Should You Work With a Letting Agent as a Landlord?
Many Landlords are now considering working with a letting agent & property management company as the phase one introduction of the Renters Rights Act has been implemented.
Depending on your situation, working with a letting agent can be a great way to help take things off your plate, as well as saving time and stress.
If you’re wondering what a letting agent does and whether you should work with one, here’s everything you need to know to help you decide, and whether it’s the right move for you.
What Do Letting Agents Do?
Letting agents can do different things for you depending on the amount of help you want or need. Landlord services are often packaged into three categories. You can give an agent a portion of the on-going property management responsibilities, none of them, or the entire thing!
Typically, letting agents can:
- Advertise your property & find tenants for you.
This can be a great way to save you bundles of time and benefit from the expertise and experience of a professional letting agent, ensuring you have the best tenant available and that you’re compliant from the get go. If you employ a letting agent to find you a tenant, you should expect that they will do everything up to the point where the tenancy begins and the tenants have been given possession of the property. From marketing & advertising, handling enquiries, carrying out viewings, obtaining references and so on.
Unless you’ve instructed them otherwise, you should be kept updated & involved in the tenant selection process, receiving advice that’s in your best interest and in accordance with your criteria (within the boundaries of the law obviously)
Most letting agents will detail what they do, what’s included/excluded or available by additional charge, within their terms & conditions. It’s always best to have this conversation and information upfront and make sure you’re clear on what your agent will do and provide.
- Collect Rent.
If you’d rather keep a professional boundary as far as finances go, then opting for a rent collection service can do just that. Think of your agent as a buffer, between you and your tenants. This can be especially helpful if you’re uncomfortable discussing money, or if things could get a little too heated should there be a slight delay in payment being received.
- Full Management.
This one is for those who want to be a Landlord without the day to day “landlording”. A letting agent/property management company will make sure that the terms of the tenancy are being adhered to, that your property is being looked after and ensuring that you and your property remain compliant with laws, rules, regulations and legislation. Typically if you use full management services, you wouldn’t have direct contact with the tenant as your agent works for you and will be your “middle-man”, dealing with tenant questions & queries, rent payments, regular inspections, reactive and pro-active maintenance; repairs & safety compliance as well as handling the end of tenancy process.
When, and Why Should You Manage a Property Yourself?
Managing a property yourself could be an option to consider if you’re looking to keep monthly outgoings to a minimum and you have both the time & knowledge to deal with any queries, issues, repairs and so on.
One of the biggest things that landlords can underestimate is how much you need to know, and when & how to apply that knowledge to make sure you’re acting appropriately and in accordance with the law.
If you do decide to self-manage, you’ll need to make sure you’re up to speed on the latest legislation and are able to keep yourself compliant & up to date throughout the course of the tenancy.
As with most things in life, people work differently. They have ways of doing things that may not always be how you would approach something. If you think you’d have a hard time “letting go” or could be tempted to micro-manage your agent’s every move, you may be more suited to the DIY route.
If you find it’s too much during the course of the tenancy, you can always change your mind and employ a letting agent to take over management for you during an on-going tenancy.
What Next?
If working with a letting agent sounds like the right choice for you, we’ve got you covered! At Property23 we provide expert letting agent and property management services, so you can be as hands-on or hands-off as you like.
Get in touch to find out more.
Call us on 01524 969778 or email hello@property23.co.uk