If you are considering building your property portfolio in the UK, it is important that you have the right team on the ground to take care of the day-to-day management of your property. Experienced property management teams will take away any hassle you might have, giving you the time to focus on your own tasks.
If you are a hands-off property investor, the right property manager will take care of all the tasks related to your investment. This should include the following:
- Organising repairs
- Putting together maintenance reports
- Collecting rental fees
- Sourcing new tenants and negotiating rental fees
- Handling insurance
- Organising payments for any outgoings
- Being the main point of contact in the event of emergencies
Selecting an experienced property manager can be a huge asset for your portfolio and can contribute heavily to the success of your buy to let investment.
In this article we’ll discuss how buy to let property management in the UK works, and the benefits of having an expert manage your portfolio.
What To Expect From Buy to Let Property Management
Property managers act on your behalf to keep your property and tenants in order. They take on all the responsibilities so you don’t have to. This creates the perfect hands-off investment, meaning all you have to do is relax and wait for the rental payments to come through.
Even if you’re based in the UK, property management service providers can be invaluable. If you’re new to being a landlord, there are various rules and regulations your property has to adhere to. With a manager in place, they will ensure your property is fit for the rental market by:
- Obtaining a valid Gas Safety Certificate
- Obtaining a valid Energy Performance Certificate
- Installing smoke alarms
- Ensuring you have consent to let the property (insurance companies and mortgage lenders have the right to take away consent)
- Proving your property is fit for human habitation, as described in the Fitness for Human Habitation Act 2018
- Making sure your furniture and furnishings have passed UK Fire Regulations (Our furniture partner has provided more information on this subject with their blog: What is Crib 5?)
UK law is strict about the condition of properties on the lettings market, as the safety and wellbeing of tenants must come first. Fortunately, many of the items listed above are easily resolved with the right help, and having property management arrangements in place will ensure your property adheres to standards.
An important step for any property investor is making sure your property is attracting attention. This is where the marketing expertise of a manager comes into play. With their knowledge of the local market and expertise in writing adverts that capture the reader’s imagination, your property should be rented out with minimal — if any — void periods, ensuring you start to see immediate income, and maximising your annual rental profits.
A key part of the advert will include the marketing images. Your property manager should have access to professional photographers who will highlight the best features of your property, giving potential renters a realistic idea of what the property will be like once they move in.
If you’re looking into property management services, one key aspect to take into account is their ability to handle tenant responsibilities. A point of contact is needed in the event a problem arises. This can range from maintenance issues through to complaints from the neighbours.
As part of their training, property teams have to understand Landlord and Tenant Law to ensure both you and the tenant are following the terms in the tenancy agreement. They may have to seek legal expertise from a solicitor, but your property manager should have knowledge on:
- Eviction proceedings
- Dealing with non-payments
- Harassment charges
- Changes to agreed services
Luckily, these issues are very rare in the UK, and the chances of having any problems arise can be mitigated further through the expertise of your manager. Their services usually include a tenant screening process, which means they will conduct a thorough background check before letting the property out to an individual. Most background checks will include:
- Following up on references
- Completing credit checks
- Arranging property viewings and meeting potential tenants in person
- Finalising the terms in the tenancy agreement
When a new tenant moves into your property, they will also leave a deposit — normally one month’s rent — with your manager, which acts as a safety net if the tenant damages your property or if they miss a rental payment. By law, this deposit has to be kept safe with the Deposit Protection Service (DPS) or a similar government-approved scheme. A manager will handle this process for you, and will organise the repayment to the tenant if there is no need to make a claim against them.
Buy to Let Property Management Made Easy
When you make an investment in property, you want to do everything you can to maximise returns. To unlock the full potential of your investment, buy to let property management services provide you with an effective solution.
At Renaissance Investments, we offer our clients a full 360 bespoke property service, which includes introducing you to reputable, local property management companies. We conduct thorough due diligence when researching property management teams, asking the questions you need the answers to. Once we’re confident in our selections, we will present you with the best options.
For straightforward and hassle free property management solutions, please get in touch with a member of the Renaissance investments team.