When you’re considering a potential buy-to-let purchase, there are loads of important factors that you need to consider. Here are a few tips for you to bear in mind when looking for a potential buy to let:
- Find out from a local letting agent what rent you can achieve and how quickly it’s likely to be snapped up by a tenant.
- Check properties on Rightmove for rent near your target property and see which agent seems to have the biggest local presence.
- Don’t be afraid to go outside your local area you can just employ an excellent letting agent and leave it to them
- The magic combination is yield + fundamentals. It’s strong fundamentals that keep tenant demand high. Close to amenities, universities, jobs, shops and transport links will ensure you long-term growth and high tenant demand.
When your property is ready to lease there a few things you can do to ensure you are getting the very best out of yourproperty:
- Use block viewings to generate urgency; arranging group viewings, or scheduling back to back private viewings is a great way to create a sense of urgency among prospective tenants and generate competition, even if this may not be the case!
- Clear and defined lines of communication between both tenant and agents; if you’re using an agent, it’s unwise to communicate directly with a tenant, this can blur the lines of professionalism and you may end up getting calls about packed up boilers!
- Review your own rent; if you have hired a reputable agent, they should review the rent annually for you. However, some may not do this, so it’s wise to set a reminder and do it yourself – just in case!
- Don’t squeeze the rents too hard; it’s well worth remembering that demanding the highest rent may reduce your potential tenant pool to a minimum. Charging slightly off the market rate can ensure your tenant demand is high and reduce your overall tenant turnover. You may make slightly less profit this way, but you’ll be maximising your chances of a stress-free and easy property to rent!
To find out more about buy to let contact us