There has been plenty of contributions to why homeowners are considering letting out their home rather than selling. In recent years, the influx of homeowners choosing to rent out their properties and buying to let has led to additional stamp duty costs and tougher criteria for getting a buy to let mortgage.
Despite the introduction of additional charges to landlords, if done correctly, there are still many benefits to letting out property.
Unfortunately, it isn’t as simple as deciding to rent out a home, listing your property for rent and then getting a tenant. It’s important to understand what your responsibilities are before deciding to rent out your property.
Research
Are you sure that letting your property is the best option for you? Look at the price similar properties in the area are being rented for and if there is demand.
If you plan on using an estate agency to help you in the process, assess your options and find one that is expert in the area with a fair price to match.
Let your mortgage lender know
If all is well, and your research has only heightened the appeal of renting your property, you need to talk to your mortgage lender.
If you don’t let you mortgage lender know you are renting out your house, you are likely to be breaking the legal terms and conditions of your mortgage contract. Before you begin, you need to get their permission and this may mean that you have to change your mortgage type.
Furnished or unfurnished
Before you make your property available for rent, you need to get your property ready. This task will vary depending on whether you decide to let your house as furnished or unfurnished. There are benefits of both and it is wise to speak to a local estate agent to get advice on which is more popular in the area and the price of letting for each.
Deposit protection scheme
When your tenant pays their deposit, as a landlord, you must use a tenant deposit protection scheme within thirty days of receiving it. The scheme safeguards the deposit and should problems arise through the tenancy, there are procedures in place to decide what percentage of the deposit each party gets.
More information can be found here.
Check tenants
Once the property has been advertised and you have prospective tenants queuing for the keys, you need to perform the necessary checks on them. This is something that a letting agent will do for you if you use one.
Other landlord responsibilities
– Responsible for repairs and maintenance
– Taking care of refurbishment
– Fit smoke alarms and extractor fans
– Getting gas appliances tested
– Arrange an Energy Performance Certificate for your tenants
Letting agent in Market Harborough
Our estate agency in Market Harborough can provide you with all the necessary information if you are considering renting out your home.
At Naylors, we have two lettings services available for landlords: tenant introduction and management service. More information about our lettings services can be found here. Alternatively, call our Market Harborough offices on 01858 450 020 to find out how we can make becoming a landlord easier for you.