The rental sector has more than doubled since 2001, and rental income is rising at its fastest pace on record, with the average UK rent reaching £1,068 per calendar month, according to the latest Rightmove House Price Index. * It’s no surprise that many people aspire to become landlords, with the potential income they could receive.
So, is it time you gave serious thought to becoming a landlord? But where do you start? We’ve compiled a step-by-step guide to becoming a landlord.
Getting Started
First and foremost, you should think about whether your property is suitable for renting. Consider your home’s state of repair. It may require some renovation or decoration to update the property before it is liveable. You also need to find out if there is any rental demand in your area. However, with one in five families choosing to rent rather than buy, it’s no wonder rental demand is at an all-time high.
Why Become a Landlord?
Rental values have been continuously rising in the UK over the last several years and are currently rising at the fastest rate ever recorded. * Becoming a landlord is a great investment, as it not only provides you with a passive income, but it’s also a great way to protect your assets.
Renting out a property can provide you with a steady income that can be saved for a pension or for a rainy day. If your living conditions change, you can always live in the home yourself.
Being a landlord is a big responsibility, but it’s one you can easily manage in your spare time. On the other hand, you can hire our fully managed services to allow you to sit back and enjoy the benefits of being a landlord.
Will I Become a Fully Managed Landlord?
Many landlords overlook the value that solid management can bring. Managed services allow the landlord to have more free time by finding good quality tenants and ensuring that all legal requirements are met.
Our fully managed services are flexible and can offer you peace of mind to protect your rental income even if one of your tenants goes into arrears.
Find out more about our fully managed services here.
Costs
The majority of your expenses should be covered by your rental income; however, you should have a contingency budget in place just in case something goes wrong. You may have to pay for repairs, so it’s important to be prepared for all possibilities.
Having a budget planner is a great way to outline all individual outcomes and how much they will cost. This will allow you to save your budget effectively and can save you money in the long run.
Looking to become a landlord? Contact one of our expert agents today.
*According to the latest Rightmove House Price Index
