9 Key Factors to Consider Before Renting Out a Property

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Whether you’ve bought a property for the purpose of renting it out or are in a position where your home will be empty for a while, getting tenants can be a good way to earn some extra money. But, being a landlord comes with its own set of responsibilities that you should be aware of before you start. You will need to ensure that your property is safe and habitable for your tenants and keep on top of regular checks and maintenance, along with being prepared for any emergencies that might arise. Here are some of the key things to ensure before renting your property out to tenants. 


Insurance

As a landlord, you will need to ensure that the property is insured for anything that could go wrong. While your tenants will be responsible for providing their own contents insurance to protect their own items within the property, the responsibility for insuring the building itself against damage is yours. If you are renting your property to tenants, you will need to get landlord insurance. This protects against damage from natural disasters, fire, flooding, and other incidents that might occur. You can also find landlord insurance quotes that will cover the cost of providing your tenant with alternative accommodation if needed. Energy Performance Certificate

Before you can rent your property out to new tenants, you will need to get an Energy Performance Certificate (EPC), which provides more information about the property’s energy efficiency rating along with advice on how it could be improved. An energy assessor will visit your property to check the electrical wiring and appliances before providing you with the rating. Along with an EPC, you should also ensure that the property has regular electrical safety checks, which usually occur annually. 


Gas Safety Certificate

If you are renting out a property that has a gas central heating system, cooker or other gas appliances, you will need to get a Gas Safety Certificate for the property. You will need to get this certificate before the tenants move in and on a yearly basis afterwards. The safety check should be carried out by a certified Gas Safe Engineer. 


Home Safety

You will also be required to provide certain safety appliances to the property, including smoke alarms and a carbon monoxide detector. Smoke alarms should be provided on each floor and should be regularly tested to ensure that they are in good working order. A carbon monoxide alarm should be placed in any area of the home where CO gas-burning appliances such as the boiler are present. 


Marketing

Now that your property is ready for tenants, you will need to market it. There are several options available for this. Most often, landlords will use the services of an estate agent who can place the property on all relevant marketing sites and deal with tenant applications. The estate agent will arrange viewings and all necessary tenant credit and background checks. You can also market the property yourself. 


Deposit Scheme

In most cases, landlords will require their new tenants to pay a deposit to secure the tenancy. The purpose of the deposit is to pay for any necessary repairs that are required at the end of the tenancy agreement, and it must be kept in an approved Tenancy Deposit Scheme


Licensing

In some cases, you may require a licence before you can rent your property out. This is usually the case if you are planning to rent your property out to multiple tenants from different households. In some cases, you may be required to apply for an HMO (House in Multiple Occupation) licence. If an HMO licence is required, it is a criminal offence to operate without one. You will also need to register as a landlord with your local authority regardless of whether or not an HMO licence is required. 


Your Mortgage

You may need to apply for permission to rent your property to tenants from your mortgage lender, depending on the type of mortgage that you have. If you have been living in the property as your home and bought it as such, you will usually need to inform your mortgage provider of the situation before finding a tenant. 


Property Management

A property manager is a company or individual that you can pay a fee to do all the hard work of managing your property and the tenants for you. They will be responsible for marketing the property, securing tenants and dealing with ongoing costs and maintenance. The fee is often paid as a percentage of the rent, which is paid directly to the property manager. 

Whether your home is empty for a while or you are buying to let, there are several important factors to consider before becoming a landlord. 

Whether you’ve bought a property for the purpose of renting it out or are in a position where your home will be empty for a while, getting tenants can be a good way to earn some extra money. But, being a landlord comes with its own set of responsibilities that you should be aware of before you
start. You will need to ensure that your property is safe and habitable for your tenants and keep on top of regular checks and maintenance, along with being prepared for any emergencies that might arise. Here are some of the key things to ensure before renting your property out to tenants.

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