costs.
- Monthly mortgage repayment (if you have one).
- Ground rent and service charges if you are letting a leasehold property.
- Income tax.
- Letting agent and management fees.
- Maintenance costs.
- Professional fees e.g. preparation of inventories etc.
4. Legal Responsibilities
The law requires landlords to maintain their property and undertake any major repairs that are required. In addition, there are special rules that apply:
- Energy assessments – Landlords who are letting or re-letting their property for the first time are now required to present an Energy Performance Certificate (EPC) to tenants.
- Gas – Landlords need to ensure that every gas appliance and all gas pipe work meet the required safety standards. Landlords are required to present a gas safety record of the property being let.
- Fire – It is an offence to let a property with any furniture or furnishings that do not comply with safety regulations.
- Smoke detectors – Properties built after June 1992 must have mains operated smoke detectors fitted on each floor.
- Electricity – Landlords need to obtain safety certificates for all electrical equipment within their rental property to prove it is safe and will not cause danger.
5. The Stress Free way
Let us take the hassle away from you and appoint us as your agent.
Simply call us on 01772 424999 to discuss your requirements or use the form below to book your free market appraisal now