You may be wondering whether you should become a landlord, it can be a huge commitment. We have good news! It’s a great time to become a landlord as there has been a rise in tenants looking for rentals with demand for rentals continuing to outstrip supply. If you’re considering becoming a landlord, this guide will offer some helpful tips to get you started on your journey to becoming a landlord.
Check you’re eligible
Before you get started you will need to undertake a few mandatory checks. If you are paying a mortgage on the property you want to rent out, you will need permission from your mortgage lender to ensure that your policy covers buy-to-let.
You will need to have a good understanding of tenant rights and this should be outlined in a tenancy agreement.
The basic rights that tenants are entitled to include:
- Live in a property that’s safe
- Have their deposit returned when tenancy ends
- Challenge excessively high charges
- Know who their landlord is
- Live in the property undisturbed
- See an energy performance certificate
- Be protected from unfair eviction and unfair rent
- Have a written agreement
As a landlord you will have high responsibility and duty of care towards your tenants, you will need keep updated on lettings legislation.
Some key legislation that you will need to be aware of include:
- Minimum energy efficiency standards
- Electrical safety inspections
- Tenant fees act
- Tenancy deposit schemes
- Section 21 evictions
Is your property liveable?
Ask yourself if you would want to live in your property? Identify areas that need improvement. You will need to decide the level of furnishings your property will provide. A furnished property will mean general upkeep is cheaper, however, it probably won’t appeal to tenants that want to put their own stamp on it or already have furniture from their previous property.
How involved do you want to be?
If you are happy to manage the property yourself, collect rent and be there for emergencies, self-managing your property may be suitable for you. We recommend getting advice and as much information as possible from a lettings expert that are aware of the laws and the market. If you’re interested in knowing how much rent your property could generate, get in touch with us today!