How to be a Successful Landlord in this Climate
The rental sector has more than doubled since 2001, rising from 2.3 million to a massive 5.4 million privately rented households in the UK.
This trend is predicted to continue, making buy to let an attractive option for entrepreneurs across the UK, especially in London, which is one of the most expensive cities to rent a property in the world.
Being a landlord is a commitment and making money with rental properties can be more complicated and time-consuming than other types of investments. However it’s also generally safer - you can’t just lose everything because of a stock market crash, for example.
If you’re considering renting out a property in London, then here’s some useful tips on how to be a successful landlord in this economic climate.
Obviously you don’t have to use a letting agency to manage your property, but when faced with the discerning clientele of London, it’s a good idea to have a professional on hand to help you stand out from the competition and source the best tenants. It is important to choose a reputable firm that specialises within the area where you’re looking to rent. Our lettings team at Daniel Cobb has unrivalled local knowledge, meaning they will have an understanding of how latest market changes are affecting properties nearby, as well an established network across the community to help you find suitable tenants quickly.
Preparing a property to let is very different to getting a home ready for a sale. For instance, you are responsible for ensuring the property meets all appropriate safety regulations for fire, gas and electrical hazards. This includes things like installing smoke alarms and carbon monoxide alarms, and ensuring all furnishings are fire-safe. As a landlord, you are also required to make your property as energy-efficient as possible with home improvements like double glazing and quality insulation. Don’t forget that you’re legally required to provide your tenants with an EPC certificate for your property, so make sure you keep this up-to-date.
According to house buying experts, as a landlord, you will at some point have to deal with bad tenants. This can be a tough for some but it is also a great learning experience as it will help in the future when you are looking for a new tenant. It is important to screen all potential tenants and look at things like - credit history, background checks, and references, to help you determine who will be the best tenant for your property.
Maintenance is often one of the biggest complaints that tenants have for their landlord. To make your property safe and comfortable for tenants to live in, it’s essential that you inspect and carry out regular maintenance on your property. You are responsible for getting any damage fixed quickly, even if it’s caused by the tenants - repairs should never be put off. It is also important to carry out quality repairs that will provide a long term solution for your tenants. This will help improve your reputation as a landlord and should also save you money in the long run, as constantly having to get quick cheap fixes will add up. At Daniel Cobb, our In-House Maintenance service is there to repair, replace and refresh almost every fitting and fixture in your home. We can use our in-house experience for your in house needs.
To be a good landlord it’s important that you treat your tenants fairly and with respect. You need to make your tenants feel well looked after and create a good working relationship. Even if you don’t particularly like your tenant, emotions and personal feelings should not get in the way of a business relationship. You also need to be easily contactable and respond to issues your tenants raise quickly, if you want to become a trusted landlord.
All landlords must have landlord insurance, which will cover the costs of different issues that can arise in your rental property. This includes everything from accidental damage, to an inability to claim rent due to a problem with your tenant or the property becoming uninhabitable. Make sure you look around and check price comparison sites for the best deals, and always check the details of your policy carefully before you agree to its terms.
With a practical approach and careful planning, being a landlord in London can be both a great source of regular income and a secure long-term investment for the future. Follow these tips and you should be able to successfully tackle any challenges that you may face in this economic climate and become a successful and trusted landlord.
Staying on top of your tasks and responsibilites will keep your tenants safe and happy. Should you need help or support as a landlord, our ARLA qualified staff are here 24/7, so contact our friendly lettings team today.
Written by Ella Hendrix