Tips, Do's and Dont's for 1st time landlord

debhyp

Hi everyone,
We're looking to buy our first investment rental property. We're doing a lot of online research, especially with the new changes to tax relief.
As we're new to the realm of landlords and tenants, it would be great if you could share your experiences. Any do's or don'ts that you've learnt the hardway, any tips etc.
We're looking to invest in a 1 bed flat to start off.
Thanks in advance

Slithery

Tenancies in Eng/Wales: Guides for landlords and tenants

G_M

** Tenancies in Eng/Wales: Guides for landlords and tenants This thread is intended to provide information to both landlords and tenants relating to Assured Shorthold Tenancies (ASTs) in England and Wales.

Topics covered:

* Repairing Obligations: the law, common misconceptions, reporting/enforcing, retaliatory eviction & the new tenant protection (2015)

* Deposits: payment, protection and return

* Ending/renewing an AST: what happens when a fixed term ends? How can a LL or tenant end a tenancy? What is a periodic tenancy?

* Rent increases: when & how can rent be increased?

* Repossession: what if a LL's mortgage lender repossesses the property?

* New landlords: advice, information & links

* Letting agents: how should a landlord select or sack?

flashg67

For me, it was stick to what you know, (as in property type) and use your local knowledge as to what rent's well and what will sell if you need/want to later on

Working full time meant I needed an agent - , get a few quotes/personal recommendations if you can - a good agent is priceless (if you're going to use one) but make sure they've fulfilled their obligations ref deposit protection, right to rent checks yourself as this is the LL's responsibility.

Factor in more money than you think for repairs! I've had no real disasters yet, and will have a go at fixing minor issues myself, but a recent repair I had to get a contractor in for has wiped out a month or two's profit.

Join some groups/blogs etc - this one is great if you don't mind some profanity! http://www.propertyinvestmentproject.co.uk

Good luck, it can be rewarding looked at as a long term investment, but it's not a get rich quick scheme!

tacpot12

Use a letting agent - as you are new to renting.

Make sure you are aware of HSRSS (The Housing Health and Rating Safety System)

Register for Online Self-Assessment so you can pay the tax on your profits.

Use the forums at https://www.Landlordzone.co.uk

Carefully onsider whether you can allow the tenants to keep pets - pet owners find it difficult to find rented accomodation, so will pay more, and usually take better care of the property becuase they don't want the risk of losing a property where they can keep their pet.

Cakeguts

Don't choose the property on the basis of "this is all we can afford." If you do this you will find yourself in competition for tenants with all the other "this is all we can afford" landlords.

We let in an area where any kind of flat sits on the market for letting far longer than any houses. A one bed flat in that area would be extremely difficult to let. Cheap to buy but hopeless for letting. What people are looking for there are 3 bed houses with off road parking. Of course they are more expensive to buy.

In an expensive area 1 bed flats are too expensive for one tenant to pay the rent on their own which is why 2 bed flats are better because people can flat share.

You can't do this by starting off with what sort of property you can afford or want to buy. It is like any other business to be successful you have got to find a gap in the market.

If you start by looking on line and see how many 1 bed flats there are available in the area that you are thinking of buying in. If there are a lot then you can expect the flat to be vacant for most of the time that you let it. You must have off street parking. If the rent needs two incomes to pay it you will need off street parking for 2 cars. It has to be within 1/2 mile of good public transport a train station would be the best. Walking distance to shops and restaurants is most important.

shirlgirl2004

I agree go for a 3 bed semi in a decent area. Look for transport links, large employers (could be hospitals, universities as well as other large businesses), good schools etc.

Check the rental prices of similar to what you're thinking of buying or even put a fake ad out to see how many replies you get.

Don't scrimp on your agent if you get a cheap agent the chances are you'll have unhappy tenants and unhappy tenants don't stay.