If you fancy a change of career or want to start a new hustle on the side to make some extra cash, getting into property can be a great route to go down. Despite the housing marketing certainly not being what it was thirty years ago, buying now rather than later can certainly hold you in good stead for the future.
House prices are rising all the time, so on paper, even if you bought a house and only made some minor upgrades, it is reasonably likely that you could still sell it for profit some years down the line. But not everyone buys property with the intention of selling it.
The concept of buy-to-let properties is a popular one, particularly since many younger people, in particular, are having to rent rather than buy. Landlords can make a decent living from renting out their properties, and provided that you get on with your tenants, it can be quite rewarding too. However, there are a few things you need to know before you jump headfirst into landlord life, so you can do the very best job you can.
Secure a good standard of property
Sadly, the country is not famed for having a good selection of rental properties. The rental market has been blighted by a host of sub-par properties and rogue landlords, who prey on the desperate need for housing that so many people have. This doesn’t mean to say that you can’t buy investment properties such as older houses, or a so-called ’empty shell,’ and rent them out. But, you need to be prepared to make the home livable first. Make sure the property is cleared of any damp, that the electrical and heating systems are all in order, and that you have secured flooring and appliances. Failure to do so could mean that you are breaking the law, and you could end up garnering a bad reputation as a landlord.
Keep copies of EVERYTHING
Even if your property involvement is purely a side hustle, it’s still important that you treat it like a business. This means doing everything by the book and keeping copies of every document that relates to the house you are renting out. Gas certificates, rental agreements, deposit information and utility forms all need to be on your records in case you ever come into a dispute with your tenants. It can also be worth having physical copies AND electronic versions of everything so that you know you have the back-up if you need it.
You are the only point of contact your tenants have regarding anything to do with their house (unless you have rented your property via an estate agent). So, with that in mind, you need to be prepared to be in semi-regular contact with them and be willing to be around if an emergency occurs. Share contact details with your tenants and always try and get back to them within 24 hours if they have a query – sooner if there is something seriously wrong. Landlords do sometimes have a bad reputation, but by following some of these rules, you can have a harmonious relationship with your rental properties and your tenants.
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