With average rents increasing by 7.5%* in the year to January and better buy-to-let mortgages becoming available, the market is looking good for landlords. With a shortage of properties on the market and a growing number of students and young professionals, landlords are spoiled for choice when it comes to finding tenants.

Know your responsibilities
Whether you are letting to young professionals, students, or both, it’s vital that you understand your responsibilities. Going down the HMO route (house in multiple occupancy) can be very lucrative, but as with any rental property, it’s vital that you know your responsibilities. As an HMO landlord, you will need to ensure that annual gas checks, electrical checks every five years, and fire safety checks are carried out, to mention a few.

Create the right tenancy agreement
It's really important to have a good tenancy agreement in place as a landlord. This will protect you, your property, and your tenants and help prevent disputes. Letting to students or young professionals may require a more flexible approach, and the tenancy agreement you create should reflect this. Students may need fewer amenities; young professionals, on the other hand, may be a better bet if you prefer long-term tenants.

Find good tenants
Good tenants who pay their rent on time, do not damage your property, and don’t behave in an anti-social way are worth hanging on to. With the Renters Reform Bill expected to become legislation later this year, your rights as a landlord will be reinforced thanks to the proposed strengthening of Section 8. Reference checking and rent collection are important, and a well-maintained, nicely decorated property will attract good tenants.

Advantages of renting to young professionals
It’s not unheard of for young professionals and students to rent the same property. As a landlord, you may find that a former student wants to remain living in your property as a young professional. Young professionals, who are seasoned renters, may take better care of your property than students. As they are earning, bills are more likely to be paid on time, and with fewer parties, noise should not become an issue.

Advantages of renting to students
Every rental property is unique, and your decisions are based on many factors. For example, you may choose to rent to students, knowing that noise will not be an issue if your property is located next to other student homes. Other advantages could include lower furnishing costs, potentially higher rental yields, and the fact that students may pay in advance of each semester and could come with guarantors.

Consider using a letting agent
Whether you let to students or young professionals opting to do so via the HMO route or prefer to rent your property out as a single let, using an agent can be a good move. Having their support will protect your investment by staying on the right side of the law. Rent collection, finding referenced good tenants, and even your property's maintenance could be something you no longer need to worry about with a managed letting service.

 

Do you need a good agent to manage your property?

 

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