Becoming a Landlord: What You Need to Know

With the housing market significantly rising in cost, it has led to the popularity of rental properties in recent years, which in turn, is beneficial for landlords looking to make an extra income. However, while it may seem like an easy method of making a profit on your property, there is a vast amount of preparation that needs to be undertaken to turn the prospect into a reality. Property investment companies offer valuable advice on the types of rental properties you could invest in and the pros and cons when it comes to getting the most out of your investment. If you have never let your property out before, but it is something you may be interested in, you may find these below tips useful:

Preparation

Before potential tenants view a property, make sure that every room is cleaned, and all of the necessary maintenance work has been carried out. This may mean having to move existing furnishings out of the property temporarily and placing them in a storage unit from StorageArea. If you plan on putting the furnishings back in the property for tenants to use, you’ll need to take out a more in-depth insurance policy.

Use a letting agent

If you haven’t got the time to manage your rental property around your other commitments, you may wish to consider letting agents manage it for you. This will ensure you don’t have to deal with inquiries or complaints first-hand or have to undertake interviews for prospective tenants – however; you do have the final say considering you own the property. While there are many benefits to this service, letting agents take around 15% of your income is an aspect you may need to think about.

Decorating the property

In a similar fashion to if you were selling a property, it’s important to decorate and furnish your property to entice viewings. Not only may it improve how much rent you’re eligible to charge but could also give you a wider choice of tenants. Some of the main aspects you may need to think about include:

Colors

It would be wiser to select colors that appeal to most people – such as neutrals or pastels. When potential tenants view a property, they need to imagine themselves living there, so bright tones and patterns could be instantly off-putting if it is not to their taste. What’s more, you should also opt for high durability paint that does not scuff or peel.

Flooring

While cheaper flooring may be better for your wallet, it’s likely to become well-worn and dirty quickly, which means the need for constant replacements. In this case, choose the best quality flooring that your budget can stretch to. Carpets are comfortable underfoot but are prone to stains; therefore, stick to wipeable floorings such as hardwood or tiles.

Get a deposit

Securing an upfront deposit from tenants a good way of safeguarding your property against damage or unpaid rent. This fee is then typically deducted from the first rent installment when a tenant moves in.

If you’re considering becoming a landlord but are looking for useful advice on getting started in the venture, we hope the above tips are a great starting point.

Leave a Comment