Any landlords out there?
Discussion
I will very shortly be renting out my mothers old property.
Not something I've done before.
Got the basics covered, gas certificate, electrical inspection, landlord insurance and a tenant.
I do however need advice on the paperwork side of things.
I've been looking at the NRLA website and was wondering if any existing landlords could advise whether their 'Landlord Starter Pack' is comprehensive and or whether membership is worthwhile?
Thanks in advance
MD
Not something I've done before.
Got the basics covered, gas certificate, electrical inspection, landlord insurance and a tenant.
I do however need advice on the paperwork side of things.
I've been looking at the NRLA website and was wondering if any existing landlords could advise whether their 'Landlord Starter Pack' is comprehensive and or whether membership is worthwhile?
Thanks in advance
MD
We have a letting agent handle everything. Yes, they take a chunk of your monthly income, but absolutely everything is dealt with. I also pay for the legal cover, so any issues with the tenant and it's on them to take them to court, not me.
IMO, it's worth the cost. Others will disagree.
IMO, it's worth the cost. Others will disagree.
Bennet said:
We have a letting agent handle everything. Yes, they take a chunk of your monthly income, but absolutely everything is dealt with. I also pay for the legal cover, so any issues with the tenant and it's on them to take them to court, not me.
IMO, it's worth the cost. Others will disagree.
I do the same. Is it worth it ? Not sure as they don't do much but it keeps my ass covered.IMO, it's worth the cost. Others will disagree.
Bennet said:
We have a letting agent handle everything. Yes, they take a chunk of your monthly income, but absolutely everything is dealt with. I also pay for the legal cover, so any issues with the tenant and it's on them to take them to court, not me.
IMO, it's worth the cost. Others will disagree.
I think this depends on where you are located, the type of property, and the type of tenants.IMO, it's worth the cost. Others will disagree.
I have a long-term tenant who's been in my (retirement area) bungalow for approaching 10 years. She phoned me twice last year (and coincidently this morning) for small issues - an electrical fault, a boiler fault, and today a broken cistern in the bathroom. I'd never pay any 3rd party a large portion of my monthly rent to look after that.
But my demographic of renter is possibly quite different to others who do this as a business etc. I fell into the role of landlord (as it sounds the OP has).
InvisibleSpider said:
But my demographic of renter is possibly quite different to others who do this as a business etc. I fell into the role of landlord (as it sounds the OP has).
Nail on head there 'accidental' landlord.I'm not concerned about using a letting agent at this point, (I might consider it in the future) I do however want to make sure everything is done by the book.
Spoke with the NRLA and they assured me that they provide a comprehensive service.
Always nicer to have a second opinion though.
You already sound more clued up than 90% of accidental landlords, and quite possibly 90% of the humans who would be managing the tenancy in the agencies (no disrespect intended for the professionals on here, more aimed at the estate agents staffing of the lettings department).
I don't believe that use of an agency would protect you from the storm if the wrong thing happens, so lots of reading, LOTS of judicious selection of tenants, and if you find a good solid long term tenant, treat them well
I don't believe that use of an agency would protect you from the storm if the wrong thing happens, so lots of reading, LOTS of judicious selection of tenants, and if you find a good solid long term tenant, treat them well
maxdog said:
Nail on head there 'accidental' landlord.
I'm not concerned about using a letting agent at this point, (I might consider it in the future) I do however want to make sure everything is done by the book.
Spoke with the NRLA and they assured me that they provide a comprehensive service.
Always nicer to have a second opinion though.
I would wholeheartedly use OpenRent.I'm not concerned about using a letting agent at this point, (I might consider it in the future) I do however want to make sure everything is done by the book.
Spoke with the NRLA and they assured me that they provide a comprehensive service.
Always nicer to have a second opinion though.
For £49, they advertise your listing on all the major platforms (rightmove, zoopla etc), arrange viewings through their platform, reference your prospective tenants, arrange the deposit to DPS and transfer the first months rent, and put together the AST contracts for electronically signing.
