The Dream of Property Ownership
Becoming a property owner is one of the main aspirations in life for many people. Owning a home carries along with it a unique sense of pride, responsibility and achievement. In addition, property is generally considered to be a good long-term financial investment. However, high modern property prices often mean that taking that first step onto the property ladder remains just that – a dream; this is especially the case for young people who have not yet acquired sufficient savings or a high-enough level of income. Property prices remain prohibitive despite Brexit which is partly responsible for UK house prices growing at the slowest rate for five years.
In years gone by, mortgages were more easily available and home ownership relatively common. However, the 2008 financial crisis has made banks much more cautious about lending money. Therefore rental accommodation is becoming an increasingly popular option for people in the UK.
In these turbulent economic and geopolitical times, the property rental market continues to go from strength to strength. This is due to the increasing number of people who are unable to afford to buy their own property. In fact, a whole generation of young people have been labelled ‘generation rent’ due to their living arrangements, and half of 20-39 year-olds are projected to be in rented accommodation by 2025.
Landlords are benefitting from the increase in demand for rental properties. But what do you need to do as a landlord to make this a lucrative business?
Becoming a Landlord – whether to rent out a room or a number of properties – may seem an attractive option, but it can also carry much stress and risk.
It is therefore important to ensure you have made sufficient preparations to make your move a success.
What do you Need to do to Become a Successful Landlord?
Know Your Market
Whilst the overall trend in the property market is towards rented accommodation, it is important to research the specific locality; find out the local demand and pricing for rental accommodation.
It is vital to ensure your property is up to modern safety standards. Ensure you are able to provide certificates of any work carried out, and that all required maintenance is up to date.
Successfully managing a rental property can be stressful and time-consuming. Dealing with contracts, payments, problematic tenants and maintenance can represent a significant burden. Therefore it is important to ensure your property management is handled by professionals. Nowadays, online letting agents provide a convenient and flexible alternative for landlords on-the-go.
Given the current state of the property market, becoming a landlord could prove to be a lucrative option. However, if you do choose to rent property, it is important to plan carefully and get the help you need to maximise your returns.