Renting my flat out in the new year - Any tips?

[douch007]

Thanks to the current housing market I have decided to rent my flat out instead of selling. I will be moving from London to Manchester and have no idea how to go about renting my 1 bed flat out and what it will involve. Can anyone offer advice or make any suggestions?

[ummmm]

Yes...go to a letting agency.

[China Doll]

You could put it on gumtree as well... Where's the flat?

[Ric.ror]

I would advise you to go to a letting agency too. I intend to let one of my houses in the new year and they can take the strain - not me

[douch007]

I intend to use a letting agent but really wanted to know what I can expect from them and the approximate costs involved.

The flat is in South London.

[tanny22]

my advice for what its worth, sell rather than rent .or maybe i was just unlucky with the tenants i had.

[sandyRoe]

Make sure that the letting agency makes a thorough check on the prospective tenant's references.

[jomifl]

Definitely a letting agency and have them do regular inspections as well as dealing with the rent. A friend of mine opted out of having the property inspected regularly and was too idle to do it himself. When the letting finished after several years all the rent that he had received was needed for repairs.

[Twenty20]

I'd certainly use a Letting Agent, at least to start with.

Rates vary, but for full management you could be looking at 15%. Plus there will be other fees - Agent's like the tenant to renew the agreement every 6 months and to charge the tenant and the landlord for this. Look in their terms and conditions as to how much this may cost. There's no actual need to renew, it shouldn't cost anything to let the agreement go Periodic if you are happy with the tenant, but Agents tend not to like this because they don't get paid. Also look for how much the inventory will cost - again, most Agent's will charge separately for this. Read their terms carefully.

Ask to see the credit checks and referencing on the prospective tenant - don't be fobbed off by the Agent with talk of the Data Protection Act, it's not relevant.

Most Agents wont get involved with anything more than writing to the tenant if they default on their rent. You will either have to know how to get your money through the Courts if necessary or go to a solicitor.

Many Agent's aren't actually very knowledgeable about Landlord/Tenant law. It may be best to go with one who's registered with an organisation such as ARLA.

Only sign a tenant up for 6 months initially, it's easier then to get them out if it all goes wrong. Don't be tempted by 12 month contracts, at least not initially. Likewise, be wary of tenants offering 6 months rent in advance.

Check out the Letting Agent as best you can. Times are difficult and some are going to the wall. How long have they been around? How many properties do they have rented out? Do you know any other landlord's locally who would recommend and Agent?

Make sure any deposit is protected - it's your responsibility not the Agent's. You can do it all online and it's free.

Allow for void periods in your calculations - this is the time the property is empty between tenants. Make sure you

[boxtops]

If my experience was anything to go by, make it very clear what you expect the letting agency to do. I paid mine £80 per month (this was twelve years ago) and although they let my flat, they let it to people who weren't willing/able to pay the rent monthly on the due date by direct debit, they paid by cash so quite often the money wasn't in my bank when I needed it to pay the mortgage on the flat. Each time the tenants were late paying, they wrote to me to ask me what I wanted them to do. They were really poor - fortunately it was only a 6-month let otherwise I would have changed agents. Make sure therefore that you go to a reputable agency and be sure that they have authority to act on your behalf on matters like that. They will probably have to contact you for authority if things like the boiler break down during the let.
Also make sure that the documentation makes it clear what happens after the tenants move out. Mine not only left shedloads of stuff in the garage and in the loft (I was able to charge them for its removal by taking the cost of disposal out of their deposit) but they also took down a load of shelves and never put them back, and they knocked down part of my garden wall with their removal van when moving out. I had to make them come back and repair that. And I'm told that mine was quite an uneventful let!

[douch007]

Thanks for the responses. Some really useful info, cheers.