If you want any certifications they will also arrange.
Honestly, I’ve used them many times (just doing another one now). They are fantastic for the money. Not sure what else I’d get from an agent.
Edit- professional referencing is £20 extra.
https://www.openrent.co.uk/our-pricing
Edited by Ham_and_Jam on Thursday 29th April 15:59
The NRLA paperwork is regularly updated and has step by step instructions on how to complete and their employees are helpful and actually answer the helpline - If you are not wanting to pay an agent or solicitor, I would say they are a good option.
Is the prospective tenant you have found, young, in secure work, a friend, more than two people?
Make sure you use an inventory.
Try and get a suitable guarantor.
If you take a deposit ensure you are aware of government legislation or it will likely cost you dearly.
Be aware of ‘Right to rent’ legislation.
Other things to consider: Smoke detection, carbon monoxide detection, If furnished ensure they meet fire regs, legionnaires disease.
Is the prospective tenant you have found, young, in secure work, a friend, more than two people?
Make sure you use an inventory.
Try and get a suitable guarantor.
If you take a deposit ensure you are aware of government legislation or it will likely cost you dearly.
Be aware of ‘Right to rent’ legislation.
Other things to consider: Smoke detection, carbon monoxide detection, If furnished ensure they meet fire regs, legionnaires disease.
I don’t use agents for mine but then again housing is my profession
Best advice I can give you is to ensure you personally know a decent gas engineer for when the central heating or hot water fails
If it does, it’ll be in the depths of winter when they’re snowed out with work.
Assuming you can repair anything else yourself, it’s easy. If not, knowing a few decent trades is a must.
I wouldn’t tolerate anyone with pets of any description or anyone who smokes. It’ll destroy your home.
And that’s the final point: don’t see it as an ex home: it’s an asset.
Best advice I can give you is to ensure you personally know a decent gas engineer for when the central heating or hot water fails
If it does, it’ll be in the depths of winter when they’re snowed out with work.
Assuming you can repair anything else yourself, it’s easy. If not, knowing a few decent trades is a must.
I wouldn’t tolerate anyone with pets of any description or anyone who smokes. It’ll destroy your home.
And that’s the final point: don’t see it as an ex home: it’s an asset.
My advice as an ex landlord is sell up know.
1. The government has made it much less attractive to be a landlord. Not just the tax position (income tax and CGT), the increase in administration costs and the costs of any form of court case. The fact the government is considering limiting s21 notice shows they have no regard for the landlord. If we get a labour government it may get even worst.
2. You need to make your own decisions on how house prices will perform. My view is I do not see a fall but nor do a I see a rise above inflation. So renting will generate income which will be taxable and the increase in price due to inflation over many years (above one years CGT allowance) will still be subject to CGT when you sell.
Second piece of advice is use a professional. Get anything wrong now and dealing with a difficult tenant will be very very expensive.
You do not say if you are renting out the house for your mother or yourself. Either way some investment and taxation advice would be a good idea.
1. The government has made it much less attractive to be a landlord. Not just the tax position (income tax and CGT), the increase in administration costs and the costs of any form of court case. The fact the government is considering limiting s21 notice shows they have no regard for the landlord. If we get a labour government it may get even worst.
2. You need to make your own decisions on how house prices will perform. My view is I do not see a fall but nor do a I see a rise above inflation. So renting will generate income which will be taxable and the increase in price due to inflation over many years (above one years CGT allowance) will still be subject to CGT when you sell.
Second piece of advice is use a professional. Get anything wrong now and dealing with a difficult tenant will be very very expensive.
You do not say if you are renting out the house for your mother or yourself. Either way some investment and taxation advice would be a good idea.
No doubt there are millions of privately rented properties that tick over for years without any problems.
However bear in mind if it goes wrong it can go wrong spectacularly and you could be in for a world of pain. Especially if you are an amateur landlord.
