How an agent can make your lettings and management hassle-free
So you have purchased an investment property. What now? The next steps involve finding the right tenants to fill it, snagging and safety checks, setting up various schemes and, once your tenant is in, managing them and the property.
If this all seems overwhelming, you may want to consider engaging an external agent to support you to manage your property investment from afar.
Why find an agent?
As an investor, it’s often useful to have a third party on the ground to take care of things when you can’t be there. Agents can handle everything from collecting keys on completion, to finding tenants, to looking after your property during its rental period. They can even market it to potential buyers once you feel ready to sell it on.
When can you instruct an agent?
Immediately after purchase and in advance of your completion date. A good agent will begin marketing your property prior to completion, which can increase your chances of finding tenants as early as possible.
What can your agent do for you?
- Collecting keys and handover documents from the developer
- Inspecting the property (on new-build properties) – snagging, safety checks, meter readings
- Advising on legal requirements and compliance matters before letting
- Arranging furnishings
- Marketing to prospective tenants across various property portals, both online and offline, conducting viewings, handling negotiations
- Background checks on tenants – credit referencing, previous landlord, employment checks
- Sorting tenancy agreements for landlord and tenant to sign
- Organising check-in and arranging an inventory of the unit
- Handling deposits – e.g. setting up a UK Tenancy Deposit Protection Scheme account on owner’s behalf
2. Property Management
- Collecting rent every month and passing it to investors – liable to international bank transfer charges if no local bank account and agent may deduct fees on a monthly basis direct from rent
- Paying bills/service charges on your behalf
- Tenant liaison including maintenance enquiries and repairs
- Organising property inspection and arranging for any repairs at end of tenancy. Advising on any deductions from tenant’s deposit for loss/damage
- Arranging contents, public liability and rental guarantee insurance on landlord’s behalf
- Remarketing unit at the end of a tenancy for re-letting or sale
What is snagging?
This is an assessment of a new building for any minor faults or defects that need to be rectified before a property is rented out. Your agent can carry this out on your behalf.
Do I need to furnish my investment property?
In most major cities, and certainly in the UK, it is common to furnish properties before letting them out and it often makes a property more desirable and easier to rent out. Agents can usually help you arrange this and many offer various styles of furniture packages and design services according to your budget and the development into which they will be put to use.
International property investors should consider early on how their lettings and management strategy can enable them to maximise rental yields., IP Global’s preferred lettings and management agency, to find out more about this process.