When I discovered that over *300,000 people in the UK type the words “Find Me A Tenant” every month into the Google search engine I thought to myself, it’s about time I update my readers on my latest strategies. *Source Google Adwords Tool
Cost Effective Letting Solutions
There are two business models which I think you really ought to look into as they could substantially reduce your costs and increase your profits. The first is FREE advertising on all the major property portals subject to purchasing a package which includes a 12 month rent guarantee insurance policy costing £97 plus VAT. This is ideal for landlords who prefer to self manage and only need assistance to access the major property portals, tenant referencing and insurance to underwrite the risks of rent defaults. If you need a full property management service, perhaps due to time constraints, the need for professional help or because you live too far from your property to manage it yourself; that service is also available from the same ARLA accredited letting agency which is offering discounted fees from £14.99 + VAT per month for Property118 readers.
First let’s look at the FREE advertising model called “Find Me A Tenant”, it’s an incredibly simple business model, the best ones usually are.
When I ask my online letting agent to find me a tenant they advertise my property on all of the portals pictured left subject to me agreeing to purchase a package which includes rent guarantee and legal fees insurance for £97 + VAT.
When prospective tenants contact them to express an interest in my property they explain that I will do the viewings and that if they like the property and want to rent it they will need to make an application and pay for referencing, which is how they make their money. This is the norm for both online and branch based letting agents in England so the tenants are not put off by this, particularly as the fees they charge to tenants are very competitive. This pricing is available in England and Wales only, an alternative package exists for Scottish Landlords.
Professional property management from £14.99 + VAT per month
If you prefer to have your properties fully managed, this arrangement could save you a small fortune. I don’t manage all of my properties, some are too far away. For just £14.99 + VAT a month your property can be managed by an ARLA bonded and accredited agent which carries Client Money Protection insurance. The service includes:-
- Visiting your property, taking particulars and floor plans.
- Setting up an online account to store your documentation so it can be accessed at any time
- Advertising your property on the major property portals
- Referencing tenants and guarantors
- Inventory and schedule of condition prepared by an AIIC qualified inventory professional
- Tenancy and Guarantor Agreements
- Taking meter readings on check in and check out and informing utility companies of tenancy change over
- Deposit registration (This is an additional cost of £25 + VAT annually)
- Gas Safety Certificate as required (additionally charged)
- Rent Collection with payment forwarded to your account by BACS and monthly rental statement
- Check Out at the end of the tenancy
If you want the letting agents to do viewings, periodic property checks and manage all maintenance issues the monthly fee is £24.99 + VAT. The top end package is priced at just £34.99 + VAT per month and includes rent guarantee insurance with legal protection insurance. The rental guarantee policy, which is underwritten by a fully FSA accredited insurance company, pays out if the tenants fall more than a month in arrears and thereafter for any further missed payments until vacant possession of the property is recovered. The legal protection insurance covers all costs associated with eviction.
Houses in Multiple Occupation
HMO management is available for £24.99 pcm + VAT for the first room then £10 pcm + VAT for subsequent rooms.
NOTE the letting agency offering the above services does not usually recommend landlords to take on tenants in receipt of housing benefits at the outset of a tenancy. Having said that, any tenant is only a P45 or a relationship breakdown away from the potential of financial distress and having to claim benefits though, hence this level of cover is highly recommended for landlords who are reliant upon receiving their rental income whilst a tenant is in occupation.
This service is available in most Buy to Let property hotspots in England. Landlords with properties in Scotland should check out this incredibly competitive offer.
What to do now
If the above services are of interest simply complete the form below and press submit. I will then send you an email with further details and arrange for the business providing these services to make contact with you. It really is that simple!