If you are considering letting someone rent your home you’ll need to make sure it’s suitable for rent. The good news is that below you will find some tips that can help you make sure home is in good working order for prospective tenants:
Do Some Research
One of the first things you need to do is to work out how much rent you want for your property. Ideally, the rent will cover your mortgage payment and earn you a little extra cash each month. However, you’ll need to make sure you’re not over or even under-charging.
Do some research and find similar homes in your local area. How much rent are they charging? You can always contact a lettings agency and ask them.
You could try to be competitive with your rent and charge a little less than some similar homes. However, if you charge a lot less, people will wonder why. The less you charge, the more likely there is to be something wrong with the property. A prospective tenant may, therefore, be put off.
Choose Your Tenants
Who would you like to live in your home? Are you looking for young professionals, families, or students? Think about the local area and the type of households that live there. If there is a large student population, chances are you’ll almost always find a tenant. Alternatively, if the area is full of families then you might want to appeal to similar people.
Preparing the Property
Now it’s time for you to make sure your property is fully prepared. It’s likely that you will need to decorate it. You might also need to get help from an electrical services company to make sure everything is in good working order. Be prepared to add a new refrigerator, stove, and other appliances as they could make the property more attractive.
Make sure all the doors and windows can be opened and locked. You’ll also need to check the boiler, the alarms (burglar, carbon monoxide, and fire alarms). Lastly, you’ll need to make sure everything is nice and clean.
Now you’ve done all of the above, it’s time to decide whether you want to furnish the property.
Getting the Right insurance
it’s absolutely vital that you get the right insurance. You will need to tell your insurance company that you intend to rent out the property. This is because your insurance cover will need amending. For example, you might want insurance for the building but not for its contents. Your tenant will be the one to take out this type of insurance.
You will need to take out landlord insurance. This is so you can be covered for financial losses should something happen to the property. Just make sure the cover you get will be enough to cover the cost of repairs and damages.
Understand your Responsibilities
When you rent out your home you will have a lot of responsibilities. You should be prepared to pay for repairs to a broken down boiler, any damp that sets in, or a problem with the air conditioning. You should also be prepared to be contacted at any time of the day or night if there’s an issue.
If you choose to rent through an agency, they are likely to deal with the tenant on your behalf. This can make life easier if a problem arises. An agency is likely to be something of a mediator between you and your tenant.
While becoming a landlord for the first time might seem like a lot of work, it can be a great way to make money and get on the property ladder.