Landlords - avoid nightmare tenancies with this simple idea
Could you avoid a nightmare tenant situation by following this simple advice? Read this article to find out more...
Most landlords have heard nightmare tales from friends of friends about how their tenant was a tyrant and caused them no end of trouble. These tales are never without fact or nuance, and most come from down the pub or on the golf course. But it is enough to scare some investors off from choosing to invest their money into property altogether, which is a real shame.
There is currently a shortage of properties in the private rented sector, which has created an increase in the average rental prices. When you consider the opportunity for monthly rental income and capital appreciation in the increase in the overall value of the property itself, property investment is still a very robust and hugely successful way to invest your cash.
True, it is not a quick return. Of course, the monthly revenue is nice, but there are no huge spikes in revenue like we see in the cryptocurrency world. But likewise, the risks are far less. It's little surprise that the phrase 'safe as houses' is said frequently when discussing property investments, and 'safe as bitcoin' has never quite caught on.
But why should you invest your money into property if there's just going to be a load of drama and problems for you to solve?
Well, aside from the obvious positives from an investment point of view, these nightmare scenarios need never happen. Of course, there is no way to stop the tenants from calling you when something is broken, as it's your responsibility as the landlord to handle those things. But there are ways to ensure that your investment runs smoothly, your tenants are happy, and your revenue is safe and secure.
Not to oversimplify things too much, but in the majority of cases, these nightmare scenarios could have been avoided entirely if there had been better communication.
That is not to say that you have to call your tenant every week to check in with them; I'm sure that they wouldn't want you to do that any more than you would want to do it. But, if your tenant is heard and treated with consideration and kindness, most of the issues are 'figureoutable.'
- Start with the very first day. If you cast your mind back to the last time you moved house, you'll no doubt agree that moving day can be horrendous. So perhaps you could show a little compassion to the tenants. Maybe provide a small welcome pack so they can make a cup of tea when they get the keys without having to unpack everything to find teabags. You can make their settling into the property easier by providing information about how to work the boiler, for example.
Making that first day a success will start your tenancy relationship off on the right foot. It would be much worse if, on the day that the tenancy starts, the boiler has been turned off, and the tenant has no way to figure out how to turn it back on. This leaves them with no hot water or heating, so they can't have a shower after lugging boxes around all day.
- Be at the end of the phone to help them out if they need it. Imagine that for the first few days, they are a guest in your property that, until they've settled in, is similar to an Airbnb.
- Make sure that the property is ready for them to move in. Don't leave any maintenance tasks outstanding. If there is a central heating system, particularly in the winter time, consider having it set up for them before they get the keys so that the heating is working and welcomes them into their new home from the chilly winter air.
Crucially, you are not there to mother your tenants. Indeed I'm sure that your tenants wouldn't want that. But, try to reduce any potential stressors from that initial move-in to start the journey off on the right foot, and then maintain open lines of communication throughout to keep that good relationship.
Most 'nightmare' tenants will have an equally nightmare landlord story to tell, and you'll most likely have only heard one side of the story. If you're not on hand to carry out these little things that can sweeten the process for your tenants, why not employ your letting agent to manage the tenancy for you?
Tenants who live in a property managed by a letting agent are often much more comfortable and will likely be happier, stay longer and be less likely to cause damages and rent arrears. There is professionalism, a right to reply and governing bodies to keep everything above board and regulated. This gives tenants a sense of security, and of course, there is always someone at the end of the phone. This leaves you to enjoy your free time in peace without worrying about whether the heating has been turned on for your new tenant or calling around trying to find a plumber because the boiler isn't working.
If you're interested in learning more about how a managing agent can help you with your property investments, freeing up your time whilst still returning your monthly revenue and protecting your property, get in touch with our team of property experts today.