As the housing market continues to struggle and property sales remain flat, more and more home owners are considering renting out their home because they cannot find a buyer.
New evidence suggests that even those inheriting property, after bereavement, are increasingly looking to rent, rather than sell, for the same reason.
Rick Flay, Director at Belvoir, the leading letting agents in Sheffield, said: “We are seeing an emerging trend in the market, with many home owners becoming reluctant landlords and taking on tenants for the first time down to a variety of different reasons.”
With research suggesting that one in three homeowners are now considering this as an option, the leading lettings agent in Sheffield are warning anyone new to residential lettings to be aware of the many pitfalls, including strict regulatory requirements, insurance considerations and the stringent tenant referencing and checking procedures required of them.
Rick, who runs the Belvoir office on Campo Lane, added: “Some of the ‘accidental’ and ‘reluctant’ landlords that we encounter here at Belvoir Sheffield, do not want to sell their property until the market recovers, others need to keep a house occupied and maintained because it is lying empty.
“But becoming a landlord, almost overnight, is quite a daunting task and that is why we urge people to seek out initial free and impartial, independent advice from an expert letting specialist such as ourselves, before attempting to go it alone. In addition to strict regulations covering compulsory gas, electrical and fire safety checks there are many other specialist rules to consider.”
Rick continued: “If a property is rented to three or more unrelated tenants, a HMO (Houses in Multiple Occupation) licence may be required. Rules vary from one council area to another. If you are letting out a property you will also need to take out specialist landlord insurance, which is different to household insurance cover. It can be a minefield for the new and inexperienced landlord.” added Rick
“It is important to consider what kind of tenant you want to attract, to ensure the right
‘fit’ with the property. As a landlord you need to decide if you will be targeting families, young couples, single dwellers, or retirees. If furnished, you will need to carry out a full inventory check before they move in, as well as extensive credit checks and tenant referencing.”
“At Belvoir we offer a full end-to-end managed lettings service for both landlords and
tenants, for any type of property, furnished or unfurnished. The first step for anyone considering letting out their own home, or that of a relative, for the first time, is to contact us for an initial, no obligation meeting at which we can go through all of the options open to them,”
Belvoir predicts that property rents will increase between five and 10 per-cent throughout 2011
and the number of private landlords in the UK will increase by a further 50 per-cent in the
next few years.
Belvoir Lettings Sheffield is the One Stop Specialists for Lettings including Property Management, Tenant Find, Investment and Wealth Management Advice, Fit-outs and Renovations, Furniture Packs and Investment Property Insurances
For more information, please visit www.belvoirlettings.com/sheffield