Step 1 - The Advantages of renting
This guide has been designed to explain the key facts you need to know about becoming a landlord. By the end, you should have a good understanding of what's involved. However, your local Rightmove member letting agent will be able to answer any additional questions you may have.
Successful buying-to-let is dependent on:
- Buying the right kind of property in the right location that appeals to a large range of tenants
- Good tenants who will pay the rent and look after the property
- Your ability to manage the tenancy properly
- Compliancy with the rules and regulations on letting property
- Not getting emotionally attached to your property. It's generally a long term investment and a mistake to treat it as your own home.
The UK has a housing crisis - a growing population and a lack of available properties has pushed up house prices beyond what people can afford in many areas.
This has meant some people have no option but to rent instead - it's usually cheaper and for those that want to eventually buy; it allows them to save for a deposit.
Why buy-to-let is growing
At the same time, lifestyles have become more flexible. Today people move between work and study frequently.
For these people being a tenant offers more flexibility than buying a house.
In 1988, the tenancy laws were changed to allow landlords to get their property back simply by giving sufficient notice to the tenant. In 1996, special 'buy-to-let mortgages' for landlords became available, making it much easier for people to borrow money to buy property to let.
All this is good news for landlords….