Investing
in property is one of the most stable and sure-fire ways to secure a secondary stream of income, better financial security and also a healthy nest egg ready for retirement. But like any investment, a property portfolio needs constant upkeep and nurture in order to reach its full potential. If you’re thinking about investing in another London property, or you want to know how to get more out of your current portfolio, here are the 5 imperative things to remember…
Understand your responsibilities
As you will be responsible for managing a home, it’s essential to know and thoroughly understand all of your legal and ethical responsibilities, as this will be in your tenants’ best interest and your own. This means keeping up-to-date with current news and laws, as legislative changes are introduced regularly to ensure that landlords are providing good quality homes and keeping their tenants safe. When it comes to your investment, you cannot go far wrong if you’re managing within compliance of the law and fulfilling your responsibilities as a landlord. Tenants will be more inclined to stay somewhere long term if their landlord is professional and attentive to everything that is expected of them.
Reliable rent
Setting the rent price is easy to get wrong, and pricing too high could end up costing you in the long run. The key to successful property investment is to set the correct price, as generating great yields and securing responsible, long-term tenants go hand in hand. If a tenant
feels that they could find a similar home for a lower price, they aren’t likely to stick around long or make an offer in the first place, so make sure to research rental pricing in your area so that you can get a good gauge on how much you should be charging.
Know your role as landlord
As the owner of the properties in your portfolio, your role is to ensure that each one is safe to live in and in good condition. This can become a hefty task even for just one property, so you should consider whether you want to take everything on yourself or have a helping hand. The most effective way to manage a property and reign in substantial income is through the expertise and guidance of professionals. From an accountants advice on staying tax compliant to a highly rated letting agent managing the day-to-day running of your properties; having experience and dexterity on your side is invaluable as a landlord.
Reflect and review
Even if everything has been running smoothly, it’s always important to take stock and review your current strategy. Could you find a cheaper insurance package? Do any of your properties need a revamp? Is there another demographic your property could appeal to? Regular reviews will allow you to identify areas of improvement and tweak as necessary, rather than letting these issues snowball and having to restrategise altogether.
Don’t stall on repairs
Repairs and maintenance are extremely important in keeping your tenants happy and void periods at a minimum. The longer it takes to tend to a small problem, the larger and more expensive the problem will become. Save yourself stress and money by keeping on top of maintenance and setting aside funds each month to cover any unexpected issues. If your portfolio has grown substantially over the years, it’s understandable that catering to all of your tenant’s needs can feel like an impossible feat. Instead of juggling, why not enlist the help of a letting agent? They will be able to take the weight off your shoulders and nurture your investment towards even better growth.
To find out more, contact
one of our expert letting agents today
