There is a new trend gaining momentum in the residential lettings market – and it could be taking a foothold in Guildford over coming months.
“Double renting‟ is springing up all over the country – where home owners struggling to sell are taking up the option of letting out their existing home to provide an on-going income stream, whilst moving into another - lower cost – rental property themselves.
This has created a curious situation in which a home owner becomes both a landlord and a tenant. But for many it is the ideal solution if they are struggling to sell their property for the desired asking price. It means they can make alternative arrangements without playing the “waiting game‟ for a sale.
In this current market, with rents rising and very strong tenant demand, “double renting‟ offers a new and ideal solution for many people.
It is particularly suitable for owners and their families who are looking to move to another town or city because of a promotion or new job – or for families re-locating to a new area for a particular school. It is very lifestyle driven.
Changes in the family structure – such as parents deciding to downsize, or move to a different area once they have raised their children – are also factors.
With double renting, there is no stamp duty or associated legal costs, as there would be in a selling and buying situation. The process is instantaneous and it also enables home owners to stay “invested‟ in the property market. With property prices at an all time low, they can become renters themselves elsewhere and wait for the market to pick up and sell at a profit.
On the face of it, it is a perfect solution for certain people who need to re-locate quickly, but do not necessarily want to let go of their own family home.
But ,”double renters‟ need to ensure that they attract the right kind of tenant for their property; carry out detailed referencing and also conform with the wide range of insurance, legislative and health and safety requirements related to private property rental.
Here at Belvoir Guildford, our team of property specialists can provide expert guidance and assistance and ensure that the whole process is handled both professionally and efficiently, leaving property owners safe in the knowledge that their home – and investment - will be expertly managed and maintained whilst they are away from it.
Specialist Letting agency based in Guildford. Offering Landlords free advice on property sourcing, mortgages, wealth management, tenant placement and property management
Friday, 21 October 2011
Wednesday, 14 September 2011
High Quality Property Management from your letting agent
As we reach the end of the peak for the summer / autumn move in season, I thought I would write about some of the experiences we have had as an agent over this busy period.
In the last 3 weeks we have overseen nearly 20 move ins, with so many move ins there are bound to be small issues as the new tenants become familiar with their property.
As an agent that strives to add value to clients, both tenants and landlords, we have offered extra support even to properties that we don't manage.
I haven't calculated the total amount of money I think we have saved landlords but I thought I would highlight some of what we have done to give any prospective landlords or tenants an idea of how a letting agent that offers a high quality service can make everyone's life smoother and how a really good one won't waste your money.
Issue 1 - The dishwasher doesn't work! Although not managing the property, as the landlord was on holiday and we had let the proeprty we felt an obligation to investigate. We went to the property that day and found the tenant had not turned the isolator switch on. Plumber call out saved?
Issue 2 - There is no hot water! Again, we visited the property that day and found that the tenant had not turned the gas on for the building. Plumber / Heating engineer saved?
Issue 3 - There is no hot water nor central heating! We visited the property that morning and realised the pilot light had gone out. Pressed the reset button, and all working fine. Call out fees saved!
Issue 4 - Broken window, that doesn't shut! Handyman called out and fixed for £20.
Issue 5 - Window doesn't open! We visited the property and showed the tenant how to open the safety latch.
Broken window aside, all of the above saved the landlord money by not calling out a contractor unnecessarily and as we are keen for tenants to feel looked after obviously there was no charge to them. I am aware some agents might feel the tenants should have been charged but I see it as part of the service and learn the lessons for future check ins to be more thorough.
If you have any questions about how our fully-managed service can save you time, money and hassle please contact us. In particular we are keen to hear from owner occupiers in Guildford and Godalming areas that might be needing to move due to personal circumstances or work but don't feel selling is the right thing to do at the moment.
In the last 3 weeks we have overseen nearly 20 move ins, with so many move ins there are bound to be small issues as the new tenants become familiar with their property.
As an agent that strives to add value to clients, both tenants and landlords, we have offered extra support even to properties that we don't manage.
I haven't calculated the total amount of money I think we have saved landlords but I thought I would highlight some of what we have done to give any prospective landlords or tenants an idea of how a letting agent that offers a high quality service can make everyone's life smoother and how a really good one won't waste your money.
Issue 1 - The dishwasher doesn't work! Although not managing the property, as the landlord was on holiday and we had let the proeprty we felt an obligation to investigate. We went to the property that day and found the tenant had not turned the isolator switch on. Plumber call out saved?
Issue 2 - There is no hot water! Again, we visited the property that day and found that the tenant had not turned the gas on for the building. Plumber / Heating engineer saved?
Issue 3 - There is no hot water nor central heating! We visited the property that morning and realised the pilot light had gone out. Pressed the reset button, and all working fine. Call out fees saved!
Issue 4 - Broken window, that doesn't shut! Handyman called out and fixed for £20.
Issue 5 - Window doesn't open! We visited the property and showed the tenant how to open the safety latch.
Broken window aside, all of the above saved the landlord money by not calling out a contractor unnecessarily and as we are keen for tenants to feel looked after obviously there was no charge to them. I am aware some agents might feel the tenants should have been charged but I see it as part of the service and learn the lessons for future check ins to be more thorough.
If you have any questions about how our fully-managed service can save you time, money and hassle please contact us. In particular we are keen to hear from owner occupiers in Guildford and Godalming areas that might be needing to move due to personal circumstances or work but don't feel selling is the right thing to do at the moment.
Wednesday, 10 August 2011
Guildford Buy-to-Let Advice
With interest rates low, and rents rising, many people are looking to invest in property for the first time.
Below, we give some basic tips to help investors find the right property. Above all, please contact a Specialist Letting Agent before putting an offer on a property. Any Estate Agent that does Sales and Lettings could be compromised on the advice they give, or simply not understand lettings. I had one such agent offer me a flat with a yield of 4.5% and try to tell me it was a great buy to let property. Knowing I could get 8% else where for my money it made me worry how much poor advise is given to first time investors.
1.) Beware of the... wrong property
It’s essential that you invest in the right property. The wrong property can easily stay vacant for extended periods and, even when let, may only achieve a low rental return. Furthermore, a wrong property may need extensive refurbishment that may mean little return for quite a time.”
There are a range of problem outcomes if landlords buy the wrong property or the wrong type of property. The sharpest of these is demand-related which can lead to adverse time to let, high turnover of tenants and lengthy void periods etc.
Also buying ‘project properties’ if you have don’t have the time and resources to complete quickly and to a good standard can have the same outcomes. The key thing is to buy appropriate to the local market, staying with mainstream properties that have high local demand. Buying to the taste of the model age range of tenants and not for your own tastes is also important.
If in doubt, Belvoir Lettings Guildford will be able to advise you on the type of properties currently in demand in your area.
Good letting agents know what properties let well in their area and are best placed to advise you on this at the pre-purchase stage, helping you to narrow down your search criteria.
Letting properties is what letting agents do day in and day out, so it is a good investment of your time to talk to them before you arrive at their office with your set of keys and you see their smile fade.
As investing in the right property depends on local demand, you must speak with a local lettings specialist. They will be able to advise what tenants are looking for, what they expect internally and what else makes a property attractive to tenants. We often speak to the landlord for the first time after they have bought the property, and know we could have pointed them in the direction of a better investment for both yield and capital growth.
2.) Beware of the... wrong location
The old adage of ‘location, location, location’ is still true. The best yields are achieved from properties close to good schools, routes into and out of towns and close to train stations etc. However, you should also look at properties in improving areas where yields should increase at some time in the future.
Phrases become clichés when they are true and they should be ignored at your peril; ‘location, location, location’ is one such phrase. Another is also true: ‘you can lead a tenant to a property but you can’t make them take it’ – so a good property in a bad area isn’t worth looking at.
And make sure you carefully research local perception and the surrounding areas of the property you’re considering for investment – just as a prime location is likely to be reflected in the rental return, a property’s proximity to less desirable areas may have an impact on tenant demand too.
The right location will always command the best rental returns, ensure that the properties are always tenanted and that property maintenance is at a minimum.
3.) Beware of the... wrong price
The rental yield is based on a ‘return on investment’ calculation, so the original investment value is critical to achieving the best return. It is worth researching sold prices online, as these are a good benchmark for what values properties can achieve in a chosen area. A property purchased at the wrong price can be disastrous, since your exit plan cannot easily be met and it is likely that you will have to keep the property longer than needed to get the required sales price.
It’s always important to think of an investment property in terms of short-term rental return and long-term capital appreciation.
Rental properties have two income streams. Yield, this is the % the property makes per year and can be directly compared to something like interest in a savings account. If the rental yield of a property is going to be low it is pointless entertaining it as you may as well put your money in a savings account. Capital appreciation in the property is the second stream. If you buy low to start with your appreciation will be greater from the outset.
Although rental yield is often a goal in itself, buying to let is after all an investment strategy – even if you are buying for your son or daughter to move in later, evidence suggests they often don’t. The principal strategy related to any investment is to buy as cheaply as possible and to sell for as much as possible. Although the market varies from area to area it is essentially a buyer’s market. Be dispassionate about the property when you view it, don’t get too attached and don’t throw money at it to secure it.
But, of course, cheaper doesn’t necessarily mean better and you must do your research thoroughly. A bargain isn’t a bargain if the property has fundamental problems or is in need of major renovation. If a property is too cheap then ask yourself why!
4.) Beware of the... wrong tenant
Getting the wrong tenant is every landlord’s worst nightmare. Not paying on time, not paying at all and not respecting the property are among the long list of problems faced if an unreliable tenant moves in.
The honest answer is that the law of averages operates in getting a good or bad tenant as it does in every aspect of life. It is impossible to eliminate risk entirely but it is possible to manage it down and, of course, to put in place a range of safeguards if the worst comes to the worst.
Previous landlord references are sometimes unreliable and you must exercise other forms of due diligence: ideally a credit report, but certainly securing photographic ID and employer references etc.
Using an accredited letting agent to find the tenant for you can help reduce the risk of getting a ‘bad’ tenant.
And, even if you are using an agent, make sure you meet your potential tenant in person too. Good referencing backed up with a subjective gut feeling about the person is the best way to get the right tenant.
5.) Beware of the... wrong agent
A good agent will manage all of the above to ensure that you get the best property and tenants. Belvoir Guildford always approach each property and tenancy as if it were our own experience – would I live in this property? Would I let them live in my property?”
Lettings agents will also market the property on your behalf and will be on hand for any advice you may need.
Once on board letting agents know which advertising channels work, will exercise due diligence on your behalf in terms of tenant referencing and will keep you on the right side of your legal responsibilities as a landlord.
And, when choosing an agent, don’t make your decision based on fees alone.
Just going for the cheapest agent is not the way forward. You may have saved 1% or 2% by going to a cheaper agent but in the long-run you may lose out if they do not place a tenant quickly resulting in costly voids. And, if the tenant they do place is unsuitable, the result may be no rent being paid at all potentially leading to legal fees and lost revenue.”
To find the right agent for you, always look for honesty, integrity, quality of service, the knowledge of the staff and a professional approach. Go online and check your chosen agent’s reviews and ask how many tenants are in arrears as a proportion of their managed properties. Additional membership such as NALS, Safe AGENT and The Property Ombudsman should indicate that robust procedures are in place to avoid nightmare tenancies.
Get it right!
Property
Location
Purchase price
Type of tenant
Monthly rental income
Choice of agent
Maintenance
Insurance
Tenancy agreement
Marketing
Below, we give some basic tips to help investors find the right property. Above all, please contact a Specialist Letting Agent before putting an offer on a property. Any Estate Agent that does Sales and Lettings could be compromised on the advice they give, or simply not understand lettings. I had one such agent offer me a flat with a yield of 4.5% and try to tell me it was a great buy to let property. Knowing I could get 8% else where for my money it made me worry how much poor advise is given to first time investors.
1.) Beware of the... wrong property
It’s essential that you invest in the right property. The wrong property can easily stay vacant for extended periods and, even when let, may only achieve a low rental return. Furthermore, a wrong property may need extensive refurbishment that may mean little return for quite a time.”
There are a range of problem outcomes if landlords buy the wrong property or the wrong type of property. The sharpest of these is demand-related which can lead to adverse time to let, high turnover of tenants and lengthy void periods etc.
Also buying ‘project properties’ if you have don’t have the time and resources to complete quickly and to a good standard can have the same outcomes. The key thing is to buy appropriate to the local market, staying with mainstream properties that have high local demand. Buying to the taste of the model age range of tenants and not for your own tastes is also important.
If in doubt, Belvoir Lettings Guildford will be able to advise you on the type of properties currently in demand in your area.
Good letting agents know what properties let well in their area and are best placed to advise you on this at the pre-purchase stage, helping you to narrow down your search criteria.
Letting properties is what letting agents do day in and day out, so it is a good investment of your time to talk to them before you arrive at their office with your set of keys and you see their smile fade.
As investing in the right property depends on local demand, you must speak with a local lettings specialist. They will be able to advise what tenants are looking for, what they expect internally and what else makes a property attractive to tenants. We often speak to the landlord for the first time after they have bought the property, and know we could have pointed them in the direction of a better investment for both yield and capital growth.
2.) Beware of the... wrong location
The old adage of ‘location, location, location’ is still true. The best yields are achieved from properties close to good schools, routes into and out of towns and close to train stations etc. However, you should also look at properties in improving areas where yields should increase at some time in the future.
Phrases become clichés when they are true and they should be ignored at your peril; ‘location, location, location’ is one such phrase. Another is also true: ‘you can lead a tenant to a property but you can’t make them take it’ – so a good property in a bad area isn’t worth looking at.
And make sure you carefully research local perception and the surrounding areas of the property you’re considering for investment – just as a prime location is likely to be reflected in the rental return, a property’s proximity to less desirable areas may have an impact on tenant demand too.
The right location will always command the best rental returns, ensure that the properties are always tenanted and that property maintenance is at a minimum.
3.) Beware of the... wrong price
The rental yield is based on a ‘return on investment’ calculation, so the original investment value is critical to achieving the best return. It is worth researching sold prices online, as these are a good benchmark for what values properties can achieve in a chosen area. A property purchased at the wrong price can be disastrous, since your exit plan cannot easily be met and it is likely that you will have to keep the property longer than needed to get the required sales price.
It’s always important to think of an investment property in terms of short-term rental return and long-term capital appreciation.
Rental properties have two income streams. Yield, this is the % the property makes per year and can be directly compared to something like interest in a savings account. If the rental yield of a property is going to be low it is pointless entertaining it as you may as well put your money in a savings account. Capital appreciation in the property is the second stream. If you buy low to start with your appreciation will be greater from the outset.
Although rental yield is often a goal in itself, buying to let is after all an investment strategy – even if you are buying for your son or daughter to move in later, evidence suggests they often don’t. The principal strategy related to any investment is to buy as cheaply as possible and to sell for as much as possible. Although the market varies from area to area it is essentially a buyer’s market. Be dispassionate about the property when you view it, don’t get too attached and don’t throw money at it to secure it.
But, of course, cheaper doesn’t necessarily mean better and you must do your research thoroughly. A bargain isn’t a bargain if the property has fundamental problems or is in need of major renovation. If a property is too cheap then ask yourself why!
4.) Beware of the... wrong tenant
Getting the wrong tenant is every landlord’s worst nightmare. Not paying on time, not paying at all and not respecting the property are among the long list of problems faced if an unreliable tenant moves in.
The honest answer is that the law of averages operates in getting a good or bad tenant as it does in every aspect of life. It is impossible to eliminate risk entirely but it is possible to manage it down and, of course, to put in place a range of safeguards if the worst comes to the worst.
Previous landlord references are sometimes unreliable and you must exercise other forms of due diligence: ideally a credit report, but certainly securing photographic ID and employer references etc.
Using an accredited letting agent to find the tenant for you can help reduce the risk of getting a ‘bad’ tenant.
And, even if you are using an agent, make sure you meet your potential tenant in person too. Good referencing backed up with a subjective gut feeling about the person is the best way to get the right tenant.
5.) Beware of the... wrong agent
A good agent will manage all of the above to ensure that you get the best property and tenants. Belvoir Guildford always approach each property and tenancy as if it were our own experience – would I live in this property? Would I let them live in my property?”
Lettings agents will also market the property on your behalf and will be on hand for any advice you may need.
Once on board letting agents know which advertising channels work, will exercise due diligence on your behalf in terms of tenant referencing and will keep you on the right side of your legal responsibilities as a landlord.
And, when choosing an agent, don’t make your decision based on fees alone.
Just going for the cheapest agent is not the way forward. You may have saved 1% or 2% by going to a cheaper agent but in the long-run you may lose out if they do not place a tenant quickly resulting in costly voids. And, if the tenant they do place is unsuitable, the result may be no rent being paid at all potentially leading to legal fees and lost revenue.”
To find the right agent for you, always look for honesty, integrity, quality of service, the knowledge of the staff and a professional approach. Go online and check your chosen agent’s reviews and ask how many tenants are in arrears as a proportion of their managed properties. Additional membership such as NALS, Safe AGENT and The Property Ombudsman should indicate that robust procedures are in place to avoid nightmare tenancies.
Get it right!
Property
Location
Purchase price
Type of tenant
Monthly rental income
Choice of agent
Maintenance
Insurance
Tenancy agreement
Marketing
Tuesday, 28 June 2011
SAFE Agent is launched so Landlords know which agents to use.
SAFE announces industry wide support for its new consumer focussed campaign, which promotes a simple mark denoting letting firms that protect landlords’ and tenants’ money through client money protection schemes, newly launched ‘by the industry* for the industry’.
Ron Gainsford, Chief Executive of the Trading Standards Institute: “The Trading Standards Institute welcomes the introduction and promotion of a single mark to identify letting agents who are in Client Money Protection insurance schemes. Raising the money for a deposit and rent places a great financial strain on many people who wish to rent property and it will be invaluable to have one mark that can be promoted as the sign on the door that their money will be safe with that letting agent. Having just one mark will increase recall levels of the scheme and enable consumers to make sensible and safe choices of letting agents based on a raised awareness of the Client Protection Insurance scheme. In turn this will help trading standards services in the fight to reduce the number of rogue and ‘uninsured’ letting agents who disappear with consumer money.”
Nick Cooper, Chair of the SAFE Steering Group said: “We are delighted to have already got such positive support for the SAFE concept, which will really help to get this off the ground. We believe this is a very positive move for the sector and having the backing of industry bodies will help enormously to galvanise the sector into demonstrating its commitment to best practice and protect consumers and landlords from those unscrupulous agents. We also anticipate that ultimately we will get Government recognition for this new mark.”
Firms will be asked to meet the Terms and Conditions of the SAFE mark. The SAFE mark will be available for use by all agents in CMP Schemes.
SAFE opened for registrations on 27 May 2011, Belvoir Lettings Guildford is already a member (registration no. S1292)
The scheme will launch to consumers later in the year following the campaign to attract letting agents to adopt the SAFE mark.
Support for SAFE has already been extremely encouraging with positive comments from the industry and wider:
The Council of Mortgage Lenders:
“The CML is pleased to support efforts to raise awareness of schemes designed to protect landlord client monies held by letting agents. We therefore welcome the campaign, co-ordinated by NALS, to offer a single mark to identify agents in Client Money Protection insurance schemes to raise awareness of the risks of using an “uninsured” agent.”
The Residential Landlords Association: Alan Ward, chairman
“A clear and recognisable brand will help build confidence with landlords as well as tenants who place large sums of money on trust with professional letting and management agents. It will place the onus on agents operating without CMP to answer the question “why not?”
British Property Federation
“This campaign brings home to landlords that their money is a lot safer with some agents than others. We want professional agents to prosper at the expense of rogues and therefore have no hesitation in supporting the campaign. We would encourage agents to join in their throngs and landlords to remember the old adage ‘you are better SAFE than sorry’.”
Ron Gainsford, Chief Executive of the Trading Standards Institute: “The Trading Standards Institute welcomes the introduction and promotion of a single mark to identify letting agents who are in Client Money Protection insurance schemes. Raising the money for a deposit and rent places a great financial strain on many people who wish to rent property and it will be invaluable to have one mark that can be promoted as the sign on the door that their money will be safe with that letting agent. Having just one mark will increase recall levels of the scheme and enable consumers to make sensible and safe choices of letting agents based on a raised awareness of the Client Protection Insurance scheme. In turn this will help trading standards services in the fight to reduce the number of rogue and ‘uninsured’ letting agents who disappear with consumer money.”
Nick Cooper, Chair of the SAFE Steering Group said: “We are delighted to have already got such positive support for the SAFE concept, which will really help to get this off the ground. We believe this is a very positive move for the sector and having the backing of industry bodies will help enormously to galvanise the sector into demonstrating its commitment to best practice and protect consumers and landlords from those unscrupulous agents. We also anticipate that ultimately we will get Government recognition for this new mark.”
Firms will be asked to meet the Terms and Conditions of the SAFE mark. The SAFE mark will be available for use by all agents in CMP Schemes.
SAFE opened for registrations on 27 May 2011, Belvoir Lettings Guildford is already a member (registration no. S1292)
The scheme will launch to consumers later in the year following the campaign to attract letting agents to adopt the SAFE mark.
Support for SAFE has already been extremely encouraging with positive comments from the industry and wider:
The Council of Mortgage Lenders:
“The CML is pleased to support efforts to raise awareness of schemes designed to protect landlord client monies held by letting agents. We therefore welcome the campaign, co-ordinated by NALS, to offer a single mark to identify agents in Client Money Protection insurance schemes to raise awareness of the risks of using an “uninsured” agent.”
The Residential Landlords Association: Alan Ward, chairman
“A clear and recognisable brand will help build confidence with landlords as well as tenants who place large sums of money on trust with professional letting and management agents. It will place the onus on agents operating without CMP to answer the question “why not?”
British Property Federation
“This campaign brings home to landlords that their money is a lot safer with some agents than others. We want professional agents to prosper at the expense of rogues and therefore have no hesitation in supporting the campaign. We would encourage agents to join in their throngs and landlords to remember the old adage ‘you are better SAFE than sorry’.”
Saturday, 18 June 2011
Student Lets and the guarantor's role
As we start to reach the second busiest spell for students lets for the next academic year, I thought it might be helpful to go through a few things that might help parents and students alike regarding the process.
Perhaps the most important aspect to understand is that the group are "joint and severally liable" if they rent the house on one tenancy agreement. This is not relevant if you have one tenancy per room but most student lets will be under one agreement for the whole house.
This means that if Tom, Dick and Harry move in together each individual is responsible for the whole rent.
Example - 3 bed house at £1200pcm. Tom doesn't pay the rent due to financial problems or dropping out of the course. Dick and Harry are liable for Tom's share as well as their own. If you are acting as Dick or Harry's guarantor this means that you too are liable for Tom's share.
A quality agent or landlord will always chase Tom for the rent in the first instance and then go to his guarantor - 95% of rent arrears are solved at this stage and the other tenant and guarantors have nothing to fear.
If the issue still isn't solved then usually the group find a new 3rd person to fill the room and arrears don't build up.
It may seem a scary commitment as a guarantor but I am yet to know a case of one guarantor paying for the rent of a tenant they weren't originally guaranteeing.
The alternative way to find accommodation for students is as briefly mentioned above, rent a room on a tenancy solely for yourself. This will give you complete control but generally will require a bigger outlay as house sharing is the most economical, roughly speaking house sharing results in c£400pcm per tenant plus £10pppw for bills.
If you do wish to rent a room or studio on a sole tenant basis, generally speaking they will be starting at £500. We will have a number of rooms available from August in an excellent town centre location that start from £550 incl bills.
So what happens once you find somewhere to live?
Firstly you will be asked to pay a holding fee, usually around £500 which will go towards the first month's rent (so - not an extra cost). This payment secures the property for you.
You will then need to fill in application forms for each tenant AND guarantor. The guarantor will need to be credit checked and supply an employer's reference / proof of income.The student will be credit checked and where relevant need to produce a previous landlord's reference.
Both the tenants and guarantors will also need to show proof of ID and address.
Once the referencing is complete all parties will sign the tenancy agreeement and the total move in costs will need to be paid in cleared funds prior to move in.
Move in costs will include a referencing / admin fee for the agent, the first month's rent plus any deposit (usually 1.5 month's rent).
ACM student that doesn't know anyone in Guildford?
This is always a hard situation if you want to house share. Can you trust your new propsective house mates, will you even get on with them?
We can often put groups together, but it is much easier if you use ACM message board to communicate your need to form a group and then come to us as a group. We might have a 5 bed house and 2 groups of 2+3 which we can put together.
Please note that prices in the town centre, close to ACM, will be higher and you may need to stretch your budget.
Perhaps the most important aspect to understand is that the group are "joint and severally liable" if they rent the house on one tenancy agreement. This is not relevant if you have one tenancy per room but most student lets will be under one agreement for the whole house.
This means that if Tom, Dick and Harry move in together each individual is responsible for the whole rent.
Example - 3 bed house at £1200pcm. Tom doesn't pay the rent due to financial problems or dropping out of the course. Dick and Harry are liable for Tom's share as well as their own. If you are acting as Dick or Harry's guarantor this means that you too are liable for Tom's share.
A quality agent or landlord will always chase Tom for the rent in the first instance and then go to his guarantor - 95% of rent arrears are solved at this stage and the other tenant and guarantors have nothing to fear.
If the issue still isn't solved then usually the group find a new 3rd person to fill the room and arrears don't build up.
It may seem a scary commitment as a guarantor but I am yet to know a case of one guarantor paying for the rent of a tenant they weren't originally guaranteeing.
The alternative way to find accommodation for students is as briefly mentioned above, rent a room on a tenancy solely for yourself. This will give you complete control but generally will require a bigger outlay as house sharing is the most economical, roughly speaking house sharing results in c£400pcm per tenant plus £10pppw for bills.
If you do wish to rent a room or studio on a sole tenant basis, generally speaking they will be starting at £500. We will have a number of rooms available from August in an excellent town centre location that start from £550 incl bills.
So what happens once you find somewhere to live?
Firstly you will be asked to pay a holding fee, usually around £500 which will go towards the first month's rent (so - not an extra cost). This payment secures the property for you.
You will then need to fill in application forms for each tenant AND guarantor. The guarantor will need to be credit checked and supply an employer's reference / proof of income.The student will be credit checked and where relevant need to produce a previous landlord's reference.
Both the tenants and guarantors will also need to show proof of ID and address.
Once the referencing is complete all parties will sign the tenancy agreeement and the total move in costs will need to be paid in cleared funds prior to move in.
Move in costs will include a referencing / admin fee for the agent, the first month's rent plus any deposit (usually 1.5 month's rent).
ACM student that doesn't know anyone in Guildford?
This is always a hard situation if you want to house share. Can you trust your new propsective house mates, will you even get on with them?
We can often put groups together, but it is much easier if you use ACM message board to communicate your need to form a group and then come to us as a group. We might have a 5 bed house and 2 groups of 2+3 which we can put together.
Please note that prices in the town centre, close to ACM, will be higher and you may need to stretch your budget.
Tuesday, 14 June 2011
Houses in Multiple Occupancy
Had an interesting day today.
Guildford obviously has high rents compared to the national average, but in turn does attract higher earners due to the job market and local economy.
However, we still find that a high number of properties are let out to sharers. I went to a nice 3 bed semi in North Guildford today to conduct a market appraisal for the owner.
He currently lets it out to 3 sharers all on 1 tenancy, we were discussing which type of service would best suit him ( tenant find only or management) and I started to tell him our service levels and how due to our close working relationship with the local Housing officer we would be confident of giving him the best possible mangement service in line with local policies if it was re-let to 3 sharers on the new tenancy.
I also noticed certain safety requirements weren't quite right in the house at the moment, don't get me wrong, this was not a death trap but just needed a heat sensor in the kitchen, an extra smoke detector and fire blanket etc.
It transpired he wasn't even aware of what an HMO is. Now, I am not writing here in order to cast scorn on the landlord, the property is well maintained and beautifully presented. I suppose my point is that many properties in Guildford are let to sharers with landlords self-managing and many will be very knowledgeable, probably more than myself, however if you have a slight doubt or want any free advice please call me.
In the long run installing a few extra safety precautions can save you so much time, money and grief in the long run.
I am here to help if anyone wants some free advice on HMO safety!
Glenn Wakeham
Belvoir
01483 537200
Guildford obviously has high rents compared to the national average, but in turn does attract higher earners due to the job market and local economy.
However, we still find that a high number of properties are let out to sharers. I went to a nice 3 bed semi in North Guildford today to conduct a market appraisal for the owner.
He currently lets it out to 3 sharers all on 1 tenancy, we were discussing which type of service would best suit him ( tenant find only or management) and I started to tell him our service levels and how due to our close working relationship with the local Housing officer we would be confident of giving him the best possible mangement service in line with local policies if it was re-let to 3 sharers on the new tenancy.
I also noticed certain safety requirements weren't quite right in the house at the moment, don't get me wrong, this was not a death trap but just needed a heat sensor in the kitchen, an extra smoke detector and fire blanket etc.
It transpired he wasn't even aware of what an HMO is. Now, I am not writing here in order to cast scorn on the landlord, the property is well maintained and beautifully presented. I suppose my point is that many properties in Guildford are let to sharers with landlords self-managing and many will be very knowledgeable, probably more than myself, however if you have a slight doubt or want any free advice please call me.
In the long run installing a few extra safety precautions can save you so much time, money and grief in the long run.
I am here to help if anyone wants some free advice on HMO safety!
Glenn Wakeham
Belvoir
01483 537200
Saturday, 11 June 2011
Property Sourcing in Guildford
Having run our seminar on Thursday 9th June, I thought I would summarise the main points we spoke about when looking to buy a good buy-to-let investment.
1- Think about your objectives, what is your goal? To get both capital growth and a good yield at the moment can be tricky.
2- The best yields will be 2-3 bed properties.
3- Student properties continue to offer potential yield of 7% if you buy in the right place with the right size bedrooms.
4- Capital growth investments can be either properties with the opportunity to make improvements or buy something the over 60s would like. An ageing population that has equity in their larger homes will be looking to downsize in 15 years time, Bungalows, 2 bed ground floor flats near hospitals, surgeries and mainline stations will grow at a quicker rate than average increases.
5- Speak to an impartial letting agent NOT an estate agent when seeking advise. An estate agent might point you in the direction of a property they are trying to sell not one that is right for you.
6- Use a specialist to manage your property, their fees are tax deductible.
7- Stay up to date with local housing regulations and plans. Speak to a local expert or the housing officer
8- Use a specialist conveyancing solicitor, don't do this on the cheap!
9- Speak to a wealth management expert to make sure you structure the ownership of your investment in the most tax efficient way.
1- Think about your objectives, what is your goal? To get both capital growth and a good yield at the moment can be tricky.
2- The best yields will be 2-3 bed properties.
3- Student properties continue to offer potential yield of 7% if you buy in the right place with the right size bedrooms.
4- Capital growth investments can be either properties with the opportunity to make improvements or buy something the over 60s would like. An ageing population that has equity in their larger homes will be looking to downsize in 15 years time, Bungalows, 2 bed ground floor flats near hospitals, surgeries and mainline stations will grow at a quicker rate than average increases.
5- Speak to an impartial letting agent NOT an estate agent when seeking advise. An estate agent might point you in the direction of a property they are trying to sell not one that is right for you.
6- Use a specialist to manage your property, their fees are tax deductible.
7- Stay up to date with local housing regulations and plans. Speak to a local expert or the housing officer
8- Use a specialist conveyancing solicitor, don't do this on the cheap!
9- Speak to a wealth management expert to make sure you structure the ownership of your investment in the most tax efficient way.
Thursday, 2 June 2011
Accepting rent in advance - is it as easy as it should be?
It has come to my attention that the Housing Act has thrown up another potential issues for landlords that it was never intended to.
It can be every landlords dream when a prospective tenant might not be a UK citizen or have an appropriate guarantor, the cash rich tenant offers to pay the full rental amount for the fixed term. Most landlords, quite rightly would happily accept this but there are potential pitfalls one must be careful about.
Firstly, The Housing Act 2004 states that a deposit is:
..."any money intended to be held (by the landlord or otherwise) as security for -
a) the performance of any obligations of the tenant; or
b) the discharge of any liability of his;
arising under or in connection with the tenancy'."
So, in theory this could be mean that by taking the rent in advance, this money is taken against the tenants obligations and should therefore be registered with a relevant scheme!! There have been court cases where judges have interpreted it as just this, so be careful.
The obvious way to prevent this interpretation is adjust the period from monthly rent of let's say £1000 to annual rent of £12000. Great, so now the rent paid in advance can't but seen as a deposit....BUT
What about serving notice? Notice must be 1 period and not less than 2 months. What if after 10 months you needed possession of the property, remember the tenant wouldn't have passed normal referencing criteria so will they pay the rent come month13??
The solution is to serve notice at the start of the tenancy, plus stating that the period is annual not monthly.This way the rent can only be seen as rent and the notice period complies with legislation.
I urge any landlords that have received rent in advance to have a look at the wording of their tenancy and if it is a monthly period and/or they haven't served notice at the start of the tenancy - pray! Then think about whether they are using the right agent.
Belvoir Lettings Guildford will continue to protect their landlords as court cases set precedences. If you are looking for expert advice from a specialist agent in the Guildford area please call and we will see how we can help.
It can be every landlords dream when a prospective tenant might not be a UK citizen or have an appropriate guarantor, the cash rich tenant offers to pay the full rental amount for the fixed term. Most landlords, quite rightly would happily accept this but there are potential pitfalls one must be careful about.
Firstly, The Housing Act 2004 states that a deposit is:
..."any money intended to be held (by the landlord or otherwise) as security for -
a) the performance of any obligations of the tenant; or
b) the discharge of any liability of his;
arising under or in connection with the tenancy'."
So, in theory this could be mean that by taking the rent in advance, this money is taken against the tenants obligations and should therefore be registered with a relevant scheme!! There have been court cases where judges have interpreted it as just this, so be careful.
The obvious way to prevent this interpretation is adjust the period from monthly rent of let's say £1000 to annual rent of £12000. Great, so now the rent paid in advance can't but seen as a deposit....BUT
What about serving notice? Notice must be 1 period and not less than 2 months. What if after 10 months you needed possession of the property, remember the tenant wouldn't have passed normal referencing criteria so will they pay the rent come month13??
The solution is to serve notice at the start of the tenancy, plus stating that the period is annual not monthly.This way the rent can only be seen as rent and the notice period complies with legislation.
I urge any landlords that have received rent in advance to have a look at the wording of their tenancy and if it is a monthly period and/or they haven't served notice at the start of the tenancy - pray! Then think about whether they are using the right agent.
Belvoir Lettings Guildford will continue to protect their landlords as court cases set precedences. If you are looking for expert advice from a specialist agent in the Guildford area please call and we will see how we can help.
Monday, 23 May 2011
Landlords need to protect their Wealth
It has come to my attention over the last few months that some landlords have made a catastrophic mistake in structuring their portfolio which could mean their spouse inherits absolutely none of the equity in their estate.
We had 2 separate portfolio landlord partnerships explain how they had done conveyancing "off the shelf" in the past. All their properties were set up as joint tenancy/ownership rather than tenants in common. This will mean when one of the 2 friends die, regardless of what was written in their will the other partner inherits the other half of the property - NOT their family!!
It also leaves the surviving investor with a large inheritance tax bill which could lead to the need to sell some of the portfolio.
If you want more advise on this either contact me on 01483 537200 or come to our FREE seminar on June 9th 2011 at The Mandolay Hotel, 36-40 London Rd, Guildford for 5.30pm-8.15pm
We had 2 separate portfolio landlord partnerships explain how they had done conveyancing "off the shelf" in the past. All their properties were set up as joint tenancy/ownership rather than tenants in common. This will mean when one of the 2 friends die, regardless of what was written in their will the other partner inherits the other half of the property - NOT their family!!
It also leaves the surviving investor with a large inheritance tax bill which could lead to the need to sell some of the portfolio.
If you want more advise on this either contact me on 01483 537200 or come to our FREE seminar on June 9th 2011 at The Mandolay Hotel, 36-40 London Rd, Guildford for 5.30pm-8.15pm
Friday, 18 March 2011
Gas Safety update on tenanted properties
Boiler Flues in Voids
The Health and Safety Executive (HSE) have recently issued a safety alert to raise awareness of a potential risk from a particular arrangement of flues for gas boilers that are located on internal walls.
Since 2000 some properties (mainly flats and apartments) have been built with boiler flues which cannot be inspected because they are hidden behind walls or in ceiling spaces. The boiler flues that this information relates to are connected to room-sealed fan assisted boilers. If the boiler is situated on an outside wall it is unlikely that it has this type of flue. Similarly, if the Gas Safe registered engineer can see the entire flue you will not need to take any further action. However if the flue is hidden then the property will need an inspection hatch fitted to allow the engineer to work on the flue.
The provision of carbon monoxide alarms are not an alternative to being able to see the flue and you or your landlord will still need to have inspection hatches fitted. You have until 31st December 2012 for this work to be completed. From 1st January 2013 any Gas Safe registered engineer will turn the boiler off and formally advise that it is not used until an inspection hatch has been fitted.
Take Action Now
If your property is less than two years old then contact the builder. If the property is between two and ten years old advise your landlord to contact the home warranty provider as the property may be covered by them if there are defects in the flue. If the property is older than 10 years you should contact a Gas Safe registered engineer for further advice.
The Health and Safety Executive (HSE) have recently issued a safety alert to raise awareness of a potential risk from a particular arrangement of flues for gas boilers that are located on internal walls.
Since 2000 some properties (mainly flats and apartments) have been built with boiler flues which cannot be inspected because they are hidden behind walls or in ceiling spaces. The boiler flues that this information relates to are connected to room-sealed fan assisted boilers. If the boiler is situated on an outside wall it is unlikely that it has this type of flue. Similarly, if the Gas Safe registered engineer can see the entire flue you will not need to take any further action. However if the flue is hidden then the property will need an inspection hatch fitted to allow the engineer to work on the flue.
The provision of carbon monoxide alarms are not an alternative to being able to see the flue and you or your landlord will still need to have inspection hatches fitted. You have until 31st December 2012 for this work to be completed. From 1st January 2013 any Gas Safe registered engineer will turn the boiler off and formally advise that it is not used until an inspection hatch has been fitted.
Take Action Now
If your property is less than two years old then contact the builder. If the property is between two and ten years old advise your landlord to contact the home warranty provider as the property may be covered by them if there are defects in the flue. If the property is older than 10 years you should contact a Gas Safe registered engineer for further advice.
Friday, 11 March 2011
Editorial from Surrey Advertiser Property Section
As Belvoir’s network turnover reaches an all time high, Glenn Wakeham owner of the Guildford Office predicts perfect market conditions for long-term investment landlords
The good news for landlords is that new tenants will have to pay substantially more for a similar property than they did two years ago. The Belvoir monthly rental index, produced by 140+ offices nationwide, has shown a steady rise in rental income across the country throughout 2010 and all signs suggest this will continue through 2011. The latest figures show a further rise in national average rents from £695 to £700 in January. On a local level, Guildford has seen some rents rise by as much as 10% over the last year.
“As the fallout from the Government’s Comprehensive Spending Review (CSR) continues, it is clear that the impact on the housing market and private rental sector (PRS) will be significant”, says Belvoir Guildford Owner, Glenn Wakeham. “However, contrary to many knee jerk responses within online forums and industry blogs, I strongly believe that these exceptional market conditions, which include falling property prices, continued low interest rates and unprecedented tenant demand, now makes buy to let (BTL) a fantastic opportunity for long-term landlords.
“However, it is clear that our Government needs to better understand and take note of the needs of the PRS, and the critical role landlords play within the housing sector. Many industry bodies are asking the Government to help support the PRS by offering incentives to landlords and to increase pressure on lenders to make funding more accessible.
“With an estimated 490,000 public sector job cuts planned, and the residential sales market bracing itself for another dip, the situation is predicted to continue for the foreseeable future and new BTL landlords will be attracted by higher yields and attractive purchase prices. Belvoir is well placed to provide unique and expert advice to landlords looking to extend their portfolios as we are specialist residential letting agents and do not operate within the sales market, hence there cannot be a conflict of interest when providing free BTL advice.“
The good news for landlords is that new tenants will have to pay substantially more for a similar property than they did two years ago. The Belvoir monthly rental index, produced by 140+ offices nationwide, has shown a steady rise in rental income across the country throughout 2010 and all signs suggest this will continue through 2011. The latest figures show a further rise in national average rents from £695 to £700 in January. On a local level, Guildford has seen some rents rise by as much as 10% over the last year.
“As the fallout from the Government’s Comprehensive Spending Review (CSR) continues, it is clear that the impact on the housing market and private rental sector (PRS) will be significant”, says Belvoir Guildford Owner, Glenn Wakeham. “However, contrary to many knee jerk responses within online forums and industry blogs, I strongly believe that these exceptional market conditions, which include falling property prices, continued low interest rates and unprecedented tenant demand, now makes buy to let (BTL) a fantastic opportunity for long-term landlords.
“However, it is clear that our Government needs to better understand and take note of the needs of the PRS, and the critical role landlords play within the housing sector. Many industry bodies are asking the Government to help support the PRS by offering incentives to landlords and to increase pressure on lenders to make funding more accessible.
“With an estimated 490,000 public sector job cuts planned, and the residential sales market bracing itself for another dip, the situation is predicted to continue for the foreseeable future and new BTL landlords will be attracted by higher yields and attractive purchase prices. Belvoir is well placed to provide unique and expert advice to landlords looking to extend their portfolios as we are specialist residential letting agents and do not operate within the sales market, hence there cannot be a conflict of interest when providing free BTL advice.“
Monday, 31 January 2011
10 Things a Landlord should do before a tenant moves in
Ten things landlords should do before a tenant moves into their property, by the expert Letting agent in Guildford – BELVOIR!
1. Come clean
If I was to let out my property I would ensure the property was immaculate throughout with gardens freshly cut, it goes without saying that landlords should make sure the house is clean, however, some don’t and this does not get things off to a great start. You should also finish any small odd jobs that need to be done before renting out your property too.
2. Helpful inventory
Put together an inventory of all furniture and fittings... and make sure the tenant agrees and signs it before they move in. Conduct a proper photo inventory depicting the exact condition of the property prior to tenants moving in, this will help to settle deposit disputes at the end of the tenancy.
3. Appliance guidance
Leave instructions/manuals for all appliances that will be left at the property, including cookers, washing machines, fridges and freezers. Not only is this helpful for the tenant, it’ll save you having to answer phone calls about how to turn the cooker on! Give the tenant all the information upfront so they won’t have to bother you with small issues later. Any appliances left should be in a good condition and be fit for use too. If you’re renting out your own home, don’t forget to empty, defrost and clean your fridge/freezer either”
4. Tried and tested
Obtain safety certificates for gas safety and an energy performance certificate (EPC). The Landlord and Tenant Act 1985 requires landlords to ensure electrical installations and electrical appliances are safe for use and electrical safety and PAT test reports must be provided. No tenant should be allowed to move in without the safety certificates and checks having been carried out. If you are letting your property furnished, your furniture will need to comply with fire safety regulations and have the correct labels to prove this too.
5. First contact
Compile a list of emergency contact numbers for your tenant, including your own. Plus, put together a trouble-shooting sheet so tenants know how to react in an emergency. Provide tenants with a written process of how to handle any emergency situations, for example, burst pipes, gas leak or robbery etc.
6. Postal orders
Before a tenancy, take meter readings and transfer all utilities and Council Tax (if it’s not included in the rental agreement) to the new tenant. Arrange for the final readings of gas/water/electricity meters (give at least 48 hours notice), also arrange for your final telephone bill and notify the company of your change of address. And redirect your mail too. Be sure to redirect all mail if you’ve previously lived at the property as tenants often get annoyed with landlords coming back to the property each week to pick up their post
7. Safety first
Explain how to use any safety equipment, such as fire extinguishers and fire blankets, plus point out any fire doors or window locks and show the tenant how to work the burglar alarm, if you have one. Functioning of all vital connections, points, stop valves, fuses and security devices should be fully explained to the tenants in case of any emergency
8. A warm welcome
For that added personal touch, put together a useful welcome pack for your tenant. I think it’s lovely when a landlord makes a quick welcome pack for a tenant. This could include information such as how to use certain items and when the bins are collected etc. It usually gets the relationship between the landlord and tenant off to a great start and, unfortunately, not enough people do this.
9. It’s good to talk
Ensure that the tenant knows what is expected of them during the tenancy and make sure you know what they expect from you too. t is mandatory to explain to tenants their obligations to ensure that the property is handed back to the landlord in the same condition it was given. A face-to-face meeting is usually a good idea as it will help to establish a rapport between you both and give them the opportunity to answer any questions they may have.
10. Management matters
Make your life easier by asking a good property management agency, such as Belvoir, to do all the hard work for you. If they take on the full management of your property they are likely to do much of the above on your behalf.
At-a-glance checklist:
- Get keys cut
- Redirect mail
- Clean the property
- Put together an inventory
- Get safety certificates
- Get the necessary insurances
- Collect tenant references
- Transfer utilities and Council Tax
- Take meter readings
- Leave instructions for appliances
- Explain all safety equipment
- Put together a welcome pack
- Compile a list of emergency contact numbers, including your own
- Arrange a meeting with the tenant
- Get a property management agency to do all the hard work for you.
1. Come clean
If I was to let out my property I would ensure the property was immaculate throughout with gardens freshly cut, it goes without saying that landlords should make sure the house is clean, however, some don’t and this does not get things off to a great start. You should also finish any small odd jobs that need to be done before renting out your property too.
2. Helpful inventory
Put together an inventory of all furniture and fittings... and make sure the tenant agrees and signs it before they move in. Conduct a proper photo inventory depicting the exact condition of the property prior to tenants moving in, this will help to settle deposit disputes at the end of the tenancy.
3. Appliance guidance
Leave instructions/manuals for all appliances that will be left at the property, including cookers, washing machines, fridges and freezers. Not only is this helpful for the tenant, it’ll save you having to answer phone calls about how to turn the cooker on! Give the tenant all the information upfront so they won’t have to bother you with small issues later. Any appliances left should be in a good condition and be fit for use too. If you’re renting out your own home, don’t forget to empty, defrost and clean your fridge/freezer either”
4. Tried and tested
Obtain safety certificates for gas safety and an energy performance certificate (EPC). The Landlord and Tenant Act 1985 requires landlords to ensure electrical installations and electrical appliances are safe for use and electrical safety and PAT test reports must be provided. No tenant should be allowed to move in without the safety certificates and checks having been carried out. If you are letting your property furnished, your furniture will need to comply with fire safety regulations and have the correct labels to prove this too.
5. First contact
Compile a list of emergency contact numbers for your tenant, including your own. Plus, put together a trouble-shooting sheet so tenants know how to react in an emergency. Provide tenants with a written process of how to handle any emergency situations, for example, burst pipes, gas leak or robbery etc.
6. Postal orders
Before a tenancy, take meter readings and transfer all utilities and Council Tax (if it’s not included in the rental agreement) to the new tenant. Arrange for the final readings of gas/water/electricity meters (give at least 48 hours notice), also arrange for your final telephone bill and notify the company of your change of address. And redirect your mail too. Be sure to redirect all mail if you’ve previously lived at the property as tenants often get annoyed with landlords coming back to the property each week to pick up their post
7. Safety first
Explain how to use any safety equipment, such as fire extinguishers and fire blankets, plus point out any fire doors or window locks and show the tenant how to work the burglar alarm, if you have one. Functioning of all vital connections, points, stop valves, fuses and security devices should be fully explained to the tenants in case of any emergency
8. A warm welcome
For that added personal touch, put together a useful welcome pack for your tenant. I think it’s lovely when a landlord makes a quick welcome pack for a tenant. This could include information such as how to use certain items and when the bins are collected etc. It usually gets the relationship between the landlord and tenant off to a great start and, unfortunately, not enough people do this.
9. It’s good to talk
Ensure that the tenant knows what is expected of them during the tenancy and make sure you know what they expect from you too. t is mandatory to explain to tenants their obligations to ensure that the property is handed back to the landlord in the same condition it was given. A face-to-face meeting is usually a good idea as it will help to establish a rapport between you both and give them the opportunity to answer any questions they may have.
10. Management matters
Make your life easier by asking a good property management agency, such as Belvoir, to do all the hard work for you. If they take on the full management of your property they are likely to do much of the above on your behalf.
At-a-glance checklist:
- Get keys cut
- Redirect mail
- Clean the property
- Put together an inventory
- Get safety certificates
- Get the necessary insurances
- Collect tenant references
- Transfer utilities and Council Tax
- Take meter readings
- Leave instructions for appliances
- Explain all safety equipment
- Put together a welcome pack
- Compile a list of emergency contact numbers, including your own
- Arrange a meeting with the tenant
- Get a property management agency to do all the hard work for you.
Saturday, 29 January 2011
Guildford letting agent
Morning all!
Well the student season continues to be in full swing. Today, some advice for students. The single most important part of getting a good property is to make sure you and your parents are aware of the need for them to guarantee the rent. Often this will need to be "joint and severally liable" which means they guarantee the entire tenancy - DON'T let this put you off, it is standard practise and in the real world landlords chase the defaulting tenant, none the less if things do go badly wrong you are all liable for the full rental amount.
Secondly - know your budget and what you want before conducting viewings. Do you want everybody to have a double room? How many bathrooms do you need? Do you know which part of town you need to be? Don't go to viewings if you haven't talked this through as a group and with the agent that is showing you the house - an agent can save you lots of time by answering a few questions on the phone first.
Thirdly, book viewings when the whole group can see the property, or at least as many as possible - and turn up! Agents will soon remove you from their list if you don't attend and other groups will get the better properties.
Finally - when you know a property is OK, get a move on with securing it. There are numerous other tenants competing for the small number of properties actually allowing students.
Call you local friendly agent to discuss your needs, maintain a relationship as some properties will go before they are on the internet and you should get the property you want. Also, try and think in terms of rent and bills per month rather per week. I know the market advertises per week but £20 extra a month in the scheme of things (pizza, night out etc) is very little to secure a nicer, cleaner, larger home in the right location.
Happy hunting folks. Be quick though as we have already let 25% of our student stock in 2 weeks of the season starting!
www.belvoirlettings.com/guildford
Well the student season continues to be in full swing. Today, some advice for students. The single most important part of getting a good property is to make sure you and your parents are aware of the need for them to guarantee the rent. Often this will need to be "joint and severally liable" which means they guarantee the entire tenancy - DON'T let this put you off, it is standard practise and in the real world landlords chase the defaulting tenant, none the less if things do go badly wrong you are all liable for the full rental amount.
Secondly - know your budget and what you want before conducting viewings. Do you want everybody to have a double room? How many bathrooms do you need? Do you know which part of town you need to be? Don't go to viewings if you haven't talked this through as a group and with the agent that is showing you the house - an agent can save you lots of time by answering a few questions on the phone first.
Thirdly, book viewings when the whole group can see the property, or at least as many as possible - and turn up! Agents will soon remove you from their list if you don't attend and other groups will get the better properties.
Finally - when you know a property is OK, get a move on with securing it. There are numerous other tenants competing for the small number of properties actually allowing students.
Call you local friendly agent to discuss your needs, maintain a relationship as some properties will go before they are on the internet and you should get the property you want. Also, try and think in terms of rent and bills per month rather per week. I know the market advertises per week but £20 extra a month in the scheme of things (pizza, night out etc) is very little to secure a nicer, cleaner, larger home in the right location.
Happy hunting folks. Be quick though as we have already let 25% of our student stock in 2 weeks of the season starting!
www.belvoirlettings.com/guildford
Tuesday, 25 January 2011
Letting market in Guildford Jan 2011
We have seen the start of the students looking for accommodation for next year. My advise to landlords in Guildford that are looking to rent out a property to students next year is below.
Firstly - Find out NOW if your current tenants are going to re-sign for another year. If they are not, although it feels early, now is the time to start the marketing of your property for August!
We are conducting about 4 viewings a day for students at the moment.
Liaise with your tenants and come to an arrangement for viewings - never assume you can just enter your property when you please.
Make it clear exactly what you are including in the rental price - i.e furniture, bills etc
Check the students all have a UK based guarantor and ensure all parties are aware they will be joint and severally liable before doing any viewings - this saves everyone time.
Check how sure the group is sure of their numbers, at this early stage it could change.
On securing an offer - make sure you take a holding fee and get an agreement to lease at a future date signed.
You should then obtain references for the tenants that want to rent your property AND their guarantor. Do credit checks and get employers references for the guarantors.
All this work can be done by a local Letting Agency in Guildford saving you lots of time and possibly securing youa higher rent whilst giving you peace of mind.
Before the move in make sure all the utility companies are informed, you have a statement of condition and lodge a deposit with a relevant scheme - remember you can be find 4 times the deposit if you dont lodge it correctly!
If you need any further advise on letting any property not just student ones, contact your local Guildford Letting Agent - Belvoir Lettings via www.belvoirlettings.com/guildford or call us on 01483 537200
Firstly - Find out NOW if your current tenants are going to re-sign for another year. If they are not, although it feels early, now is the time to start the marketing of your property for August!
We are conducting about 4 viewings a day for students at the moment.
Liaise with your tenants and come to an arrangement for viewings - never assume you can just enter your property when you please.
Make it clear exactly what you are including in the rental price - i.e furniture, bills etc
Check the students all have a UK based guarantor and ensure all parties are aware they will be joint and severally liable before doing any viewings - this saves everyone time.
Check how sure the group is sure of their numbers, at this early stage it could change.
On securing an offer - make sure you take a holding fee and get an agreement to lease at a future date signed.
You should then obtain references for the tenants that want to rent your property AND their guarantor. Do credit checks and get employers references for the guarantors.
All this work can be done by a local Letting Agency in Guildford saving you lots of time and possibly securing youa higher rent whilst giving you peace of mind.
Before the move in make sure all the utility companies are informed, you have a statement of condition and lodge a deposit with a relevant scheme - remember you can be find 4 times the deposit if you dont lodge it correctly!
If you need any further advise on letting any property not just student ones, contact your local Guildford Letting Agent - Belvoir Lettings via www.belvoirlettings.com/guildford or call us on 01483 537200
Friday, 14 January 2011
Letting Agent in Guildford - update
Thought I would get fingers to keyboard for the first time this year and give an overview of the lettings market at the moment in Guildford.
Please visit our website at http://www.belvoirlettings.com/guildford for more details about the services we offer.
The demand for properties has seen a sharp rise as soon as the Christmas holidays ended. Tenant demand is as high as ever and there continues to be a shortage of properties to meet this demand. We have 15 viewings booked for Saturday morning, 6 all on the one property! As the sales market struggles and publishes some of the lowest ever figures for December the time has come for many people selling their home to look at facilitating a move via a let-to-buy mortgage. Many of the properties to rent in Guildford are through "accidental landlords". If you are becoming a Guildford landlord for the first time there are many potential legal pitfalls and it is essential you use a good letting agency to help you through this process. Ensure they are NALS registered and members of The Property Ombudsman. Most letting agents will give a free property appraisal, use this as a chance to see what levels of service you think they can offer as well as which types of tenants they normally attract.
Belvoir lettings in Guildford will offer a personal service with regular communication, and keep you informed from the marketing process and interest attracted right through to the end of the tenancy with their fully managed service.
If you are thinking of going it alone be warned of the need for legal certificates such as EPCs, electrical and gas safety plus ensure your insurance is valid when letting your property and you have the mortgage lenders permission.
For some free advise please contact your local NALS registered Letting Agent.We can help with Insurance, Mortgages, Wealth management, finding a rental property and of course finding high quality tenants for your Guildford property
Regards
Belvoir Lettings Agency Guildford
Please visit our website at http://www.belvoirlettings.com/guildford for more details about the services we offer.
The demand for properties has seen a sharp rise as soon as the Christmas holidays ended. Tenant demand is as high as ever and there continues to be a shortage of properties to meet this demand. We have 15 viewings booked for Saturday morning, 6 all on the one property! As the sales market struggles and publishes some of the lowest ever figures for December the time has come for many people selling their home to look at facilitating a move via a let-to-buy mortgage. Many of the properties to rent in Guildford are through "accidental landlords". If you are becoming a Guildford landlord for the first time there are many potential legal pitfalls and it is essential you use a good letting agency to help you through this process. Ensure they are NALS registered and members of The Property Ombudsman. Most letting agents will give a free property appraisal, use this as a chance to see what levels of service you think they can offer as well as which types of tenants they normally attract.
Belvoir lettings in Guildford will offer a personal service with regular communication, and keep you informed from the marketing process and interest attracted right through to the end of the tenancy with their fully managed service.
If you are thinking of going it alone be warned of the need for legal certificates such as EPCs, electrical and gas safety plus ensure your insurance is valid when letting your property and you have the mortgage lenders permission.
For some free advise please contact your local NALS registered Letting Agent.We can help with Insurance, Mortgages, Wealth management, finding a rental property and of course finding high quality tenants for your Guildford property
Regards
Belvoir Lettings Agency Guildford
Subscribe to:
Comments (Atom)