Looking to rent a property - advice very much needed

Luis

The OH and I are planning to move in together in the New Year. I am thinking of renting out the house I currently live in, but need to get £500 pcm to clear mortgage etc. which is near the top end of the market round here (although one bed flats are on for quite a bit more????)

Details:

2 car driveway
mid-terrace, 10 yrs old
garden with rear pedestrian access
one bedroom (upstairs all open plan)
wood double glazing
electric heating
shower over bath
(worth noting - quiet cul de sac, walking distance into county town and railway/bus station, 10 min drive from motorway)

Things I am planning on doing to make it more appealing to tenants and hopefully attract the top end of the market:

Laminate downstairs
do up kitchen (worktops currently manky fake mahogany yuk)
do up bathroom
decorate neutral throughout
provide cooker, washing machine and Fridge freezer

Things I need to do:

Replace / fix broken storage heater
repair immersion (only top tank working and timer bust)
repair fence in back garden
fix extractor fan in bathroom



Has anyone got any advice or comments please? I was thinking of fitting central heating, but I really don't think I can afford it at the moment.

PoorDave

If you're redoing the flooring for a rental get tough carpet instead of laminate.

Then prioritise the broken heating/immersion heater - if you don't do it, or do a botch jobs who's going to get called when it doesn't work?! You are!

Extractor fan in bathroom - low priority.

If you're doing the decoration/bathroom/kitchen fitting yourself make sure you know what you're doing (no offence) - botched jobs to save money look like just that.

Make sure your market valuation of rental is robust (i.e. not based on crossing your fingers and the wind blowing in the right cirection, if you know what i mean) BEFORE you spend the money/time on the jobs you've listed - if not why not just sell it?! Having said that, the work you describe would help it sell and perhaps add value.

pigeonpie

100% agree about the carpet. Laminate scratches, looks cheap and you'll have to redo it afterwards. Even good tenants will scratch it.
I live with bathroom with no window and think an extractor is essential or else you get damp = bad news.
Kitchen - does your budget stretch to a dishwasher as top end will want that? You get some smart looking mdf, put nice handles on and make sure that it's well fitted.
Don't know where you are, but have you looked around for any small, independent rental agents in your area to advise you? Some work for lower commissions and are more hands on than the big boys.

Mrs_pbradley936

You need to budget for the agency commission about £50 per month. If you do not use an agent think about how you will get credit checks etc. An alternative to using an agent is to get references from employers stating that they are paid sufficiently to pay XXX a month rent. Plus get at least a months deposit. You can get the Assured Short Hold Tenancy forms quite easily, even places like WH Smith sell them. Any gas appliances have to be checked annually by a CORGI registered engineer.

PoorDave

I think i have a tenancy agreement knocking around somwhere on this PC, if you're interested.

Hmm. I think i got it from https://www.landlordzone.co.uk, then following a link to somewhere else. If you can't find it give me a shout.

Obviously no obligation, and i accept no blame if you use it and things go wrong. Maybe better of going to WHSmith and spending the £14 (think that's the price)

Tassotti

The first thing to do is speak to a few letting agents.

Ask them for a realistic rental valuation and find out what tenants in your area actually wan't, and what the demand is like.

It varies from area to area. Round my way, tenants wan't unfurnished but white goods included.

After that, the research really begins. There is a lot more to letting out a property than people think.

PoorDave

You can also get rental price info from rightmove.

However, keep in mind that the one's left advertised on there are the ones with no tenants yet, so maybe the rental price pcm is too high! Don't think there's the equivalent of the "sold prices" for sales to enable you to know what rent is actually charged.

A_Nice_Englishman

I'd estimate your mortgage is in the region of £120,000.

Have you compared how much you would gain by reducing the mortgage on your new home by this amount with the profit (if any) after tax from renting out your old one?

Don't forget all the other expenses besides mortgage interest (especially void periods).

A lot depends on how you think interest rates and property prices will change in the future, of course.