The Risks Involved In Being A Landlord

Posted on: 11 May 2021

The Risks Involved in Being a Landlord

The Risks Involved in Being a Landlord A three-minute read. Having a rental property can be a great way to earn some extra income. Like anything, there are a variety of things that can go wrong. We break down five of the most common ones. The wrong property Being a landlord means running a business. You’re not buying a property for you to live in. Tenants often have very different expectations when looking for a rental property. Don’t turn down a great opportunity because you wouldn’t like to live in it. The wrong tenant(s) Choosing a good tenant is the second most important decision you’ll make as a landlord, (selecting an excellent letting agent being the first). Rushing into it without applying the correct referencing and selection process could put you at risk. You can end up out of pocket with unpaid rent, no deposit to cover damages, or even squatters. The wrong timing Unexpected maintenance is a normal part of owning property, as you may well know from your own home. Tenants often don’t notice little things that need immediate attention. This is because they’re not the homeowners. What can start out as a small leak can quickly turn into a massive problem if not attended to promptly. The wrong tradespeople If your rental is not in the area where you live, you might struggle to find decent tradespeople. One common problem, even when you’re local, is finding someone who is great at their trade and available at short notice. You can end up with shoddy work that you have to repair later. We can recommend trusted local traders. The wrong paperwork In the UK, there are over 300 rules and regulations governing property rental. These can vary across the different countries. If you don’t have the right paperwork in place, if things go wrong and you end up in court, you will always lose. It doesn’t matter the ‘rights and wrongs’ of the situation at that point. If you don’t have every box ticked, the judge will always award against you. The solutions Treat your rental property like a business. Don’t buy with your heart. Find great tenants who understand and accept the correct referencing procedure. Don’t let to a friend’s “cousin who really, really needs the help right now, pretty, pretty please!”. Carry out regular property inspections, especially at the start of a new tenancy. Don’t fall into the trap of doing it all yourself. The government regularly changes the paperwork requirements. The advice online is often out of date. Don’t risk it. Use a lettings agency with the three Es – Experience, enthusiasm and expertise. We’ve been helping landlords in for over 22 years. We know the pitfalls and how to help you avoid them. With regular training and professional bodies, we stay on top of the inspections and paperwork so you don’t have to. Copyright LAWRENCE RAND 2021

Share:


Recent Articles

23 June 2021

64% Wont Buy A Property Without A Garden

As summer officially begins this week, gardens and outside space remain priorities on buyer wish lists. Nearly two-thirds of residents wouldn't buy a property in 2021 without outside space (Rated People). Gardens are currently the most sought after property feature for buyers according to...

23 June 2021

Finding The Right Removal Firm For Your Move

Finding the Right Removal Firm for Your Move This three-minute read gives you a few ideas to consider when choosing your removal firm Getting the right people to help you move home is so important. This means your estate agent, your conveyancer, and the people that will do the physical heavy...

21 June 2021

One Fifth Of Private Renters Are Families

Across the UK, families comprise a fifth (21%) of all privately renting homes with 39% occupied by single people and 40% by sharers or couples. Using Dataloft Rental Market Analytics data, we have reviewed the household make-up of renters beginning new tenancies since the start of 2020. Regional...

semi circle instant online valuation

Get an instant online valuation

Find out how much your property is worth