It seems that over the past few years, the rental property market has seen some pretty impressive growth. This may be down to the difficulty at which people can obtain a mortgage as well as the increase in rates and fees associated to buying a property.
Whatever the reason, it has meant that more and more people are becoming aware that rental properties, and becoming a landlord, is a good investment to make with the chance of making a rather surprising amount of money.
However, before you dive into the world of tenancy agreements and inventories, it is important to understand the basics of how to become a landlord; the things that are expected of you as well as what you can expect of your tenants!
With this in mind we have put together our top tips guide on how to become a landlord, summarising all the key things that you need to remember.
The key to becoming a successful landlord is to make sure that you understand the process and background to renting before you jump in and find some tenants.
You can do this in a variety of ways, however one great way is to join a network of other landlords (and perhaps letting agents) who can give you all the insider hints and tips to make sure that you can run as smoothly as possible.
Once you have some background to the rules of renting, your attention will then need to pass to the type of property that you want to rent out.
One of the main considerations is your budget; however you may also want to keep in mind the type of tenants that you are looking for. Renting out a property near a school may often attract families, whereas a city apartment is more likely to appeal to a professional person.
Just like any other property, a buy to let home can be bought at a good price if you stand your ground and understand the basics of making offers.
However, you should also be aware of getting the best deal when it comes to mortgages and also a letting agent who can manage the rental of the property too. When it comes to finding out how to become a landlord, the trick is to maximise the profit that you can make from the rental, without causing any negative effects during the tenancy.
Once you have a property, it is time to get it ready for your prospective tenants. Try to be neutral with your decorating; after all, something that maybe your style may not be someone else’s.
It also seems to be common that landlords will use cheap (and low quality) materials in the house. Whilst this will save you money upfront, the repair and replacement may cost you more in the long run.
Being a good landlord is mostly based around understanding the balance between what is right for you and what is fair for your tenants. Get it just right and you could see a happy tenant living in your property for a number of years. Get it wrong and you could see your property investment dreams shatter within just a few months, as any Carshalton estate agent will tell you.
For more information on the rental process for landlords, get in touch with Silverman Black today on 0208 773 2929 and one of our team will be able to chat to you in greater detail regarding the best options available.