Have You Become an Accidental Landlord?
Tue 23 Aug 2016
Sometimes life can throw you curveballs, and all of a sudden, you can find yourself on a different path to the one you thought you’d be on.
For some, these changes can lead to owning a property which could result in you becoming an accidental landlord.
What is an accidental landlord?
There are various ways you can wind up being an accidental landlord. This could be due to unfortunate circumstances, such as death, divorce or separation, or you might have met your partner later on in life and are moving to live with them in their property. Similarly, you could be relocating for a new job prospect and for whatever reason, you have decided to rent out your old property rather than sell it and move on.
If you’ve never found yourself in this situation before, and don’t know anything about renting out a property, as there are a few different rules and regulations around the subject, then it’s worth having a read through this article to find out what you should be doing.
Marketing your property
You want to show off the property’s best features, whether this is the size of the rooms, the modern decor, the location to local amenities and transport links etc.
There’s also a fine line between setting the rental price high enough to make a nice profit, and settling on a lower rental price for the right tenant who will, hopefully, not cause you any problems. Be sure to give this some careful consideration, as well as doing research into how much similar properties in the area are going for.
Adhering to legalities
There are certain legalities surrounding buy-to-let and mortgage types, so you should first find out more about your financial responsibilities when renting out a property, or speak to a mortgage adviser who can give professional advice around buy-to-let properties.
Many landlords are a nameless face that tenants never get to see or hear from. Make sure you respond to any queries that come your way and never leave them in the lurch. Ignoring your tenants over something that is easy to resolve could escalate into something bigger and cause a fraught relationship between yourself and your tenants.
Use a mortgage adviser
Whether you planned to or not, you are now a landlord and your property has turned into a business.Therefore, it’s important to focus on how you can now make a profit. Having a mortgage broker you can lean on will give you invaluable advice and guidance as to what buy-to-let mortgage deal is right for you.
With a network of over 90 different lenders, Mortgage Advice Bureau have access to over 11,000 products so we can help you find the right mortgage to suit your needs. We assist throughout the whole process, from making the initial appointment, whether face to face or over the phone, through to completion. Don’t hesitate to call us today for an appointment.
Lisa Fletcher is from Mortgage Advice Bureau, based out of the Moginie James offices – for further information call: 029 2048 4898
There is no guarantee that it will be possible to arrange continuous letting of the property, nor that rental income will be sufficient to meet the cost of the mortgage.
Your home may be repossessed if you do not keep up repayments on your mortgage.
There will be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1%, but a typical fee is 0.3% of the amount borrowed.