Are 3 bed family homes easy to rent out?

united4ever

We will buy a 3 bed semi, in a popular area of a popular commuter town close to all amenities with off road parking.


We plan to live in it long term but there is a chance we may emigrate in a few years. I would rather rent it out than sell it. Are 3 bed semis/family homes with gardens a more difficult let than say a 2 bed apartment? Guessing a lot of the rental market is made up of people in their 20s who prefer flats in city centres.


From what I hear they are more difficult to find tenants but tenants may be more likely to stay longer and make it a home. Bit like selling a home - you just need the right person at the right time.

Kynthia

It depends on the property and the area. Maybe ask a couple of local letting agents.

tom9980

Use this

http://www.home.co.uk/#tab-prices-and-rents

put in location i.e Birmingham or first part of postcode and search.
AOM = average time on market

No. of properties Average rent Median rent Average ToM
One bedroom 17 £410 pcm £390 pcm 159 days
Two bedrooms 13 £592 pcm £585 pcm 24 days
Three bedrooms 8 £1,021 pcm £947 pcm 17 days
Four bedrooms 13 £1,388 pcm £1,480 pcm 209 days
Five bedrooms 2 £1,884 pcm £1,884 pcm 81 days


This is my area consistently 3 beds spend little time on the market here and have done for a few years. This is just a snapshot of course of the current properties on the market for rent.

jamie11

A lot depends on what price you will be looking for and how you intend to manage the property from abroad, that will be a cost of 10 to 15% of the rental value.

Would you possibly want to come back and live in the place again?

A lot of things to think about before taking that step, particularly finding a GOOD agent that will actually do the job properly when you're not around.

You would also be paying tax out of your rent at 20% at source, either your agent or the tenant would have to pay that before you see the change in your account.

It might be better to sell the property and invest it in property in your new country

Gingernutty

Round where I live, a large portion of tenants are on benefits.

3 beds are lettings poison because of the bedroom tax.

Ask a lettings agency in your area, but be prepared for bad news.

united4ever

tom9980 wrote: »

Use this

http://www.home.co.uk/#tab-prices-and-rents

put in location i.e Birmingham or first part of postcode and search.
AOM = average time on market

No. of properties Average rent Median rent Average ToM
One bedroom 17 £410 pcm £390 pcm 159 days
Two bedrooms 13 £592 pcm £585 pcm 24 days
Three bedrooms 8 £1,021 pcm £947 pcm 17 days
Four bedrooms 13 £1,388 pcm £1,480 pcm 209 days
Five bedrooms 2 £1,884 pcm £1,884 pcm 81 days


This is my area consistently 3 beds spend little time on the market here and have done for a few years. This is just a snapshot of course of the current properties on the market for rent.

No. of propertiesAverage rentMedian rentAverage ToMOne bedroom5£639 pcm£650 pcm30 daysTwo bedrooms53£850 pcm£725 pcm39 daysThree bedrooms37£1,651 pcm£1,248 pcm101 daysFour bedrooms17£2,005 pcm£1,695 pcm43 daysFive bedrooms5£6,789 pcm£5,499 pcm197 days

Not very good I guess:( 101 days for 3 beds?


The third bedroom is an absolute box which would be best used as an office? guess there's no way round the bedroom tax by advertising it as a 2 bedroom with an office? Long shot I know

jamie11

If that third bedroom is less than a critical size, then it cannot be called a bedroom, look it up and see if it's too small, many are.

dimbo61

To rent a room as a bedroom you really need 10.5m2
So 10x8
Have said that the bedroom tax only applies to people on benefits with more bedrooms than tenants
So three bed house would be fine for a couple with two kids girl/boy

theGrinch

local market is the big driver to answer your question

[Deleted User]

dimbo61 wrote: »

To rent a room as a bedroom you really need 10.5m2
So 10x8
Have said that the bedroom tax only applies to people on benefits with more bedrooms than tenants
So three bed house would be fine for a couple with two kids girl/boy

This depends on the age/gender of the kids. I was not allowed HA for a 3 bed until my older son turned 16, even though there was a ten year gap between the two boys, and one had special needs. I had to use some of his DLA to make up the difference as he really needed a room of his own.

However, having said that, I live in a very popular rental area and there just aren't enough 3 beds available so they go very quickly. Other areas aren't the same of course.

HappyMJ

Gingernutty wrote: »

Round where I live, a large portion of tenants are on benefits.

3 beds are lettings poison because of the bedroom tax.

Ask a lettings agency in your area, but be prepared for bad news.

Bedroom tax? Private let's do not have that tax...that is if you are referring to the under occupation penalty that social housing tenants have to pay if they are living in a house which is bigger than their needs.

Private renters are given LHA the amount of which is calculated by family size determining the number of bedrooms the tenants family needs and reduced by income and capital the tenants have. They could rent a 6 bedroom house and if they have one child and if the rent is the same as the average 2 bedroom home in the area and they have no income or capital then the tenant will receive enough money to pay the rent in full.

Then again...many landlords insurers do not allow the landlord to let to tenants on full housing benefit without the tenant paying 6 months rent in advance or having a home owning guarantor.