Renting out your home can be a great way of getting some extra income. But knowing what to do before renting out your house can be a bit of minefield from the legalities to the actualities of the process, it can often seem daunting to people. Being unaware of some important information or tricks of the trade could lend itself to an unfavourable outcome for yourself and potentially get you in a spot of bother. To avoid any unwanted or unnecessary issues, it’s best to know what you’re doing. That’s why we have compiled a list of the 6 things to consider when renting out your home.
- Preparing your property
Getting your property ready for the market is an essential part of the renting out process. This means deciding whether you are offering furnish or unfurnished, providing a blank canvas in terms of decoration and ensuring that all the maintenance of the house has been done up to a good standard. This could mean doing some DIY to spruce up the paintwork around the house or employing a deep cleaning company to make sure all those nooks and crannies are sparkling. Whilst it’s important to sort the inside, don’t forget about the outside of the house. You want the property to look enticing for future tenants and so outside the house and the garden will need to be attended to as well for maximum potential to be fulfilled.
- Do your homework
Doing your homework and a bit of research before letting out your house is always a wise decision. By getting to know the market you can become aware of what other households are like both in terms of aesthetics and financially. Knowing the market allows you to be as competitive as possible and know your house’s worth. Doing your homework for prospective tenants is also a huge part of renting out your house. Being aware of who is moving in and getting a quick check for tenants is a good idea to ensure reliability and lessen the worry of losing out.
- Know your responsibilities
When renting out your house it is important to be up to date with what responsibilities you actually have. When making the move from homeowner to landlord you automatically uptake a few more responsibilities. Checking that your mortgage allows this is essential. But knowing that as a landlord you are responsible for the maintenance of the property and need to ensure the rights of the tenants are respected – no mould! All too often landlords seem to dismiss these responsibilities but it is an important part of renting out your house.
- Check your insurance
Typically, standard home insurance does not cover tenants and renting out your property. Whilst landlord insurance isn’t necessary to do so it is certainly worth checking your insurance to be aware of what exactly it does cover. Home insurance often only covers the people and their belongings in the house, whereas landlord insurance is likely to cover things like rent agreements and compensation if the tenants claim against you.
- Be aware of legal requirements
As with any binding contract, knowing the legal requirements before signing up are imperative. The binding contracts, requirements and regulations surrounding the act of renting out your home are numerous. In fact, there’s over 150 laws that landlords need to follow and adhere to whilst letting out their property. Getting yourself clued up on requirements and knowing what checks you are required to commit to is imperative before starting a tenancy with a renter. Things like HMO laws and fire regulations may see you needing to consult with The Engraving People to sort out some safety signs to make sure you are in line with law.
- Keeping up with maintenance and getting the right letting agent
If you are going to use a letting agent you want to make sure that you are paying for a reputable one that consistently meets all the industry standards. Letting agents can be good as they keep on top of the property and all the details for you at a price. They offer a comprehensive share of the workload. Regardless of whether you have a letting agent or not, you are going to want to keep up with the maintenance in your property for the tenants wellbeing and yourself to make sure the property does not get damaged or fall into a state of disrepair. Making sure you are on top of the maintenance can be harder to do than you think as it often involves unexpected or rapid issues which need to be resolved immediately. Being available to deal with this is something you need to commit to when renting out your property and is something else to think about.