Cookies on the this website
We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on this website. However, if you would like to, you can change your cookie settings at any time.
Continue

New to PropertyWire?

Welcome, and thank you for visiting our website.

PropertyWire is the leading publication for property investors and industry professionals interested in the world of international property investment.

Our aim is to give you intelligent commentary and analysis on the world of retail and commercial real estate.
If you've enjoyed what you've read so far why not sign up for our FREE property alert and online magazine PropertyWire Confidential.

Every week the PropertyWire team sends out a hard-hitting newsletter packed with news and analysis of the top stories plus the best investment opportunities on the market. We always look at the bigger picture like the Euro Crisis, and explain how this will affect YOUR investments.


Ask me later
No thanks

Sun
Dec 21st
Lost Password? Register
Home arrow News arrow Europe arrow Financially savvy landlords “cutting out the middleman” to make buy to let more profitable

Financially savvy landlords “cutting out the middleman” to make buy to let more profitable

Thursday, 10 January 2013

Image

THE economic downturn has led to a new breed of financial savvy landlord who prefers to manage their own property portfolio rather than pay hefty fees to letting agents, a survey reveals.

 Research by leading property website: buytolet.org.uk found that many landlords are brushing up on DIY skills and slick marketing techniques - to avoid paying letting agents, which charge around 15% of rental income for their services.

‘As the recession bites a many landlords are looking at ways to cut costs, says Lee Grandin of buytolet.org.uk . ‘While letting agents will do a lot of hard work, they do demand a big percentage in return, so it is well worth learning how to fix a tap and market your property to it best advantage.

‘But be prepared to give up weekends and evenings for viewings, advertising and repairs. This might not be a good option for people who are time poor as it’s a big commitment, he adds.’

buytolet.org.uk urges those considering “going it alone” get to grips with the nitty-gritty of property management before taking the plunge.

‘Your first steps should be to draw up a legally binding tenancy agreement, otherwise known, as an Assured Shorthold Tenancy (AST), which both parties must sign. This includes details such as the length of tenancy, amount of rent and deposit details, adds Lee Grandin.

 ‘Drawing up an inventory is also key, he adds. ‘Always ensure you take photos proving the condition of the property before a tenant takes residence, this will protect you from any dispute over the deposit that may arise in the in the future.’

Those letting a property on an Assured Shorthold Tenancy (AST) must ensure a tenant’s deposit is kept safe in a protected scheme. There are three Tenancy Deposit Protection (TDP) schemes approved by the Government: the Deposit Protection Service (DPS, depositprotection.com ) is free and the only ‘custodial’ option, meaning the money is kept in a bank account; The Tenancy Deposit Scheme (TDS, thedisputeservice.co.uk ) and Mydeposits (mydeposits.co.uk ) are ‘insurance-based’ and charge for membership.

Gas and electrical appliances must be in good working order and you must provide a gas safety certificate to tenants proving that gas appliances have been approved by a registered engineer every 12 months. For a qualified gas engineer in your area log on to: gassaferegister.co.uk (formerly Corgi).

While it is not a legal requirement, it is also well worth installing your property with carbon monoxide alarms and inspecting sockets and light fittings every five years (hse.gov.uk /electricity).

Landlords are legally obliged to provide an Energy Performance Certificate (EPC) by an accredited domestic energy assessor, detailing your property’s energy consumption and recommendations on ‘how to make your home more energy-efficient and reduce carbon dioxide emissions’.

‘As a landlord, you are effectively a business owner and should treat your investment property in the same way by taking out good quality buy to let insurance, adds Lee Grandin of buytolet.org.uk .  

‘It makes sense to prepare for all eventualities, such as a tenant injuring themselves and bringing a compensation claim against you or covering yourself against rent not being made.

‘Landlord insurance will also protect against malicious damage, water pipes bursting and accidental damage to items and electrics.’

Your buy to let property is also vulnerable to fraud, so check with the Land Registry that it not only has your property in your name, but also an alternative contact address for you. This acts as an up-to-date record of ownership. See landreg.gov.uk .

If you own a leasehold property, seek permission from your management before renting it out. Remember, any money you make from buy to let is subject to tax, however, you can claim back allowable expenses. Find out more at hmrc.gov.ukwww.buytolet.org.uk
LANDLORD’S SELF MANAGEMENT CHECKLIST

It is a legal requirement for all gas appliances to be checked for safety.  As a landlord you have a duty of care to your tenant’s and rights and responsibilities for the properties you let, these include:

Repairs to the structure and exterior of your buy to let property
Upkeep of heating and water systems
Maintenance of bathroom fittings
Annual gas safety checks of all gas appliances by a Gas Safe registered engineer.
Making certain all electrics and all electrical appliances are safe.
Ensuring furniture is up to fire safety standards

For more details and comment please contact:
Lee Grandin on 0118 973 4771 email: lee@lml.co.uk Website: www.buytolet.org.uk

This story relates to: [SEE ALL]


BOOKMARK THIS PAGE (What is this?)     Digg!Reddit!Del.icio.us!Google!Live!Facebook!StumbleUpon!Newsvine!Furl!Yahoo!

 
More Recent News
Earlier News
To see all the latest news articles in our monthly online magazine, Property Wire Confidential, sign up free here



Europe: Top Headline

House prices to rise by 3% in 2015 and rents by 2% says RICSHouse prices to rise by 3% in 2015 and rents by 2% says RICS{mosimage} House prices in the UK will see an average increase of 3% in 2015 bolstered by recent changes to Stamp Duty, continuing demand and lack of supply of property, it is predicted.



Car park

Car park

Car park

West Tower

home rental guide

Barratt Homes

West Tower

Search for Properties:

Feature story

Student accommodation investment check List

It’s the UK’s strongest asset class, but are all student accommodation properties good investments? This is the comprehensive list of what to watch out for when buying student property.

 

Company news

Buying your first property, when’s right for you?

For a long time now property ownership has been an ambition shared by many millions of Britons. However, today it seems harder than ever to get on the property ladder because of the high deposits needed to get a mortgage and the rising cost of buying a property itself. So there’s lots to think about before you make the leap to buy.

Finance Update

Nationwide resumes access to Help to Buy for home movers

Nationwide Building Society has announced that it is resuming access for home movers looking to participate in the government’s Help to Buy equity loan scheme from Wednesday, 24 September 2014.

Features

Student accommodation investment check List

It’s the UK’s strongest asset class, but are all student accommodation properties good investments? This is the comprehensive list of what to watch out for when buying student property.

 

Newsletter

Subscribe to our weekly newsletter and stay updated on the property market trends.
Subscribe now >>

Subscribe to our Europe property and real estate news feed (RSS)