In a bid to cut costs and save money, some landlords may decide to manage their own buy-to-let properties rather than seeking the expertise of a professional. But, more often than not, it ends up costing more time and money: Yes; this is a case where cheap become expensive.
To put the notion into perspective, let’s look at what responsibilities you will have to undertake as a self-managed buy-to-let landlord. As the manager of your own property...
You will have to serve any notices yourself, which can fall down very quickly if you do not get your dates right. This, in turn, could cost further months in loss of rent.
You will be solely responsible for contract renewals.
You will be accountable for all maintenance issues.
You will be responsible for the checkout.
You will have to deal with any tenant deposit disputes which is a task almost akin to getting a legal case to trial, and any mistakes will invariably lean the adjudicator towards the tenant.
You will have around 160 different pieces of stringent property letting legislation and regulation to comply with. Time is money, and ignorance of the law can be very expensive, indeed.
On the whole, tenants are more inclined to rent a property from a managing agent as opposed to a landlord managing a property as there is a larger support network of people to help them in their time of need. Put simply, some tenants are concerned that if you’re a self-managed landlord and you’re unavailable, they could be stuck with a maintenance issue or a similar crisis until they can gain contact with you - this does put potential tenants off.
Plus, all agents have a duty of care to the tenant, to disclose who is managing the property at hand - and many professional tenants steer clear of landlord managed properties, often due to a raft of bad experiences during their student days.
As a result of an enhanced trust in accredited property management companies, agent managed properties tend to lead to longer tenancies, resulting in fewer void periods, peace of mind and a reliable revenue stream that will make it far easier for you to sleep at night.
Taking on the mantle of property manager may seem attractive at first, but it won’t be long before you start to realise that you may have bitten off more than you can chew.
Cheap can end up becoming expensive and if you’re a landlord looking to make your mark in North Staffordshire or South Cheshire, we can help. Not only do we boast a niche local knowledge unlike any other agent but we have the talent, resources and expertise to ensure you the best rent for your property while offering a property management service that is second to none.