With students across Britain looking to secure accommodation ahead of the next academic year, many are looking for all-inclusive rent packages.
These packages are growing in popularity and are a very successful way of attracting tenants. A majority of students will want to know exactly how much they are paying in bills, so they can budget for some more nights out!
You do not want to run the risk of having to claim on your unoccupied property insurance, therefore you will need to think about creating a rent programme that will appeal to your target market.
Though a successful method of attracting tenants, all-inclusive rent packages can be risky for landlords, with profits potentially affected by spiralling energy bills.
With this in mind, you will want to do us much as you can to keep costs down and keep your profits up!
If you are or are considering becoming a student landlord and are thinking of including all-inclusive bills, follow these tips to keep your investment in the red.
- Get an A rating-Replacing your boiler is not a cheap job, but it could save you a substantial sum in the long run. By switching a G energy-efficiency rated boiler for an A-rated one, you can save up to £340 per year on your bills. Your heating costs amount to around 60% of the average property’s energy bills, so it makes sense to install the most energy-efficient boiler possible.
- Gain shower power-Fitting the right shower-head can also save you lots of money on your energy bills. Should your shower take hot water directly from a boiler or hot tank, a water efficient shower head can greatly cut hot water usage.
- Bleed for the cause-Air pockets in your radiators greatly reduce their efficiency, which means your boiler will have to be on for longer in order to sufficiently heat rooms. Student tenants with all-inclusive rent packages will leave their heating on for longer, so it is imperative to bleed your radiator in order to save money on your overall profit.
- Service is key-Make sure you get your boiler serviced every year and ensure it is working to the manufacturers guarantee. This will not only heighten the life of the boiler but will cut down on expensive repairs. A service engineer will get rid of any soot which could be coating the surfaces and will improve air-to-fuel combustion.
- Flush it out-If your boiler either cuts out, starts to make a banging noise, or if the water shifts between hot and cold, then it sounds as if it could do with a power flush! A build-up of grime and dirt can cause blockages, making it more difficult for water to circulate. This means that the boiler has to stay on for longer, meaning more money is lost.
- Dress up your home-By insulating your investment property’s tanks, pipes and radiators, you can cut energy bills significantly. Reports suggest that fitting a standard jacket around the boiler cylinder could slash heat loss by 75%.
- Don’t pull a draughty one-Keep the heat inside your property by fitting draught excluders to all doors and windows. It is estimated that by draught proofing your home, you can save around 10% on your yearly energy bill.
- Be thermo-sensible-Another sensible and affordable way to save money on your investment is to install a programmable thermostat. These can be switched off when tenants are not in the property in the day, therefore can cut wasted usage.
- Have a lightbulb moment-A very easy way of saving money on your energy bills is to install energy efficient lightbulbs throughout your home. Compact Fluorescent Lamps offer the biggest money-saving option for everyday lighting. It is thought that a traditional light bulb with a CFL can save nearly £50 in the bulb’s lifetime. When you add this up, savings for an entire property could be significant.