Things To Know Before You Appoint A Letting Agent To Rent Out Your Home
Letting agents are here to help both experienced and new landlords with all aspects of renting out a home. Some people hire a letting agent for help with marketing a property only and then take responsibility for the management of their property themselves once tenants have moved in. Others choose to hire professional letting agents to oversee the entire process, including marketing, rent collections, emergency repairs, electrical safety checks, renewals and potential evictions.
Letting agents generally charge clients letting fees on a rolling monthly basis. The cost of the fee with depend on a range of factors, including the level of service provided, and it is usually calculated as a proportion of the rent. Something to note is that all fees usually have to be paid in advance of the term agreements.
Basic Letting Service
A basic letting service from a professional property agent typically just involves them matching you up with a suitable tenant. The letting agency will handle all marketing, property viewings, and tenant vetting tasks. The best agencies will already have prospective tenants on their books. A letting agent will be sure to arrange references and credit checks from all prospective tenants.
Full Property Management Service
Hiring a property management agent is the best option for those looking for a handsfree income from their property. Many people don’t release how stressful it can be trying to manage a property and deal with any issues from a tenant. The cost of full property management services is typically around 8% of rental income. When you hire a full-service letting agent, you don’t have to worry about emergencies like water leaks, electrical issues or pest infestations, as the agent will deal with all emergencies on your behalf. Furthermore, the agent can handle deposit settlements and rent arrears.
Further Property Management Services
Many letting agents offer a range of additional property management services, which can be tailored to match your requirements. For instance, they might offer a pre-let service. This service involves arranging all work that needs to be carried out in a home before the tenancy begins, such as professional cleaning, safety checks and decorating. They might also offer a caretaking service – a service which your property insurance company many require if a property is left vacant for a certain period of time.
The truth is that in order to attract the highest paying, most trustworthy tenants, it is often necessary to carry out all maintenance work and refurbish your property to a high standard. At the end of the day, you want to make sure you only rent out your home to the best people, as collecting rent arrears and issuing eviction notices can be very difficult.
On a final point from YPG Letting Agents Belfast make sure that you understand that you need to declare and pay income tax on all rental income you get when you rent out your home. The good news is that the cost of hiring a letting agent is tax-deductible. To learn more about rental income taxes visit Gov.uk.