5 Steps To Renting Out Your Home

5 Steps To Renting Out Your Home

Thinking about renting your property?

Before you allow anyone to move in, there’s a lot to think about and even more to do.

We’ve put together a handy 5 step guide to renting your home.

1. Make sure that it makes financial sense

In other words, do your sums. Before you decide to go ahead and rent out your property, make sure that the plan works for you financially.

You’re going to need to know how much you can rent your home for and how this compares to your outgoings such as your mortgage repayments, agents fees and a repairs and maintenance fund. 

The first step should be to go visit an estate agent that has plenty of experience when it comes to letting properties to find out the estimated rental cost of your home per calendar month.

This will give you the correct figures to work from and remember that you’re not obligated to go with that agent just because you ask for a guide price.

2. Decide whether to use an agent or go it alone

By using an agent you save yourself from a lot of hard work.

An agent will find the tenant, complete the paperwork, handle the rental and ensure that you’re compliant.

It’s a no-headache approach to renting out your home.

Of course this comes at a fee and different agencies will charge different rates but don’t go for the cheapest, go for one who you’re confident can do the job and look after your interests.

If you do decide to go it alone then you must remember that you’re going to be responsible for everything from ensuring that your client has hot water through to chasing the rent payments.

3. Inform your mortgage provider

You must always let your mortgage provider know that you’re intending to rent out your property.

The best way to do this is to request permission to let.

The lender may ask for a fee for permission or discuss moving your mortgage on to a buy to let deal. But without telling them you could be at risk of breaking the terms and conditions with your lender and your home could be repossessed.

4. Know the rules

Whatever the reasons for you deciding to let your property out, you should get familiar with the rules and regulations of becoming a landlord.

These include knowing your legal responsibilities, understanding tenancy agreements and being up to date on safety requirements.

5. Get insured

You’ll need to update your insurance to reflect that you’re renting out your property.

This is more expensive than traditional home insurance but it’s important that your building is property covered.

If you’re planning to rent your home furnished, it’s also advisable to get contents cover.  You may also want to arrange insurance to protect yourself against tenants who default so that you don’t find yourself in financial difficulty should something happen.

At Alan Batt Estate Agents we can advise you on the best way to rent your property and also manage the property on your behalf.

For more information visit the landlord section on our website. If you enjoyed this post, please share it with your friends on Twitter and Facebook.