Problem Tenants- No problem!
June 7th, 2011
Being a landlord is not always going to be easy and there will be times when things won’t run smoothly with tenants, so what can you do?
Check, double check and check again.
Many potential problems any landlord is going to encounter stem from not doing the correct background checks at the outset. This may sound simple but it is amazing how many this is not done as many landlords are anxious to let their property as quickly as possible.
Always ensure you know the background of your tenant, their rental history, their employment situation and their credit status. Even first time tenants should be a able to provide good solid references, but don’t take these at face value; remember, you can always undertake your own background checks through companies that specialise in that area, including checking criminal records.
If all of this seems a little too much and you don’t know where to start, engage the services of a good Letting Agent who will be able to do all these checks for a small fee.
Maintain a good relationship
It is imperative that you have a great relationship with your tenant and this starts on the first day you have any dealings with them, even before they move in to your property. When you are showing them around prior to the rental, note any issues they may have and if you agree to repair or change something, ensure it is done before they move in. It is important for you to remain consistent, courteous and professional at all times.
Pre-empt any potential issues
Visit the property from time to time to check for any maintenance needs and attend to them quickly, leaving your tenants with outstanding or recurring problems can cause resentment and distrust. You can minimise the problems of damage & maintenance by using durable hard wearing materials, such as washable paint throughout, use carpets in dark colours and stain protect them, or use good quality vinyl. Speak to the neighbours; this is a great way to find out if there have been any noise or anti-social behaviour problems that can be sorted out before they get out of hand.
Keeping up to date with what is happening with your property and tenants can avoid any problems before they arise and the main thing to remember when dealing with your tenants is, to remain consistent, courteous and professional at all times.
Private landlords turn down young tenants
February 10th, 2011
The National Landlords Association have surveyed a third of its members who let to tenants on housing benefit. Of this group, 31% said they would reduce such tenancies now, while less than 1% said they planned to increase such tenancies during 2011.
Many private landlords had expressed their concerns even before the General Election, about the Government’s plans to pay housing benefit to tenants rather than straight to landlords since this had caused a growing rental arrears problem.
One of the key changes planned for next January will be to encourage younger tenants to live together in shared properties rather than more expensive one-bedroom flats. The Shared Accommodation Rate currently limits the benefit a single person under 25 can receive to the average rent charged for a room in a shared house.
There are also not enough shared properties to accommodate the increased demand the Coalition’s proposed cuts will trigger; Shelter says 87% of local authority housing officers it surveyed already had difficulty finding places for under-25s on the shared accommodation rate. It says this shortage will become acute when the net includes those up to the age of 35.
The Government has defended its proposals on several grounds. One argument is that the cut in benefits might encourage more families to take in lodgers under the rent-a-room scheme, where some of the income is tax-free. Steve Webb, Liberal Democrat Pensions Minister, has said, “As young people start to realise they cannot get benefit for a flat on their own and start to look for lodgings, another family who may have lost income through redundancy might wish to let their spare rooms.”
At Happy Homes Investments we always advise using a fully qualified and reliable letting agent to ensure the reliability of your tenant.
2009 arrears lower than 2008
February 20th, 2010
LSL Property Services have released figures showing that rental arrears were much lower during 2009 than the previous year, despite the recession. This was totally contrary to all forecasters’ expectations that arrears would rise.
Figures show that 11.7% of rents were not paid by the due date, down from 14.5% in 2008, with 12.5% of rent remaining unpaid as at 31st December 2009 as opposed to 15.9% for the same time last year.
The expectations were that tenants would fall behind with rent as the recession took hold and people lost their jobs, but with the unemployment figures not reaching the levels many analysts anticipated, and landlords and letting agents keeping a close eye on rents, problems have been spotted early and dealt with promptly.
Happy Investing!