mplaczek

Hello everyone,
A few quick questions for anyone that has experience in renting out a property. I have over the years heard a lot of horror stories and though it best to do a little research first.

Any top tips?

Letting agents, yes or no?

Anyone know of any reputable letting agents that they can recommend?

Any info or stories would be appreciated!!

Or, if any scoobynetters would like to rent a flat in Canada Water with a secure underground parking space, let me know

Ta!

imlach

Letting agents - depends how close you are to the property, and how often you want hassle. Saying that, agents charge around 12% to 17% of the montly rental income, so you save quite a bit if you can do it yourself. Bear in mind, an agent will not pay you your monthly rent if the tenants don't pay it - so your 17% doesn't get you any peace of mind like that. They really only act as an interface between you and the tenant, and help in finding tenants. They also may have their own network of tradesmen they call in when something goes wrong....

So, saves a bit of hassle, but I don't personally use an agent myself. Manage to cope with any hassle/problems arising - 17% is a lot of money

imlach

Oh, and if you have problem tenants, a letting agent can't do any more than you can do when it comes to eviction (other than go through the relevant actions on your behalf).

Chris_

Hi there mplaczek.

Have you ever rented out a property before

How are you going to find a tenant.

What references are you going to obtain.

Will the referencing meet the insurable criterior.

Do you know how to prepare the flat by law to make it tenantable

Do you know what your legal obligations are as a Landlord.

Have you sought permission to rent the flat in the first place.

Have you told your insurance company that you are renting the flat.

What are your reasons for renting the property.

Do you know what type of tenant to rent to.

What rent should you charge.

How much deposit should you obtain.

Where will the deposit be retained and will it be insured.

Will you be prepared to pay interest to the tenant on return of the deposit.

How will you insure that the property is returned in the condition that you first rented it.

How will you enforce it if it is not.

What tenancy agreement will you use.

Will the tenancy agreement be suitable for the purpose.

Do you know how to apply the terms and conditions within a tenancy agreement.

How will you enforce non payment of rent.

Do you know where you stand by law should there be non payment.

What can you do to insure yourself against non payment of rent.



If you are not sure of any of the questions, Get yourself an agent. Believe me, its well worth the few quid you are going to pay them against the thousands of pounds you have invested in your property and potentially the thousands you can lose by getting it wrong.

imlach

Agree with all the questions you posed, but don't agree that it means an agent is a necessity...

17% of monthly rent is not just "a few quid". It is a significant amount of money, and with a bit of research & common sense, taking on the landlord duties yourself isn't too hard if and only if you have the time, inclination, and perserverance to see it through.

Even an agent can never find you the "ideal" tenant. People all live differently. You have to be able to emotionally detach yourself from the property as some wear & tear is going to take place (and one person's "wear and tear" is another's "damage").

Nor can an agent prevent damage to the property, nor accelerate eviction if things go wrong. Remember, it's an agent you're paying for services, not a private security firm

It can be a stressfull & at times, annoying task, but who do you think is going to care more about your flat? You, or a letting agent with 1000 properties on his books???

Having said that, without knowing your personal circumstances, it is difficult to know if agents are for you or not. Most of them will come and give a quote for free - call a few in your area, get them round to your flat, and see what you think.

Chris_

17% sounds a bit high to me but I dont know what part of the county he is in. Non the less, agents do offer varying levels of service of which would be significantly cheaper.

"Taking on the Landlords duties isnt too hard" I disagree, by the time you have realised what is going on its too late to react and you need to be fully conversant with Landlord, Tenancy Law. You also need to be fully apprised as to the continually changing laws relating to this.

I agree there is no such thing as an "Ideal Tenant" but the risk can be minimised by proper referencing.

As a guidline if you decide to seek the help of a profesional agent, Look for the ARLA logo. It means they should abide by certain rules.

Brit_in_Japan

I am currently living in Japan, so for me a letting agent was the only way to go. They found the tenant ( you can specifiy what type of tenant you do/don't want, e.g. no students or no DSS) , they checked the references, they did an inventory on the property, condition of decor/furniture etc. They also have their own approved tradesmen they can call on to fix leaks or repair windows etc. So for me a letting agent has been perfect. They charge me 12% of the letting fee for their services.

You need specialist building/contents insurance, your existing insurance provider is unlikely to provide cover. I also have landlords insurance to cover any legal costs should I need to sue a tenant for damage of get them evicted (took out the insurance before I knew my tenant would be a solicitor).

You need to get permission of your mortgage company. They will charge you for the privilage of giving permission.

Having said all that, it's not impossible to manage the tenancy yourself. A friend of mine uses an agency to find tenants, vet them and set up the agreement. They pay a one off see and after that he manages it himself, collecting rent, inspecting the property at agreed intervals and arranging whatever needs doing on the property.

mplaczek

Thanks for the replies,
I don't plan on jumping into this without doing the appropriate research. I think it is a good idea to talk to a few agents to see what they have to say for themselves, then we'll see. Thanks for the info!

Any other comments would be great

Diesel

>>Bear in mind, an agent will not pay you your monthly rent if the tenants don't pay it <<

Mine will! 'Gold' service at 15%. Lasts 12m.

Agents tradesmen are a huge big scam full of kickbacks. MAKE A LIST OF YOUR OWN. Mine quoted £300 to paint a ceiling and a wall in a small kitchen. I delined and got it done for less than half of that via yellow pages!

D

workshy_fopp

We use an agent for our rental flat, 17% iirc - seems expensive, but if you p1ss about for a month or more trying to rent the flat on your own, then that's the agents fee covered. It gets it on the market immediately. The sooner you start covering your mortgage the better. Unlike Diesel, I've found my agents' trade services to be very competitive. You get good and bad ones like everything.

Miss Scooby WRX

im a letting agent and we only charge between 8% and 12%. 17% is astronomical If i charged that id have no business. the referencing service i use also offers rent guarantee and if in the event of problems with the tenants they deal with all the courts solicitors letters etc at no charge to the landlord. hope this helps but need any more info let me know