Want to start rent to rent - a few questions

szyblaszczyk

Why insurance bought by me wouldn't work?

G_M wrote: »

As well as the legal and practical issues already mentioned, no one has mentioned insurance.

My building insurer would not permit this. If one of your airb&b 'customers' burned my house down, my insurer would not pay out and I'd lose £X00,000.

And no, you taking out insurance would not help.

G_M

It's not your property.

33+ posts and not one thinks this is a good idea. This is not just people being negative. This is people on a property forum, with experience of property, giving you the benefit of their experience.

You'd do better to put your time into thinking of a different business idea.

szyblaszczyk

As far as I know it's possible to insure property on rent to rent scheme but we must check it.

Maybe but we'll still planing to go for it.

Thanks anyway.

G_M wrote: »

It's not your property.

33+ posts and not one thinks this is a good idea. This is not just people being negative. This is people on a property forum, with experience of property, giving you the benefit of their experience.

You'd do better to put your time into thinking of a different business idea.

G_M

Good luck.

Come back and tell us how it goes.

hazyjo

If you're saving so much, save some more, buy a house (with or without a mortgage), live in it and rent out rooms to lodgers or Airbnb guests.


Why the obsession with doing it with someone else's property?


Agree with all the others. Rent is not guaranteed and I wouldn't agree to it either if I were the LL.

fairy_lights

szyblaszczyk wrote: »

I
1. What if landlord struggles every year to find tenants and he's sick of it? We can offer him long-term deal.
2. We can renovate his property a bit to make our rented property more attractive for other people.
3. If he's an investor we might be happy to rent more of his apartments and cooperate with us.
4. We don't charge landlord any money.

1. If a landlord struggles to find tenants for their property, what makes you think you can pull a handful of eager tenants out of the air?
2. Why on earth would any Landlord let you renovate their property? Or maybe you do find a landlord who leaps at the opportunity, but then evicts you after 6 months, thanks for the new carpets.
3. If he's an investor he would already be managing his own property portfolio without needing your help.
4. Of course you wouldn't charge the landlord money! That's not how it works!

Out,_Vile_Jelly

People aren't being negative for the sake of it, they just think it's a bad idea for multiple practical reasons. Why not post on landlordzone.co.uk and ask if any mortgage-free LLs are interested?

If you really are saving 60% plus of your income and have good reonvation skills, then you could aim to buy a cheap project property and do it up with a view to renting or selling on. That is a more sensible and achievable business plan.

G_M

fairy_lights wrote: »

4. Of course you wouldn't charge the landlord money! That's not how it works!

To be fair to the OP, he's comparing his 'services' with that of a letting agent who does charge.

But it's still a half-baked idea.

Guest101

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.

No they don't. HMO rules are universal.


that aside, you are running a business, so you would be paying tax on your income, are you sure it's even remotely profitable?

david1951

There are loads of companies that take care of AirBnB or holiday rentals on behalf of a landlord, see e.g.,

http://www.passthekeys.co.uk/

http://airheaduk.co.uk/

Even my cleaner offered this service the other day.

You seem to think the trick is to contact landlords 'directly'. As you've found out from those on here, most landlords would run a mile so I don't think that is the problem.

If a landlord wanted to do AirBnB or holiday lets, they could use one of the companies above or a letting agent. So, as I see it your problem is that your competition is far superior, and more professional (with respect).

But please do come back and tell us if it works out.