As you see a good portion of your rental income being deducted by your agent each month, you might fail to appreciate that they can actually save you money. But when you take everything associated with renting your property into consideration, you'll more than likely find out that you'll come out better off in the long run.
The following are reasons why using an agent will save you money:
1. Letting agents only make money when a property is rented, so it's in their interest that your property is filled. They have an established advertising network in place and will play an active role in finding a tenant for you – each and every day. Do you have the time to put that amount of effort into advertising?
2. Because an agent works on commission, it's in their interest to work out the very best rental on your behalf. Are you experienced enough in the industry to be able to do this?
3. Because the agent deals with hundreds of properties, they are able to negotiate the best deals with reputable tradesman. This means your maintenance costs will be lower than if you phoned up a plumber or an electrician as an individual to come and carry out work on your property.
4. They deal with all aspects of the rental, from showing around prospective clients to checkouts. Do you have the ability to take time off work to do this?
5. Using a rental agent gives your tenant a feeling of security. They have a 24 hour emergency phone number should a problem arise at three o clock in the morning – are you going to be quite so amenable if your tenant phones you at this time? Happy tenants are likely to remain in place longer, and this means more money and security for you as a landlord.
6. If your tenant leaves at the end of their term, the agent will more than likely have other prospective renters lined up. This will minimise your chances of the property being empty, and you losing money. Will you be able to do this so effectively? A void of only a few weeks can easily add up to more than a letting agents fees for the whole year!
7. In the case of tenant failing to pay, most letting agents offer a rental guarantee.
8. Rental agents can advise you on maintenance and repair programme to ensure that your property remains in good shape and so retains its value.
As you can see, the case for using a letting agent is very strong, particularly if you are new to the landlord business. Ask around to find out which agents in the area are reputable, and don't be afraid to ask as many questions as possible before you sign on the dotted line.
About the Author:
Priest Properties are a Letting Agents Nottingham offering Property Management Nottingham for landlords. |
