Here’s a list of the most common mistakes we see Landlords make…
At Nicholas Humphreys (Sheffield- Broomhill & Crookes), we are often approached by Landlords to offer them advice and assistance in renting their homes and managing their properties on their behalf.
We speak to many people who are either long term Landlords with 30+ years’ experience, new buy-to-let investors or “accidental Landlords” who may have inherited a property or decided to move home and keep the existing property and rent it out.
NO MATTER WHICH CATEGORY OF LANDLORD YOU FALL IN TO, YOU SHOULD READ THE FOLLOWING:
In the last year, we have seen many changes to the rental market. There are new regulations that Landlords need to be aware of. Some changes that we have seen this year are:
- New EPC (Energy Performance Certificate) rules
- Minimum room sizes for HMO (Houses of Multiple Occupancy) properties
- New HMO rules extending to a larger category of housing
- And much more…
On a daily basis, we visit many properties and speak to Landlords who wish to rent their properties and we thought that it would be a good idea to list the 8 Common mistakes to be aware of when renting out your property.
- Not following up tenant references. Be sure to conduct a thorough search on prospective tenants E.g. employment & previous landlord references. Don’t be afraid to ask for a Guarantor if necessary!
- Allowing Gas Safety Certificates to expire. A common mistake made by many Landlords. Keep a note on your diary 4 – 6 weeks in advance to allow plenty of time to book a gas safety engineer to visit the property and issue a certificate. For a small extra outlay, ask the engineer to service the boiler. It could save you £££’s and hassle during winter.
- Allowing Energy Performance Certificates (EPC) to expire. In the majority of cases, not having a current EPC is not only a sign of non-compliance with rental law but can serious jeopardise your chances of terminating a tenancy.
- Not checking up on the property. Don’t wait until the end of the tenancy to be greeted with an unwanted surprise that may cost thousands of pounds and well exceed the deposit you have. Managing the property in a structured fashion throughout the tenancy is recommended.
- Not being aware of new or changing legal responsibilities. You must always keep up to date with changing rental regulation and keep compliant. Getting this wrong can attract unwanted financial penalties.
- Not protecting the tenancy deposit. One of the most common mistakes we see. You could be fined up to 3 times the deposit amount as a penalty and your chances of legally claiming back part of the deposit for damage caused by tenants or rental arrears will be severely prejudiced!
- Failing to deal with repairs & maintenance issues promptly. This can lead to increased costs to repair as the property deteriorates due to neglect. Certain areas of neglect can pose a hazard such as gas or electrical appliances / services. Relationships between Landlords & Tenants often become strained if essential repairs are not carried out.
- Allowing rent arrears to accumulate. Contact you tenant within a few days of rental arears. Managing a small amount and arranging a payment plan will be far more successful than leaving rental debt to pile up making it impossible for your tenant to pay you back resulting in stress and lost income to you.
Need help managing your property? Contact Nicholas Humphreys (Sheffield- Broomhill & Crookes) and ask us how we can take the stress out of managing your property. A wise investment today will save you time, hassle and money tomorrow!
