When you are thinking about renting out your property, you have two options: handle it yourself or hire a letting agent. Some people want to have that job of being a landlord, putting in the hard work of managing your own property while you enjoy a steady stream of income. Others may not have the knowledge or experience to handle this on their own. There are pros and cons of each approach that you will want to consider before you decide on the right approach for your needs.
The first part of this that will be addressed is learning about what a letting agent actually does. Different letting agencies offer a specific set of services, so you do need to think about what you want the agent to handle for you. This will help you do your research so you can pick the best agent for your needs. There are 2 primary types of agents: let only or full management. Let only agents only handle basic services such as markets the property, handles viewings, finding you a tenant, and vetting them. After the tenant begins residing in your property, this letting agency is done. The fees for this type of service will either be a percentage of your annual rent or a one-time fee. Full management covers everything that you will need when it comes to being a landlord, including handling your legal obligations and any necessary maintenance. These services will take money out of the rent that they collect for you.
Your other option is to handle the rental process by yourself. This can be a time consuming task, but it is far less expensive than using a letting agency. If you don’t have any other job, this is a feasible option for you since you will have the time to take care of every step of the renting process. Are you handy or know someone who can help with maintenance and repairs? According to Manjit Virdi of Redstones property management, letting agencies often handle these things for landlords so that they don’t have to worry about it, but if you have these skills you can put them to use here. Do you have more than one property? It can be hard for you to take care of the needs of each of these properties on your own without the help of a letting agency. You also need to think about your own knowledge about the rental process. If you aren’t familiar with this process, a lot could go wrong.
At the end of the day, it all depends on your own preference. However, in most cases people will benefit from hiring a letting agent to take care of the entire renting process. They will help you find the tenant, vet them, deal with collecting rent, and any other daily needs of the renting process. This can be a little bit of an investment, but sometimes it can be a good idea to pay for peace of mind. The letting agent can handle the hard work while you can just worry about collecting your money.