31 May

Avoid the pitfalls of the buy-to-let market

Avoid the pitfalls of the buy-to-let market

If you are getting in on the market for buy-to-let homes, it is important that you make sure you know everything about your chosen investment before you choose to dive in.

Many things can go wrong with any venture like this, and it is important to know of all the potential pitfalls before you start, as this will minimise the risk of leaving yourself out of pocket further down the line.

Decorating

In the immediate aftermath of buying a home, you might want to update and refresh it to make it look as attractive as possible, but there are some definite pitfalls associated with this side of the process.

It can be tempting to use your own tastes as a template for how you will design your home, but you must remember that what you like will not appeal to everyone.

Be sure to avoid bright and garish colours which can turn many people off, and try wood flooring as opposed to carpets. These are easily cleaned and hard to damage, which can be a plus point to people looking to rent out a home.

Marketing

Getting someone to rent your home and start you off on the landlord trail is the key part of this kind of investment, but you will never be able to find a tenant if your marketing strategy is not up to scratch.

Getting online is key. More and more people now see the internet as their first port of call when it comes to finding a new home, so you need to be advertising there to catch the bulk of the market.

Make sure you have as many photos online as possible. These will show people what they could be getting, and the more pictures you post, the higher the likelihood that you will be able to secure a contract with someone.

In addition to this, ensure that you give as much information as you possibly can. Write about nearby amenities as well as the home itself, as these can help make a decision for someone who is yet to make up their mind.

Checking tenants

So you've bought the property you want to let out, and you will be keen to start making some of that money back by bringing in a tenant to live in your new property.

However, have you checked out all the relevant information about them first? There are any number of different processes to go through, but it is vital not to skip over any.

At the end of the day, bringing in money is the most important part of any investment, and you can only earn if you are being paid by your tenant. Carry out credit checks to make sure that any tenants don't have a history of falling behind or being in large amounts of debt.

Other checks you will want to carry out will include the likes of proof of employment, to make sure someone has means to pay and references from past landlords. You might also want to ask for a guarantor who is legally responsible for their rent if they should fail to meet payments.

 ADNFCR-1222-ID-801592922-ADNFCR

Cookies We use cookies to ensure that we give you the best experience on our website. To find out more about our cookies policy, see our cookies policy here or in the footer.