None of us like to pay more than we have to for something, so how can you save money on running your let property business without doing damage to your reputation?
Here are ideas on how to cut your spending without losing your credibility …
1. Find good tenants
This may sound a bit silly, but the better a tenant is, the more money you will save. A good tenant, who pays their rent on time, keeps your property clean and tidy, and who isn’t a hassle, is worth their weight in gold.
Do you automatically renew your landlord insurance every year without checking out what other policies are on offer? Then next time, don’t! Shopping around for your cover and comparing options may not only lead you to a more cost-effective policy, but potentially one with more attractive policy features and benefits too.
It also makes sense to take stock of your annual policy to check whether you need different cover options if something has changed.
On the subject of insurance, while there is an annual outlay, rent guarantee insurance may be something worth considering. This offers guaranteed rent for up to 6 months (or £24,000) should a tenant default, as well helping with legal fees for taking action against the tenant.
3. Keeping on top of issues
Keeping on top of the maintenance of your property may sound obvious, but how many times have you planned to clear the gutters or fix that dripping tap, only to find you have something ‘more important’ to do?
Maintaining your property will not only nip potential problems in the bud, but is also typically a stipulation of your landlord insurance cover
4. Swap carpets for laminate
Again, an initial outlay here, but then, as months pass, you’ll start to see savings on the cost of replacing or cleaning the carpets in your property.
Also, for tenants that do have pets, laminate flooring is harder for fleas and other nasties to live on. So when your tenant eventually vacates, there is less chance of your next tenant having fleas in-situ!
5. Buy good quality furnishings
If yours is furnished let, be realistic about the sort of use and wear your furniture will be getting. So, don’t buy cheap, flimsy furnishings that will not stand the test of time and need regular replacement.
Instead, invest in more durable, sturdy bits and pieces that are built to withstand normal family or student life.
6. Stay legal
Avoid fines by making sure that you fulfil all your legal obligations as a landlord. This includes everything from having your annual GasSafe registered check to making sure that you carry out your Right To Rent checks.
7. Are you claiming all your allowable expenses?
Check that you are claiming all your allowable expenses. If you are unsure, speak to your accountant or find out more online.
Hopefully these seven ideas have given you some food for thought. Do you have any of your own money saving tips? Then please let us know.