Simply follow this three-step plan from the experts at Belvoir Lettings…
Although landlords should already have plans in place before their current tenant’s tenancy agreement comes to a close, it’s not always possible to predict the unpredictable – especially if your tenant is on a rolling contract.
So, if you find yourself given notice when you were least expecting it, just follow this easy plan, which is as simple as 1, 2, 3…
1… Stay calm
Firstly, don’t panic!
In the current economic climate where the rental industry is strong and rental properties in many areas are in short supply it’s unlikely your property will be empty for very long.
“The demand for rental property is very strong,” says proprietor of Belvoir Luton, Adrian Mason. “For example, we’ve just had three tenants give notice recently and two of those properties were re-let within days.”
Proprietor of Belvoir Milton Keynes Steve Tunney agrees. “Here in Milton Keynes we’re finding that landlords aren’t having problems with extended voids,” he says. “Properties are going very quickly, often before the current tenancy has even ended so being left without a tenant is unlikely.”
But, if you are faced with a short void between tenants, turn it into a positive by making the most of the time that the property is vacant.
“When a tenant moves on it’s an opportunity to reappraise your property in terms of rental income, appearance and maintenance to ensure long-term prospects for the property are still good,” says Adrian. “It’s also an opportunity to reappraise the local market in terms of rental income and the current standards demanded by tenants.”
Rosemary Millican, proprietor of Belvoir Macclesfield, adds, “Also, take a look at the rent you have been getting… with rents increasing in many areas, it may be that you could now re-market it at a higher rent. Although things are quiet generally in the lead up to Christmas, the New Year is always a busy time for lettings – many people have had some down-time over Christmas to look at what is on offer.
“Also, while the property is empty take the opportunity to deal with maintenance issues, freshen the property with a new coat of paint and take an honest look at the state of the carpets.
“The quality of rental properties has increased in recent months as more and more owner occupiers are letting their homes because they cannot sell. New buy-to-let landlords have come into the market, too, with re-furbished properties which are immaculate. Never be complacent and say, ‘it will do, it’s just a rental property!’.
“Importantly, a well-prepared property reduces problems during the tenancy and minimises issues at the end of tenancy too.”
2… Ask why they’re leaving
Will they stay or will they go, is the first question you should ask yourself. Even in a buoyant market it’s better to retain your current tenant (if they’re a good one) than find somebody new.
“You can initiate a discussion with your tenant to find out the reason that they’re leaving and see if that presents any opportunities to ask them to reconsider,” says Adrian. “Often the reasons for moving on are either re-location or buying their own property – obviously these are objections that can’t be overcome but it’s worth finding out why they’re leaving, even if it’s just to enable you to monitor feedback on your property.”
Rosemary agrees. “It is always worth asking why your tenant is leaving,” she says. “Clearly if they are moving out of the area for work, there’s nothing you can do to get them to stay. But it may be they are finding the house expensive to heat and you could investigate ways of making the property more energy efficient, for example. Or maybe they are wanting to cut down on their rent…
“If they have looked after the property and always paid on time, they are clearly worth trying to hold on to. If they leave you will have re-let fees to pay out and a possible void period. Work out how much this would cost and offer this to your existing tenant as a reduction in rent or perhaps a rent-free fortnight in return for another fixed term.
“Alternatively, if you have looked after your tenant well, they may well be happy to help you find a new tenant, which will minimise the void period. Perhaps offer your tenant a £20 shopping voucher to say thank you – but, of course, make sure you get the new tenant fully referenced!”
3… Call in the professionals
Once you have established that your tenant is definitely moving on, it’s time to call in the professionals.
“Contact your local property management agency to help you find a new tenant,” advises Adrian. “If your property is managed well with a good agent the void should be minimised. We can present your property in the very best light, make sure it’s advertised to the right people in the right places, plus accompany prospective tenants on viewings, highlighting the benefits of your property.
“We are likely to be able to find a new tenant faster than a private landlord would on their own as we have access to certain portals that landlords can’t use. Plus, our extensive expertise and experience means we can wheedle out time-wasters.”
Steve agrees and says, “We have a large database of enquiries that we keep up to date on a rolling basis, we advertise on all the major portals and tenants tend to want to come through agents that already have an established good reputation rather than use a private landlord.”
And, Rosemary adds, “Get a good agent involved who is pro-active, who will take excellent marketing photos and describe your property well.
“They will also be able to market the property on the leading property portals and in their high street shop window. A good agent will have a list of registered tenants already on their database and may well have someone waiting for just your kind of property…
“Tenants often trust a well-known reputable letting agent rather than going through a small ad in the paper as they know the lettings process will be handled professionally. Plus, agents will also thoroughly reference a tenant which will help ensure you get the best tenant too.”
