Four Tips For New Landlords Looking To Rent Property

Four Tips For New Landlords Looking To Rent Property

Author: Samulswan

With fewer first time buyers around, some mortgage lenders have moved their attentions to the Buy to Let market. Of course, mortgage lenders still want a hefty deposit, even for the Buy to Let market. However, this hasn’t deterred some would-be landlords, and there are still signs for growth in the Buy to Let market – especially where rental demand is high (such as university towns and London).

If you are thinking of becoming a landlord and want to rent property – be it a flat nearby or a house designed for student accommodation – here are a few helpful tips to help get your new venture off to a good start.

1 Get the paper work in order for your rent property

Before renting your property, make sure you’ve have the consent of your lender and freeholder (if applicable). Get landlord’s insurance so that you are appropriately covered – standard building and contents cover does not meant the needs of a landlord. You should also get an Energy Performance Certificate and carry out all the safety checks (such as an annual gas safety certificate).
If you rent out a flat or house you should use a written tenancy agreement, just in case a problem arises. This will clearly show all the relevant details of the tenancy, and should be signed and witnessed.

2 Do you want to rent out a flat or house that is furnished or un-furnished

Decide if you want to offer furnished or unfurnished accommodation. This may depend on your target market. For example, if you want to offer student accommodation then furnished accommodation is a good idea. More older, more experienced tenants may have their own furniture and want to rent out a flat that is unfurnished.
If you do decide to furnish your rent property, all the furniture and furnishing must be fire resistant and must not make fume-filled smoke if there’s a fire. It must also show a fire safety label. If you rent out a flat or house that’s furnished don’t over do it – leave some room for the tenant to make their mark.

3 Advertise a property to let and find the right tenant

Do you want to offer a long term rental or short term let? Do you want students, young professionals…a family? Decide which type of lease arrangement and tenant is right for you.
You may want to use a reputable letting agent who will advertise your property to let and deal with references. You could also advertise your property to let online. This can be a good low cost option and will promote your rental property to a wider audience than just advertising locally. Landlords offering student accommodation may find it easier to find tenants if they list their rental property online, as student tend to tend to rely on this medium.

4 References, guarantees and deposits

It is a good idea to get references (such as employer, bank, ex-landlords’ or a personal reference) for your tenants. If you are offering student accommodation, references may not be appropriate. Instead, you may want to insist on a parental guarantor, which means that a parent guarantees to pay the rent if the tenant (their child) doesn’t. Finally, ask for a security deposit (also some times referred to as a damage deposit or cleaning deposit). You’ll need to put this in an authorised tenancy deposit scheme or take out a deposit insurance policy.