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Five Things to Consider Before Renting Out Your Property

If you have a spare property – perhaps because you and your partner were both homeowners before you met – you might have considered becoming a landlord. Renting out a property can be an excellent way of bringing in additional money and has other advantages too. If you decide you want to both move out of your current properties, then the option of renting out your homes is an ideal way of funding your new venture. When doing this means you need to add name to a property in Florida with QuickDeeds.com to make sure you follow the correct legal procedure, so you can share ownership legally with your spouse. This could put you both at an advantage when looking to buy, as you both have multiple properties, managed in the correct way.

Before you jump in, here are five things you should consider before renting out your property.

Furnished Or not?

It can be tempting to rent out a property with furniture if it is somewhere you have previously lived, especially if you want to keep items for the future. Be aware that whatever you leave in your rental property could be damaged by tenants so although you are saving on storage costs, anything that is precious such as family heirlooms should be removed before leasing your property.

Safety Checks

As a landlord, there are certain safety checks that are a legal requirement. These are to safeguard both you as owner and landlord and the person renting the property. 

An EICR certificate is one such requirement. This electrical test certificate must be renewed every five years and although you might not have factored the EIRC certificate cost into your budget, it is necessary if you are renting out a property.The EICR cost can vary but check Hexo’s EICR costs for current rates. 

Gas checks are also a requirement, with annual services a must. Tenants should be supplied with a gas check record.

Maintenance Costs

Being a homeowner means taking responsibility for the maintenance of your property, something which is particularly important as a property owner. Not only will a well-maintained house or flat be more appealing to prospective tenants, but it can also save money in the long term. Budget for these ongoing costs when checking your numbersespecially if you know there’s a big job such as updating windows or a roof that will need to be done in the near future.

Using an Agent

With the costs involved in meeting the legal requirements to become a landlord, you might be reluctant to use a letting agent. Although this can be another expense, there are benefits. They can act as a go-between, allowing you to keep a professional distance from your tenants as well as chasing payments and arranging maintenance. 

If the property you are renting out is a fair distance from your home, a letting agent is often the best option.

Rent or Sell?

Renting out a vacant property can be a good idea for anyone who is business-minded but if you need to release the equity in your property quickly, selling is an alternative option. If you are unsure, don’t rush to make a decision. It is better to take your time than make a choice you might regret.

Whether you choose to rent out your property or not is up to you. It can be lucrative, especially in popular areas, but don’t underestimate the costs and responsibilities that come with being a property owner.