Now that you have decided to get a tenant for your property and understand your and his rights and responsibilities, it is time to share the basics of how you can actually accomplish that. Letting out a flat or house is easy, but there are several considerations and potential pitfalls.
You need to understand who your potential tenants are and how to find and identify a suitable one for you. You want to achieve the highest rent, need to know about tenancy agreements, and how to manage your tenants once they have moved in and what to do in case things don’t go as expected.
Vetting Letting Agents
First you need to decide whether you want to let out your property yourself or engage a letting agent and how to identify the right one. Again, time availability and location play a role here. If you want to do it yourself, there are many websites available where you can list your flat or house for rental, as well as of course the traditional newspaper For Rent sections.
Engaging a letting agent has the advantage that they have a broader range of potential tenants as well as marketing channels and can help you with the screening process. In every market, there are huge numbers of letting agents offering their services and some are better than others.
You would want to look for agents or agencies that have a good reputation and proven track record. Among those, to further narrow them down to your needs, think about the following:
- How many properties does the agency market? (If too small they likely only have a small number of clients, if too big they might not have capacity to focus on your listing)
- How many staff or agents do they have to market those properties? (If one agent needs to market above 70 or 80 properties, yours might not get sufficient attention)
- Using some sample properties (that you do not necessarily actually have to own), ask how easily they could rent them out
- Check what kind of due diligence and tenant screening process they are using
- How exactly do they conduct viewings for potential tenants? Do they just let them in or do they spend some effort to prepare the unit beforehand nicely?
- Their terms and conditions and commission structure
- How involved is the landlord in the entire process?
You can come up with your additional questions and then decide on which one or two agencies you want to focus on and engage those that you have selected.
The Property Apprentice Master, Jochen Siepmann, wants to share the wealth of his knowledge easily and effortlessly with you for FREE. Start your journey now to greater wealth through passive real estate income and capital appreciation with one, or all, of these FREE offers: