Finding your tenants.
December 14th, 2010
The first question any tenant will ask is “how much is the rent each month”. This is one question you need to give a lot of thought to, charge too much and your property will be stood empty and this is the last thing you need when you have got a mortgage to pay. Charge too little and you are not fulfilling you investment properties potential.
There are various way you can go about setting your rent many of them have pitfalls so don’t just go with the one source. So where can you turn to
Letting Agents.
The Letting Agent will have a vested interest in what rental you charge don’t forget they take a percentage each month
Adverts in the paper.
These can only give you a guide line, and can be between £50-£75 per month out; specifics of decoration and facilities in the property can demand a higher rental
Estate Agents.
Like the Letting Agent they have a vested interest in selling the property and can easily inflate any potential rental income
Personal Viewings.
This is the only sure fire way of putting your rental into the correct bracket. Take time out to go on a few lettings viewings preferably in the same street as your own property, compare the fixtures and fittings along with the decoration against that of your own property and an absolute must is to look at how long this property is taking to be let, if this is over 4 weeks then it is probably overpriced.
Don’t forget to review your rental charges on a regular basis and ensure all rises are suitable for the type, locality and condition of the property