Top 10 Tips on being a successful landlord. Aimed at landlords thinking about letting a property for the first time, whether that is their own home or an investment property.

1. Being a SuccessfulBeing a Successful
Landlord
26 07 201726.07.2017
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2. Tips on letting property
Dan Channer
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3. Context and caveatContext and caveat
• We’re agents…so that’s our perspective
• It goes without saying we can do this allIt goes without saying we can do this all
for you….
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4. 1 Be Realistic1. Be Realistic
Being a landlord isn’t necessarily a passive investment, nor is it a get-rich-quick scheme. It
can be like a part-time job particularly if you opt to manage the property yourselfcan be like a part-time job, particularly if you opt to manage the property yourself.
Think of being a landlord as part of your overall investment strategy and be realistic about
your goals - most landlords aim for about a 5% return on their investments.
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5. 2 How to start?2. How to start?
Consider the tax structure of becoming a landlord; should you start on your own or as a
company? Also don’t underestimate the costs such as specific landlord insurance incomecompany? Also, don t underestimate the costs such as specific landlord insurance, income
tax and preparing the property. Costs also include paying council tax and utility bills for the
property if it’s empty.
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6. 3 The Property in Question3. The Property in Question
Factors to consider when buying a property include: location, type of property, whether it
needs an HMO licence, the yield, whether there is potential to increase the value.
If you already own the property you need to obtain a ‘consent to let’ from your mortgage
provider. At Finders Keepers, many of our landlords (particularly outside of Oxford) live
near their rental property.
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7. 4. Realistic valuation and
service.
Get everything in order. Make sure you get an honest valuation on what the maximum rent
should be. Don’t be flattered by over-inflated rent quotes – in our experience these
properties tend to sit on the market before dropping to a more realistic rent (all while you
have been paying for the empty property). Also ensure you choose the right service level
for you based on how involved you want to be with managing the tenancy.
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8. 5 What is best?5. What is best?
The decision about furnishing the property or not really depends on the target market,
which in turn is dictated by the location of the property. For example, properties in Oxford
tend to let better when furnished and outside of Oxford are better unfurnished. If
furnishing, you should keep the colours fairly neutral, avoiding your own personal tastes,
and use robust furniture.
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9. 6. What does the best tenant
look like?
Who make the best tenants? Couples? Sharers? Families? There is no ‘best’ category.
We advise getting to know your applicants (a well matched applicant will look after the
property well) and being flexible. We would particularly recommend being flexible around
pets where appropriate as you could be cutting out a large section of your target marketpets where appropriate as you could be cutting out a large section of your target market.
Thorough referencing (including proof of earnings and employment, credit history and
previous landlord) will help you decide.
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10. 7 Breaking the law7. Breaking the law
Compliance is of the utmost importance. Some of the areas to consider are: Energy
Performance Certificates, deposit registration, Right to Rent, Housing Act and Assured
Shorthold Tenancies, gas safety, electrical safety, legionella, carbon monoxide,
HMOs……and so much more. An agent takes away the day-to-day worries of looking after
your property and can ensure you comply with ever changing regulations.
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11. 8. Money, money, money8. Money, money, money
Properties require investment – they need repairs ongoing. Not every year but over time
h d d hi di d b ll d O f hi d ifithey do, and this expenditure needs to be controlled. On top of this you need specific
landlord insurance, the tenant’s deposit needs to be protected and taxes need to be paid.
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12. 9 Don’t let it & forget it9. Don t let it & forget it
A tenant will let you know about an inconvenience to them, but they might not necessarily
let you know about something like broken rain gutters which can produce major problems
down the road. You need to manage the investment, including checking the tenant in and
out, dealing with repairs in a timely manner (as well as being available out of hours) and
inspecting the property.
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13. 10 Be prepared10. Be prepared
Without being melodramatic, even if you follow all of these steps issues can still crop up
so we have to remember the Scott Motto “Always prepared” Whether you decide toso we have to remember the Scott Motto Always prepared . Whether you decide to
manage the property yourself or use Finders Keepers you should be prepared to spend as
much or as little of your time as required on being a landlord.
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14. Local market update
Paul Rushworth & Richard Massingham
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15. Local market updateLocal market update
• What has let well
• Successful acquisitions
C t t iti• Current opportunities
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16. What let well: Flanders Close, Stratton Park, £900pcm
One landlord bought seven apartments in Flanders Close. We let two of the 1 bedroom apartments
(subject to contract ) before completion! The reason they let so quickly was the location close to(subject to contract ) before completion! The reason they let so quickly was the location, close to
Bicester Village train station and a short walk to the town centre and Bicester Village itself. There is
also a general scarcity of smartly presented smaller 1 bedroom properties in the area.
