Letting out your property for the first-time can be a nerve wracking experience. You may be renting your family home or a newly bought investment property, whatever your situation becoming a landlord can be quite daunting.
Here at Able Removals we’ve come up with some advice for those who are just about to embark on this new journey as a landlord.
There are always plenty of pros and cons with using a letting agent. It can provide you with peace of mind as they can advertise your property and look for the most suitable tenants and then manage it for you. Letting agents have contractors and trades people they can use if there are any maintenance issues. However, this security doesn’t come cheap and most landlords can expect to pay an initial down payment to a letting agent and then anything between 5 to 10% of their monthly rental income as a fee.
Managing the property, yourself can be time consuming but will keep costs down. It can also give you more control as you won’t have to go through a middle man.
This is probably one of the most important things to consider when renting out a property. Who is your ideal tenant? Present your property to attract the right one. If your house is in a good state of repair and is maintained well, then the likelihood is that you will want a family or couple rather than students or those on low incomes. If you get the right tenant, renting it out will be stress free and straightforward, if you get the wrong one, it could be a costly and time-consuming business.
It goes without saying that you should investigate their references in detail and if necessary you may have to use a checking company obtain this information.
A property is probably one of the most expensive purchases you will ever make and that’s why you need to make sure it is fully insured and covered against any unfortunate events. Building insurance means that if your property is destroyed in a fire, or damaged in a storm or flood it will be covered for rebuild costs.
Landlord cover will protect you for any tenant-related risks including loss of rental income, any theft or burglary by tenants and their guests or any malicious damage as well as legal expenses to evict a tenant.
Even if you are renting to friends, ensure both parties have signed a tenancy agreement. This is a legal document and offers you security. It should detail the rent and indicate what utilities and costs they are liable for (such as water, electricity etc).
It must also include the duration of the tenancy and details of the bond and how this is to be protected. Stipulate any inspection arrangements and ensure the document is signed by both parties.
Don’t forget your inventory and include photographs as this will clearly show the condition of any fixtures and fittings including carpets and inbuilt furniture.
Putting your money into property is usually a sound, long-term investment and here at Able Removals we can help tenants to set up home in their new rental property. We are Joondalup based and have extensive expertise in packing and moving with many of our customers recommending us to their family and friends. Ring us today to find out why we’re rated so highly.
