Thinking of letting out your property...
Posted on 10th June 2019
Letting FAQs
Are you considering letting out your property, but aren’t sure where to begin? Read through our commonly asked letting-related questions…
Do I need to tell my mortgage lender if I want to rent my property?
Yes. You need consent from your lender to let out your property; this may incur a fee.
How do I decide what rent to charge?
Ask for a valuation. Most agents will come out free of charge and give you an idea of pricing by looking at the condition of your property and similar that have let recently in your area.
A common mistake to avoid is listing with an agent that over-values your property. While it will undoubtedly be tempting, these agents often give you an inflated price to win your business and then will knock you down on pricing when the property sits on the market and doesn’t let. Ask any agent you’re thinking of using for their lettings and listings stats which they’ll easily be able to provide.
Also research them on portals such as Rightmove, mystery shop them and ask around for recommendations.
As a landlord, you also need to remember that every month your property is empty, you’ll be paying the mortgage (if you have one) as well as council tax.
How much will it cost me to let my property?
This varies on which package you choose. The main cost involved is the tenant finder fee. Other costs include: an inventory (if you want one), a gas safety certificate, an energy performance certificate, keys cut for tenants, smoke alarms and carbon monoxide detectors.
Once a valuer visits your property, you can discuss which package is best for you and then see the exact costs involved.
Why should I use an agent to manage my property?
The law on lettings changes all the time and, unless you’re an experienced landlord who keeps up to date with these changes, it’s best to use an agent. If you miss one thing, it can lead to major complications further down the line. Also, using an agent is less stressful for landlords as, if you prefer, you have no contact with the tenant and there will be no phone calls late at night to say there’s a leak or that the boiler has packed up.
Finally, tenants generally prefer to deal with agents as they generally have more expertise and knowledge and can act as a go between.
What happens to the deposit my tenants pay?
If you are a fully managed landlord or are tenant find only with an inventory, we will register it into our tenancy deposit scheme. If you are a tenant find only landlord without an inventory, you will need to provide details of whichever tenancy deposit scheme you are registered with, including your landlord ID number, and the deposit will then be registered with that scheme.
What is the purpose of an inventory?
An inventory is important, and we always recommend them. A professionally prepared inventory is the key piece of information the tenancy deposit scheme will ask for if a landlord wishes to claim against a tenant’s deposit. It is the evidence of what the property was like before the tenant moved in. As well as this, we also take meter readings, inform the suppliers as well as the council which is one less job for the landlord to do. Don’t just presume that inventories are for furnished houses. Think of cleanliness, possible damage to fixtures and fittings such as showers, windows and internal doors and carpets.
What are my obligations regarding repairs to the property?
For most repairs, the landlord is responsible, anything structural or related to gas, electric and water installations. Landlords also need to carry out a gas safety check at the property annually and ensure working smoke alarms are installed on each floor of the property.
How do I receive my rental income?
If you are fully managed, you’ll receive it via BACS payment monthly along with a monthly statement. This will be paid to you the day after we receive it from the tenant.
If you are a tenant find only landlord, we will deduct our fees from the first month’s rent and then send over what’s left by BACS – again along with a statement. From month two onwards, it will be your responsibility to set up a standing order with your new tenant.
Who will pay the council tax, the landlord or the tenant?
The tenant is responsible for this unless otherwise agreed with the landlord - some landlords may advertise with all bills included.
If you still have further questions, get in touch with us on Twitter (@ventureprop) or contact your local branch: https://www.venturepropertiesuk.com/contact-us/