If you’re a landlord with many years of experience or a potential landlord, getting the best return on your investment property should be at the top of the agenda. It’s a fairly straightforward process buying the property, however renting it out can be fraught with problems. There are many things to take into consideration, such as:-
- Finding a suitable tenant
- Making sure the tenant pays on time
- Making sure the tenant will take care of your property
The North East of England is one of the best places to own and rent out a property as it achieves the best yield in the UK. If the North East is your preference to buy to let, contact us and we will help you with the renting process.
While it’s a great idea to buy a property to rent out, there are lots of points to think about such as:-
- If your rental home was once where you lived, it’s crucial that your tenant will treat it with respect.
- Make sure to engage the services of paralegals to do some detective work on all prospective tenants.
- Have your solicitor check references, passports, bank statements and credit checks.
If everything comes back 100% positive, then there’s no need to worry.
Why choose property as a rental investment?
With low savings rates and stock market swings, buying a property to let is a good idea to make some money. The property market has bounced back just lately with many people who can afford big deposits, jumping on the band wagon. Mortgage rates are at record lows and help buy to let investors make good deals.
For potential landlords, it’s recommended to do some research before parting with your hard-earned cash.
Buy to let mortgages
Shop around for your buy to let mortgage. There’s lots of useful info and advice on the internet. Spend some time learning about deals as well as which particular mortgage is right for you. Many brokers offer fee-free advice regarding mortgages, take advantage of this so you get a good return on your investment.
Don’t forget to haggle over the price of the property too. Negotiate a discount especially if you are a first-time buyer and not part of a chain. Make a low offer at first and don’t get cajoled into overpaying. Know your market, if a property has been for sale for a while, you are in a better position to offer an affordable price for it.
Buying to let is definitely a good investment which should bring in a regular income. You can possibly make between 5-10% depending on where the property is located. There are certain risks to consider so make sure your sums are right. Check you’ve thought about everything before committing yourself to a mortgage before becoming a landlord.