As it’s the New Year, we wanted to start off with some positivity for landlords and tenants. Have you ever thought about the benefits of getting to know your tenants?
We understand that this takes an investment of time, when you are bound to have many other jobs and commitments to attend to, but it is worth considering.
Online letting agency Upad has released data from its latest survey, showing that a major regret that landlords have had, when they first started in the industry, was not meeting with prospective tenants and vetting them. This is according to 12% of the landlords questioned. 10% also responded that they also regretted failing to appreciate the value of tenant referencing checks.
James Davis, a portfolio landlord and Founder of Upad, has said: “I’ve always promoted the value in getting to meet a prospective tenant face-to-face and the fact that almost a quarter of the landlords we questioned regret not investing the time in properly doing so, highlights what an important part of letting a property this is.
“There are many aspects of a prospective tenant’s character that can be confirmed via legal and financial checks, but traits such as punctuality, appearance and willingness to be honest and open, can only really be ascertained via a good old-fashioned face-to-face conversation.
“Indeed, our own data has previously demonstrated that over 90% of tenants actually like to get to meet their landlord too, so it’s a win-win situation, which simply requires a small investment of your time.”
Upad’s research also found that 11% believe they had misjudged the rental value of their property when they first started out in the buy-to-let market. 27% felt that the best advice a new landlord could receive is to do their sums and ensure that they are prepared for possible unforeseen financial circumstances.
Looking ahead to 2019, a third of those questioned believe that the ongoing taxation changes might prove to be their greatest cause for concern.
Davis also commented: “There’s no denying that the days of having enough spare cash to invest in an investment property and then sitting back to watch the rent roll in are, for most landlords at least, well and truly over.
“Issues relating to taxation, profitability and overall affordability, not to mention planning for unforeseen circumstances, play on all but the most nonchalant landlord’s minds.
“However, the fact that forging a genuine connection with tenants continues to stand above financial concerns for experienced landlords serves to demonstrate the extent to which investment in the buy-to-let market remains a long-term strategy, rather than simply a quick win. That’s also something that will be well worth remembering as we enter a year which is likely to bring much more of the unexpected.”