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17. What let well: Westbury Court, Central Bicester, from £1,300 pcm
The fantastic 3 bedroom penthouse apartment with balcony let on first viewing to a lovely American
couple Despite no parking with the apartment the location and views sold it and we were able to helpcouple. Despite no parking with the apartment, the location and views sold it and we were able to help
source parking through the local council. We have gone on to let seven apartments in this mixed use
development of 17 apartments and 4 commercial units right in the heart of the town centre.
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18. What let well: Blenheim Drive, Oxford, £4,500 pcm
The owner started to renovate their house and then had to relocate abroad for work.
Showing the property amid refurbishment work was challenging but we were workingShowing the property amid refurbishment work was challenging, but we were working
with a family moving to Oxford from London and we knew it would be perfect for them.
They viewed it, loved it and it let off the market before building work was finished.
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19. What let well: Orchard Road, Oxford, £1,200 pcm
The landlord was relocating and wanted to let out his 3 bedroom terraced house in Botley. The
property was presenting very well and the furniture, which we advised him to keep, was in good
diti d b t h f th t l k t W li t d th t t £1200 d it l tcondition and robust enough for the rental market. We listed the property at £1200 pcm and it let
within two weeks. Botley is very much an up and coming area for future investments and
although it doesn’t command the same rents as the city, the yields are still good.
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20. What let well: Mortimer Drive, Marston, £995 pcm
This 2 bedroom ground floor apartment in Marston had previously been let out at £850
and was then upgraded (including furnishing by Decorum Interiors). It was listed again at
£995 and let on the first viewing to a good professional couple. This is a reasonably
priced area, close to good bus links with easy access in to city centre, Headington &
Summertown.
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21. Successful acquisitions: Westgate, Oxford, acquired off-plan
A good investment as there is restricted housing availability in the city centre.
Although we didn’t get a discount for our investors we reserved eight 1 bedroomAlthough we didn t get a discount for our investors, we reserved eight 1 bedroom
apartments on the first release, off-plan on the launch day. Prices then increased
substantially on the further two releases; capital gain before completion!
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22. Successful acquisitions: Barclay House, Summertown, capital gain
These high quality apartments were converted from former offices as part of the Commercial to Residential
t h A i hil did t t di t h i t t i itigovernment scheme. Again, while we did not get a discount on purchase, prices crept up post-acquisition.
Investment is about a medium to longer term plan and as Summertown evolves the values here will increase. We
were one of the first agents to acquire for investment, purchasing four 1 bedroom apartments – each client had
differing reasons for acquiring ranging from future proofing capital to income to gifting for family in due course.
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23. Successful acquisitions: Stratton Park, spreading risk
An existing client wanted to sell his house as it needed substantial capital investment. We advised
him and he went on to buy two brand new 2 bedroom houses on the Stratton Park development athim and he went on to buy two brand new 2 bedroom houses on the Stratton Park development at
a higher return than the bigger house. The two houses were straightforward to let (both at
£1,200pcm unfurnished) and the landlord is achieving 5% gross yields and spreading his risk.
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24. Successful acquisitions: Upper Heyford, 5% gross yield
We gave a lot of advice to an investor who bought two brand new 3 bedroom houses on the
f f £1 3Upper Heyford development. Both have been let at rents of £1,375 pcm and they are seeing
yields of around 5% gross.
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25. wwwwCurrent opportunities: Kingsmere, 2,500 houses
There is much development going on around
Bicester. Kingsmere developments are the most
interesting at the moment with around 2500 housesinteresting at the moment with around 2500 houses
and we are in regular contact with developers.
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26. Current opportunities: Kingsmere, 2,500 houses
We regularly send out price lists to registeredg y p g
investors. To be added to this mailing list please
email maxine.allington@finderskeepers.co.uk
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27. Current opportunities: Venneit Close, Oxford, ‘Going concern’
While there isn’t the same amount of development inside the ring road as outside, what we can
offer is investing in properties when landlords want to sell. One example is a refurbished 2
bedroom 2 bathroom apartment in Venneit Close walking distance of the city and universitybedroom, 2 bathroom apartment in Venneit Close – walking distance of the city and university.
This is an ideal investment, with compliant furnishings and a recently extended tenancy. Rental
income immediately upon completion – no delay, no refurbishment expenses.
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28. Current opportunities: St Clements, Oxford, excellent location
A 2 bedroom apartment built by Thomas Homes on the edge of St Clements
overlooking open park space and within easy walking distance of Oxford and
on the main bus route to London – easy access to Brookes and Headington
Hospitals. This and other opportunities are available from our Inspiredosp ta s s a d ot e oppo tu t es a e a a ab e o ou sp ed
Investment team.
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29. Thank you
Investment 01865 302308
Refurbishment 01865 302350Refurbishment 01865 302350
Letting & Management 01865 311011
Mortgages 07866 745375
Furnishing 01865 302339u s g 0 865 30 339
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