The New Generation of Buy to Let Landlords The last five years especially have seen a dramatic change in the professionalism of many landlords. There is no doubt that the RLA, NLA, and even government policy have helped clean up the marketplace, but also the trainings, belief, integrity, and professionalism of Whitney UK have all gone some way to make landlords improve their professional and business ethics.
Recently at a Wealth Club event we discussed the use of agencies, tenant finding services, repair issues, and the new tennant deposit scheme. What became apparent was the understanding of these advanced students that being a landlord was a business, that tenants were clients and that if treated well would become great tenants. Over 64% of those questioned spoke about new tenants appearing via referrals or through word of mouth. Eighty-six percent reported minimal issues of returned deposits, of which only one individual reported a contested outcome.
For those that do not understand the importance of these figures, then we suggest that you keep learning, keep practicing how being a landlord should be treated as a business and not a hobby. Quite simply, if you can find tenants by referral, you will get better tenants, you can avoid between 6-12% agency fees, great in the tight margins of today, they will treat your property with respect, they will pay on time, and if treated well, will sell your property to the next tenant, assuming that they have to move on.
Remember that buy to let margins are tight at the moment, anything that you can do to offset agency fees, repairs, or void periods then great, that is what running a business is all about. |
