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It is not just enough to own a rental –property. It is important that the cash keeps on flowing in. this means that you have to be a good landlord and there are various ways of doing this.
ALWAYS PUT SAFETY FIRST
As a landlord, you have a legal obligation to ensure your property meets safety standards. Gas and electrical equipment must be installed and checked annually by a registered engineer.
Make sure there are fire alarms and carbon monoxide alarms fitted. Check them regularly and replace batteries if necessary. And keep records.
DRAW UP A FAIR TENANCY AGREEMENT
Be clear on where the responsibilities lie for the upkeep of the property.
All this should be detailed in the tenancy agreement, known as the Assured Shorthold Tenancy (AST). A letting agent or solicitor can help you draw up a tenancy agreement, or there are a number of templates available to download from sites such as the Residential Landlords Association (rla.org.uk).
If you are a busy landlord but still want to ensure that your investment pays back on time you can hire property management services. Do not just get anyone to do the work for you. Get someone who is qualified by asking certain questions.
Does the agency have a dedicated property management department and how many staff will be looking after my property?Property-Investment-Checklist
Many agencies see property management as a “poor sister” to the more glamorous sales department and some even leave the management of client’s assets to the front desk staff and receptionists.
Ensure that your agent has a dedicated property management department.
Is a director/owner of the agency involved in the day to day management of the property management department?
Most agencies have a sales department and a rental department.
Generally the business owner has a sales background and not a rental background, and looks after the sales department leaving the management of their rental department to a property manager.
This is often because the sales department has a higher turnover and high income.
The rental department has a lower income, is more intensive and difficult to manage.
You may find that an agency where the director has an active involvement of the property management department will take the business of property management more seriously.
If there was a time that could be described as convenient in terms of being a landlord then it would be now. Many people are renting now than ever before.
One of the most popular ways to generate passive income is to buy (or finance) an income-producing rental property and become a landlord. And, according to a recent study from the Joint Center for Housing Studies at Harvard University, now may be the perfect time. According to Harvard researchers, the percentage of households that rent is on the rise, up from 31 percent in 2004 to 35 percent in 2012. That may not sound like a giant surge, but it is when you’re dealing with the entire population of the United States. To keep things in perspective, the Harvard study claims that the total number of renting households surpassed 43 million in 2013.