Want to start rent to rent - a few questions

szyblaszczyk

Hi guys! Me and my girlfriend would like to start small rent to rent business. We want to rent 3-4 bedroom house and look for guests on Airbnb, Booking etc.

The thing is that it's not easy to find landlords who will agree for that but it's all about negotiations (we had one offer but house was too small). I don't even mention about lettings agency who are even more problematic about rent to rent.

We can't find a few information. Could you help us?

1. Let's say property is to let by some agency.
- do you know any trick to contact with landlord directly?
- if I find that way, is landlord allowed to sign contract with us privately or if he sign a contract with letting agency he can't do anything on his own? (or it depends?)

We ride a bikes in our city and looks for offers in windows/doors but unfortunately 99% properties are to rent by letting agencies. :-/

Thank you very much - any advices are very welcomed. :-)

glosoli

I don't really get it, you want to rent a property, to sublet it out again to AirBNB guests?

If a landlord wanted to do that why wouldn't they just do it rather than having you as a middleman?

Muttleythefrog

Sounds like you want to act as the lettings agency...

Cakeguts

If you let a property by rooms to unrelated people you will create an HMO. If you create an HMO you will have to alter the inside of the property to bring it up to the fire standards required by HMOs and you will also have to get a license as many councils need HMOs to have a license. I cannot see why any landlord would want you to alter the inside of their property or to get change of use in planning permission for an HMO. If a landlord wanted a property to be an HMO they would have got planning permission and a license already.

szyblaszczyk

Depends on the city and local council. Sometimes 3 unrelated people = HMO. Sometimes it might be even 4 people - no HMO. Tourist cities have higher allowances.

Cakeguts

szyblaszczyk wrote: »

Depends on the city and local council. Sometimes 3 unrelated people = HMO. Sometimes it might be even 4 people - no HMO. Tourist cities have higher allowances.

Some London councils have banned people from letting under airbnb and other short term rentals without planning permission for change of use.

Jenniefour

I think I know what OP is referring to, and it's a very questionable practice. One newspaper report described it as a "legal fiasco" for both tenants and landlords.

So I don't believe you're going to get any help on here, OP, because no-one is going to volunteer any information about how to succeed with a business where both tenants and landlords can become victims.

For those who might not have heard of this just Google "rent to rent" and look at some of the newspaper reports, and the slick talk from those who promote it. Reminds me of those companies who buy properties from vulnerable people who have run up a lot of debt, con them into selling at a very low price and make them a tenant, at least for a while.

Jenniefour

Cakeguts wrote: »

Some London councils have banned people from letting under airbnb and other short term rentals without planning permission for change of use.

Good, pleased to hear it. I don't have anything against airbnb where folks can find a room for a night or a week, but letting out flats has caused no end of problems.

szyblaszczyk

Just asking about something absolutely legal which might be very favorable for tired landlords and not risky at all.

What problems you mean Jenniefour?

Jenniefour

szyblaszczyk wrote: »

Just asking about something absolutely legal which might be very favorable for tired landlords and not risky at all.

Tired landlords usually sell up or go to bed earlier.

What problems you mean Jenniefour?

OP - why not do the google search and take a look at some of the press reports, rather then the slick promotion which always conveniently omits the legal problems and mess created for others.

00ec25

szyblaszczyk wrote: »

not risky at all.

err, look that up in a dictionary.

rent to rent is very risky for both the owner and the tenant. The middleman (you) is the main cause of that. A property used wholly for short stay "holiday" guests will become a furnished holiday let and therefore you are into change of use planning permission and all the associated rules and regulations around them