Have you ever considered renting out your home to others?
If you tend to spend long periods of time away, you could make more money by renting out your property, as you would have the extra cash needed to help you with your mortgage. If you have a second home, perhaps a vacation property, you could rent that out to holidaymakers too. You could make a sizeable income, especially if the property was located in a popular holiday area.
Renting out your home could be an excellent idea, but there are a few things you need to do first.
#1: Learn the legal requirements
If you want to rent out your home, there are a number of rules and regulations that you will need to adhere to, and to be honest, it can be a bit of a minefield. From ensuring your home is compliant with health and safety laws to carrying out ‘right to rent checks,’ there is much you will have to learn and do before you put your home up for rent.
If renting out your property as a holiday home, you will need to get the appropriate permits too. Your local government will be able to give you advice on this matter, so get in touch with them. If they use the online portal provided by LODGINGRevs, you will be able to get the information you need quickly and easily.
It will be a headache but as the end result will be worth the red tape, so try and stay positive. And after all, it’s better to do what is right, as the safety of your tenants is imperative, and so is your standing with the law.
#2: Research rental prices
Take a look at similar properties in your area and find out how much they are being let for. If you set your price too high, you won’t get very many renters coming your way, so do try to be realistic. And if you set your price too low, perhaps in a bid to win more people to your side, you might run at a loss.
So, compare prices and market your property competitively to ensure your home isn’t vacant for very long.
#3: Prepare your property for rent
First impressions are everything, so make sure your property is attractive to renters. This includes the inside and the outside, so give everything a deep clean, fix any repairs, and get on top of any decorating that needs to be done.
When preparing your property, you should also get the paperwork ready. Your tenant will want to know that safety checks have been carried out, so make sure these are readily available. They will also need instruction manuals for your home appliances, so have these ready on request too.
You should also think about the kind of tenants that you will be having and what will work best for you, as well as for them. Will you be taking care of bills, and adding that into the rent for them? Or will this be something that you will leave up to them. If you choose the former, then shopping around and deciding to compare electricity companies can be helpful. Looking out for the best deal possible, as well as one for fixed-term price over a number of years can be a good idea for landlords, as it will be the same rate for a while, so you will know what to expect. Of course, if you are leaving it up to the tenant to take care of these bills, then make sure that you have information ready for them about who you have used in the past, or if there is still a current contract in place with an energy provider.
#4: Make sure you’re insured
Make sure your building and content insurers know that you are renting out your property as your policy will need to be amended. You might want to consider taking out landlord insurance too, as this will cover you should you incur any financial losses with your property, such as damages, broken contents, or missed rent.
We have only given a brief guide here, so look online for more information. There is a lot to do, we know, but if you want to boost your income by renting out your property, you do need to make sure everything is in place, for your sake, and the sake of your tenants.
Take care, and thanks for reading.