The letting market is extremely buoyant just now and it is no wonder that so many people are considering buying to let as an investment opportunity. With mortgages more difficult to find and larger deposits required to get the best rates, renting often looks like a more viable option. This has had the effect of increasing demand. Interest rates are at an all-time low, making savings accounts less attractive and leading potential landlords to look at letting for better returns. Buying to let can indeed be very profitable, but there are pitfalls too. Here are four things to remember when letting out your property.
Get the Right Permissions to Rent Your Property
Before you rent out your property, you need the agreement of your mortgage lender. You also need to tell your insurance companies and have the proper policies in place. If your property is leased, you need permission from the freeholder.
Know Your Responsibilities
When you rent out your property, you have certain legal responsibilities. These include complying with gas and electrical regulations. Gas appliances need to be inspected by a Gas Safe registered engineer before your tenant moves into the property and need annual checks thereafter. Any electrical appliances in your property also need to be properly tested. Make sure you know your responsibilities and have the right services in place.
Know the Process
Renting out your property may seem simple, but the letting process is actually quite long and has a number of steps. This starts at arranging a valuation for your property and continues through agreeing the rent, preparing the property for letting, creating an inventory, getting all your permissions and certificates and marketing the property.
Understand the Services of Your Letting Agent
It makes a lot of sense to use a letting agent, but you need to fully understand what services they provide. Do they do credit checks on tenants? Do they guarantee rental income? What if something goes wrong? There are many things to consider, but Belvoir Sutton Coldfield are on hand to answer your queries.
You can contact us to arrange a chat and make sure you are properly prepared to rent out your property.