Go into it with both eyes wide open. It may be beneficial to employ a professional to manage it. If it’s your mother’s place presumably it’s mortgage free so you’ll have more money to play with than if you were paying a buy to let mortgage.
Use some of that extra money to get it done properly and it will pay dividends in the long run.
Drawweight said:
No doubt there are millions of privately rented properties that tick over for years without any problems.
However bear in mind if it goes wrong it can go wrong spectacularly and you could be in for a world of pain. Especially if you are an amateur landlord.
Go into it with both eyes wide open. It may be beneficial to employ a professional to manage it. If it’s your mother’s place presumably it’s mortgage free so you’ll have more money to play with than if you were paying a buy to let mortgage.
Use some of that extra money to get it done properly and it will pay dividends in the long run.
It can still go horribly wrong even with that approach. I had a property rented our via an agency to a "single mother" then one day I got a knock at my door at dawn by the police with a warrant. Despite alleged evidence the letting agency were doing their quarterly inspections she had ripped out the kitchen and bathroom and put them in the garage (well thats better than selling them) and was running a 6 room knocking shop that had been noticed by the neighbours.However bear in mind if it goes wrong it can go wrong spectacularly and you could be in for a world of pain. Especially if you are an amateur landlord.
Go into it with both eyes wide open. It may be beneficial to employ a professional to manage it. If it’s your mother’s place presumably it’s mortgage free so you’ll have more money to play with than if you were paying a buy to let mortgage.
Use some of that extra money to get it done properly and it will pay dividends in the long run.
craigjm said:
It can still go horribly wrong even with that approach. I had a property rented our via an agency to a "single mother" then one day I got a knock at my door at dawn by the police with a warrant. Despite alleged evidence the letting agency were doing their quarterly inspections she had ripped out the kitchen and bathroom and put them in the garage (well thats better than selling them) and was running a 6 room knocking shop that had been noticed by the neighbours.
My Grandfather had a similar experience about 10 years ago. He rented out a town house to a tenant who proceeded to rip out the entire building and use it as a 3 storey weed farm. He didn't get into any trouble himself.Fonzo said:
craigjm said:
It can still go horribly wrong even with that approach. I had a property rented our via an agency to a "single mother" then one day I got a knock at my door at dawn by the police with a warrant. Despite alleged evidence the letting agency were doing their quarterly inspections she had ripped out the kitchen and bathroom and put them in the garage (well thats better than selling them) and was running a 6 room knocking shop that had been noticed by the neighbours.
My Grandfather had a similar experience about 10 years ago. He rented out a town house to a tenant who proceeded to rip out the entire building and use it as a 3 storey weed farm. He didn't get into any trouble himself.
Ham_and_Jam said:
I would wholeheartedly use OpenRent.
For £49, they advertise your listing on all the major platforms (rightmove, zoopla etc), arrange viewings through their platform, reference your prospective tenants, arrange the deposit to DPS and transfer the first months rent, and put together the AST contracts for electronically signing.
If you want any certifications they will also arrange.
Honestly, I’ve used them many times (just doing another one now). They are fantastic for the money. Not sure what else I’d get from an agent.
Edit- professional referencing is £20 extra.
https://www.openrent.co.uk/our-pricing
Open Rent are excellent, lots of advice and support, and are a trusted brand for renters, having been a landlord since 2003 and doing things myself, they are by far the best thing that has come along for Landlords and renters for a long time.For £49, they advertise your listing on all the major platforms (rightmove, zoopla etc), arrange viewings through their platform, reference your prospective tenants, arrange the deposit to DPS and transfer the first months rent, and put together the AST contracts for electronically signing.
If you want any certifications they will also arrange.
Honestly, I’ve used them many times (just doing another one now). They are fantastic for the money. Not sure what else I’d get from an agent.
Edit- professional referencing is £20 extra.
https://www.openrent.co.uk/our-pricing
Edited by Ham_and_Jam on Thursday 29th April 15:59
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