Many people rent out properties to generate income. Some decide to do all the work themselves to save on fees, while others choose to use a property management company.
If you are considering letting your properties, the Money Advice Service provides guidance about all the factors you will need to consider.
The benefits of using a property management company
The overarching benefit of using a good property management company is that it will save you time and hassle. You are also more likely to have a higher standard of tenant, as the company will have the tools in place to quickly and easily carry out background checks.
It is also the first place potential clients will register an interest in renting, so the company will have access to a wider database than you as an individual.
It will also have a lot more experience than you if you are just starting out; therefore, it will be able to deal with any sticky legal situations that arise. Landlord-tenant laws can be difficult to understand and navigate.
What to you look for when choosing a management company
A management company that uses property inventory software from a provider such as https://inventorybase.co.uk/ is probably more efficient than one that doesn’t. Such a company will often be able to provide you with remote access, via an app or portal, to your account. This means it is quick and easy for you to accept appointments and view reports.
As with most things in life, ask for recommendations. Check with existing clients whether they have had any problems with the agent or a tenant and how much time their property has spent empty. In the current rental market, there is really no reason your house or flat should be empty for months on end if you did your research before you bought it.
Check the range of services provided, as some management companies will be able to offer a much wider range than others. Ask about their marketing strategies and how many potential clients are likely to see your property.
Finally, consider how much each company going to charge you for the services it provides. You want to make as much profit on your property as you can, so you may consider fewer services; for example, you may be prepared to conduct viewings yourself.