Unfortunately there have been fears that the schemes have contributed to the rise in house prices especially in the London.
However, this has had a positive effect on the lettings market increasing the activity for 2014 with over 15% of all UK homes now in the private sector and current landlords predicting a rise in rent for 2014.
With this in mind, it may be a good time for homeowners to consider buy to let in 2014. So if you do have that extra piece of residential real property this year could be a good alternative to selling.
Before entering into the lettings market here’s a few tips to consider:
First determine the likely rent you’ll receive, Check local listings for properties similar size and quality to yours, ideally within your neighbourhood. Oakwood Estate’s provide a free valuation service where by one of our experienced negotiators will come to your property and give you an idea of how much you can potentially charge per calendar month.
Always factor in vacancy time…there may be some transition time between tenants which can take a month or two. With Oakwood Estates we try to aim for longer term agreements to avoid this and always look to reduce void periods by securing new tenants as early as possible.
Subtract property expenses, your rental income will not be a pure profit. Take into consideration mortgage payments, insurance utility, repairs and maintenance. However if you decide to use an agent to cover property management one fee will be required.
Last but not least calculate your projected profit. To get your projected profit, subtract expected vacancies and likely expenses from the annual projected rent.
At Oakwood Estates, we understand just how important property is to you, and how valuable your free time and peace of mind is too. That’s why it’s really important you choose the right agency to help you let your property easily, profitably and without having to worry about a thing.