Being a landlord has always been a demanding occupation and these landlord tips for success will help you achieve your financial goals.
In addition to finding and buying a property to rent out, you will also need to screen tenants, organise a contract and then understand how you should enforce it should a tenant not pay the rent.
Tip 1
To be a successful landlord, you need to treat being a landlord as a business and approach it as such. You should always be professional and meet any legal or regularity obligations that you have, for example, having the gas boiler serviced every year.
You should never see your tenants as being an irritation when they ask questions and want you to carry out maintenance and you should never see owning a rental property as a hobby that you might make money from. Start out in a professional manner and your landlord career will be a success.
If you don’t live near to your rental property then you may need to find a letting agent offering landlord management services.
Tip 2
Always screen your tenants. One of the big secrets to success is to find quality tenants, create a happy and safe home for them and be a good landlord to encourage them to stay for several years.
However, you should always run a credit and background check on everyone who applies to become a tenant as you may find out whether they have a criminal record. The credit check will highlight whether they are capable of paying the rent.
You should always ask for a reference from a previous landlord and speak to them directly if necessary.
Tip 3
As mentioned previously, keeping your tenants happy is a major step towards being a successful landlord.
Happy tenants will also look after your property, as well as pay the rent on time and help reduce those phases when the property is empty and the rent is not being paid. As a responsible landlord, You should respond to tenant queries, particularly for repair requests, and maintain your property properly.
It’s always a good idea to communicate effectively and answer questions in a timely manner.
Tip 4
Get landlord insurance. It makes good business sense to source landlord insurance and there are lots of excellent providers around. By having landlord insurance, you will help protect yourself against any loss that could potentially put you out of business.
The insurance cover for landlords will generally protect a rental home from damage including by fire and other losses, including vandalism. Get contents cover too – even if the tenant has it already.
Tip 5
You will need a legal and well-drafted tenancy agreement. Everything on the document should be clear, including who is responsible for what and it’s also important that you don’t simply download any agreement from the Internet. You really should have a solicitor or a letting agent help you draw up a tenancy agreement and there are organisations that offer a template to help you, including the Residential Landlords’ Association.
These landlord organisations are also very good at offering landlord advice – and have thriving forums to help.
Tip 6
As a successful landlord, you should always be fair with tenants but not necessarily nice. This means that you have legal obligations as a landlord and you should not misjudge your relationship with the tenant as a friendship in case they miss a rent payment or damage your property as you may need to consider eviction proceedings if they do so.
Tip 7
Join an organisation representing landlords. It’s more than just safety in numbers since a landlord’s organisation will keep you abreast of the latest rules and regulations and also changes to the tax system.
Many of them also offer legal advice and forums so help and advice is always accessible.
Tip 8
Don’t underestimate the amount of work that a landlord will need to do to enjoy success. Investing in a buy to let property is not the shortcut to riches that some will believe. Before each new tenancy begins you will need to thoroughly prepare your property for letting including redecorating and refurbishing whenever necessary, and ensure the home is clean for the new tenants.
It might also be worth investing in an independent inventory clerk who will take a record of the condition of the property and its contents when new tenants move in. This could be a helpful document should there be a dispute over the deposit when the tenancy comes to an end.
It will also be helpful to visit Landlord News on a regular basis to learn about new landlord tips and see what the latest issues are to affect the world of landlords in the UK.
