Profiting from property
With savings rates remaining at an all-time low in recent years, it is no surprise to find so many people have looked at alternative forms of making their money work for them.
One of the most effective is to acquire a buy-to-let property, with the potential return on these often exceeding the rewards of saving or other types of investment. And with the UK’s pool of tenants growing all the time, there is strong demand for rental properties across the country, giving those of you who become a landlord confidence that your properties will be occupied.
In addition to a monthly rental income, you stand to gain from capital appreciation should the value of their property increase over the time it is let. It all adds up to a golden opportunity, providing you have the ability to purchase a buy-to-let property and let it to tenants.
While you might look towards a property that offers significant potential in terms of capital growth so that it is worth substantially more when you come to sell it, an alternative is to prioritise properties that deliver the highest rental incomes.
In many cases, you must decide whether to chase a higher yield at the expense of capital appreciation, so every case should be managed differently and you should take all factors into account prior to making a purchase.
In some cases, you may not even have bought a property with the intention of letting it out, but as circumstances change the perfect solution is to secure a tenant and enjoy the benefits of a regular additional income.
Becoming a landlord
Unfortunately, many landlords – whether they are experienced or not – make mistakes along the way. As a new landlord, you might be more likely than most to commit costly errors, so taking advice from the start is a wise move.
The first mistake some landlords make is failing to realise the importance of researching the area in which they plan to buy a property. It is vital that you work out whether a particular rental property will deliver a good return in the long run.
An easily avoidable mistake is to not use a regulated letting agent, such as one that is a member of the Association of Residential Letting Agents and The Property Ombudsman. Those agents that are registered to such renowned industry bodies are, by definition, willing to adhere to a strict code of conduct.
With this in mind, there is no point in giving an unregulated agent a chance to let your property, as they have the potential to cost you plenty of money.
Selecting the right tenants is crucial in any successful lettings business, whether it is for a solitary property or a vast portfolio, so you should seek assistance if you are not confident in going through the vetting process alone.
It is important to provide a full inventory and schedule of condition to any new tenant, but this is a step some new landlords fail to take. Good letting agents will ensure these documents are completed and signed by all parties at the start of a tenancy.
A professional inventory and schedule of condition helps to protect you against some of the risks you face, such as damage to your property. Without an inventory you are able to claim against the tenancy deposit for damage to your property caused by the tenant, so it’s vital to have one and for it to be professionally created.
How can we help?
From the very start of your lettings journey, we can offer invaluable advice, assistance and services that will help you to achieve better results and realise long-term goals.
Some new landlords can be guilty of getting their asking price entirely wrong, either by setting their demands too low and missing out on income or by asking for too much and struggling to let their property, so do not make this mistake. At Bespoke Property, we have more than 20 years of experience in the property market, so know exactly how to maximise your return while ensuring tenants are not put off by the price.
We also promise to complete an extensive evaluation procedure for every prospective tenant, which is designed to ensure only quality candidates are put forward to live in a rental property.
There are numerous legal requirements when letting a property, such as having to place all deposits in a government-backed Tenancy Deposit Protection Scheme. Bespoke Property takes the strain off you by meeting all the legislative demands placed on rental property owners, giving you peace of mind and confidence that every regulation is being adhered to.
Send us a message
Where we are
Our registered trading address:
Kincraigie, Ledbury Road, Ross-On-Wye, HR9 7AU.
A small office is also based in a rural setting on the outskirts of Hereford and should you wish to visit us here - please contact for details.
Mobile: 07989 985 253