Despite the threat of legislation to deal with no-fault evictions, a heavier tax burden, and rent freezes in Scotland, being a landlord in the UK remains an attractive proposition for many. As the owner of property, you’re free to charge your tenants for the privilege of living in that property. Provided that you’re able to keep the property in good condition, it’s easy money.
If you’re entering the market for the first time, then you’ll want to make sure that you’re appropriately prepared. Let’s take a look at some of the steps worth taking.
Deal with the mortgage
If you’ve bought the property in question with the help of a mortgage, then the lender will need to approve of your plans to let it out. If you fail to seek this approval, then you might find yourself in trouble if the lender moves to repossess – and your tenants might find themselves on the street. This will likely be the end of your reputation, and your career, as a landlord.
Prepare your property
Your property will need to be in good condition before you let it out – since once tenants have moved in, you’ll find it extremely difficult to make changes. In some cases, you might find it worthwhile to carry out major renovations. A new kitchen or bathroom might allow you to charge higher rent. But the same can be said, albeit to a lesser extent, of many of the smaller changes you might make, like replacing curtains.
Make sure that it’s safe
You have a legal responsibility to provide a safe environment for your tenants. This means ensuring that the building is structurally sound, and that it has a gas safety certificate, which is refreshed annually by a qualified engineer.
Other safety considerations concern fire and smoke detectors, along with carbon monoxide detectors in any room where solid fuel (like wood in a fireplace) is being burned. Test all of your alarms at the outset of any tenancy.
Be flexible
The more potential tenants you allow into your property, the better chance you’ll have of finding one that’s high-quality: that is, reliable and unproblematic. The last thing you want is a problem tenant that trashes the interior, fails to pay, and refuses to move out once evicted. Offer your property as both unfurnished or furnished, and allow long stays and short ones. Of course, consider landlord insurance as a hedge against those irresponsible tenants.
Be available
A high-quality landlord is one that responds to issues and fixes them promptly. Your tenants should feel at liberty to text you when something goes wrong, but they shouldn’t feel like you’re another friend. A personal relationship with a tenant might complicate your professional one – so try to keep it to business.
