If you’re just taking your first steps into being a London landlord, then you may be feeling a little daunted about the challenges ahead. Will your tenants cause you problems? Will you be able to make a profit given the costs of upkeep and insurance? How can you be sure that you’re charging a reasonable, market-driven price?
At Sparemove, we believe that the answer to all of these questions is guaranteed rent. That’s why, in this blog, we’ll be breaking down some of the biggest challenges London landlords face and why a London guaranteed rent contract could help.
Managing The Market
For those looking to rent out property, particularly those based in London, knowing how much to charge can be a constant headache.
First of all you have to know the market. That means many hours of research into what other landlords are charging for similar properties. You’ll need to compare for size, location, number of bedrooms, and cost of utilities (if any utilities are included at all that is).
Once you’ve come to a reasonable range, you’ll then need to calculate how much profit you’ll make relative to the work you put in.
You might think you’re done there but actually that’s only the beginning. Markets change a lot and, over the course of a 12 month contract, the relative value of your property will fluctuate. In practice that means you’ll have to do all this work again once a year.
Alternatively, you could get a guaranteed rent contract. Here at Sparemove, we’re always keeping up to date on the local London markets, doing all that research so that you don’t have to. Just think of all the time you’ll save.
Counting The Costs
It’s not just the market you’ll have to keep an eye on, either. Maintenance costs can be expensive and can involve a lot of difficult decision making. With every expense, you’ll have to factor that into your profit projections, making decisions about quality versus cost at every step of the way.
At Sparemove, we can factor these costs into your contract upfront, meaning you’re at far less risk from unexpected expenses.
Talking With Tenants
Let’s face it - tenants versus landlords is a tale as old as time. When it comes to people’s homes, tensions can always run high. For landlords, handing their property over to a tenant means trusting that person to effectively look after a major life investment.
One of the most common reasons why people choose to sell rather than rent is that they don’t want to deal with the drama that can come from tricky tenants. At Sparemove, we can provide full management, meaning that while we’re paying you your rent regularly and on time every month, we’ll work with the tenant to resolve issues and ensure that conflicts don’t spill over onto you.
If you’re ready to start your journey as a London Landlord, then contact Sparemove today at +442033756161 or by emailing info@sparemove.com.
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