Four tips to help landlords avoid common mistakes
Mary-Anne Bowring 26/06/2020
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How Can Landlords Avoid Common Mistakes?
Many self-managing landlords in the buy-to-let sector are not property professionals, making it easy to slip up. Here are our top tips for avoiding the four most common mistakes landlords make.
Don’t Skip the Referencing Process
As highlighted in our previous blog, referencing is crucial. Never be so focused on getting rental income that you skip proper tenant checks. Ensure you know:
- If the tenant had previous rent arrears.
- Can they afford the rent?
- Did they leave their last rental property in good condition?
Creating a checklist for tenant applications is a good way to make sure you're covering all bases. Always verify identity and ensure they have the right to rent in the UK. For added security, ask for emergency contact details, like a close relative’s info. PlanetRent simplifies the referencing process for you—check it out!
Check Your Mortgage Terms
Before renting out your property, check with your mortgage provider. Renting without consent could violate the terms of your mortgage agreement, leading to higher interest rates or even repossession. Always confirm your mortgage allows for rentals.
Engage with Your Tenants
Neglecting tenant relations can lead to issues down the road. If you’re self-managing, be available for emergencies, and always respond to maintenance requests promptly. Regular inspections (quarterly) and good communication help prevent disputes, especially when it comes to the deposit at the end of the tenancy.
Avoid Overpricing the Property
In a price-sensitive market, overpricing your property can lead to it sitting empty for too long. Don’t "test the market" with inflated rent. If potential tenants see your listing history, they may think there’s something wrong with the property. Be strategic with your pricing to attract the right tenants faster.
Use PlanetRent for a Streamlined Process
PlanetRent is a cloud-based, pay-as-you-go platform that handles all aspects of the rental journey—from referencing to property management. By using tools like PlanetRent, you can avoid costly mistakes and streamline the rental process.
Download Our Free E-book for More Tips
Want more insights on managing your rental property? Download our E-book for additional advice and helpful resources. It’s full of tips designed to help you get the most out of your rental property.
Planetrent Properties
info@planetrent.co.uk
0208 0599 550 (for sales)
Under Offer: This term applies to a property where the landlord is considering an offer but remains on the market. It implies that further offers may still be considered until the landlord formally accepts or declines the current offer.
Let Agreed: This term indicates that a landlord has provisionally agreed to enter into a rental agreement with a prospective tenant, pending additional checks and referencing. It doesn't require the prospective tenant to have paid a holding deposit.
Let: This term signifies an established binding rental agreement between the landlord and tenant.
For both lettings and sales, the guidance addresses additional terms:
New On The Market: This term is used for a property not advertised since its last sale or rental. It should only be used for a brief period.
New Instruction: It applies to a property assigned to an agent for marketing recently, even if it was previously listed with another agent without being sold or rented.
New and Exclusive: This term refers to a property that is either new on the market or a new instruction, exclusively available through a specific agent or portal.
New Method of Sale/Let: This term is used when a property is being marketed for sale or rent using an alternative approach to the original advertisement, such as transitioning to an auction or sealed bid.
Reduced: This term indicates that a property's price has recently been reduced. The reduction should be genuine and comply with the Chartered Trading Standards Institute's guidelines on pricing practices.