Top tips for first time landlords

As the buy-to-let property boom continues, more and more investors are finding themselves in the position of being a landlord for the very first time.

To help owners of property maximise their investment and take advantage of the rising rents recently seen in London, specialist insurer British Insurance has provided some tips for new landlords.

Following on from our article last September which lists a few pointers for new landlords, here is some extra advice to help protect yourself and your tenants:

1. Preparation is key

Before you get prospective tenants in to view the property make sure that it looks impeccable with a deep clean and simple DIY jobs finished. Decide if the home will be furnished or not, as wider insurance cover will be required if ‘contents’ are provided to occupants.

2. Who will manage the property?

A lot of landlords are already employed so don’t have the time to keep on top of the process. Letting agents can take on most of the work, source and credit reference tenants, as well as be a daily contact between you and them. However, they charge between 8-15 per cent of the rental income profit so it’s good to shop around for the best deal.

3 . Draw up an inventory

For fear of any future dispute, it is crucial to have a detailed and accurate inventory signed by both parties, particularly if the home comes furnished. An inventory will prove exactly what was provided and in what state, the day the occupant moved in. It should be clear and concise, preferably containing photos.

4. Serving evictions

Most tenancy agreements come to a natural and amicable end but if this fails to be the case, landlords must supply ‘good proof’ for eviction. This includes non-payment for rent for more than eight weeks or breaking any of the terms in the contract. To being proceedings, a Section 8 Notice must be served, giving the tenant 14 days to respond. If that doesn’t work, apply to the court for a Possession Order.

5. Vacant periods

If the property is empty for any amount of time, give the impression it’s lived in. Regularly collect the post, alternative the position of the blinds, use a lighting timer and if there’s a driveway and it’s possible, park a car there. Also double check that your policy covers vacant periods.