8 things every landlord should know

There are a whole host of things every landlord should know, yet many opt to set up their rental property and find a tenant as quickly as possible, disregarding the essential information.
Whether you've just bought your first buy-to-let or you already have years of experience and this is your fifth buy-to-let property, being a landlord is a role where you can always keep learning new things.
Other than keeping abreast of what is happening in the property market, you also need to ensure that you are following all the latest rules, legislations and requirements for landlords.

At Giraffe Residential, we have years of experience working with landlords and dealing with the property market, so we have pretty much seen it all!

To help you keep on top of all that you need to be aware of, we have created a handy list of the eight most essential things that every landlord should know.

1. Remain aware of what is happening in the property market

The conditions of the housing market are continually changing. Primarily, a good landlord should keep an eye on property market conditions.

This will help inform you on how to market your property, as well as give you an idea of what price you should be expecting for it. You will also have a much better idea of the competition if you regularly do your market research.

2. Understand the facilities in your property's location

Knowing the local neighbourhood that your property is located in can significantly affect how well you position your property. For instance, here in the North East, there are some excellent schools, beaches & attraction points which all help to attract tenants!

3. Ensure that your property is up to scratch

When you rent out a property, you need to ensure that it meets certain requirements. You must ensure that it is a liveable space with a safe environment for any tenants that move in. Some of the things you need to consider are:

• Does it have the necessary smoke alarms?
• Are there any safety hazards?
• Do you have the statutory safety certificates in place?

4. Work out your taxes

Before you start getting rent paid into your bank account, you should register with HMRC to ensure that you are taxed accordingly.

It is important to mention too that there are different tax rules for landlords depending on the type of property you own.

5. Set aside some money for emergency funds

As a landlord, you should always be prepared. To remain within your budget, set aside a small amount in case anything goes wrong. For example, if your property is unexpectedly vacant for a brief period, you should ensure that you can cover your mortgage payments without rental income. 

Set some money aside for any unexpected issues as well. No matter how new a property is, wear, tear, and weather conditions may lead to the need for maintenance and repairs.

6. Comply with all legal requirements

There are many legal requirements that you must follow as a landlord to ensure that your tenants are safe. If you, as a landlord, do not follow the legal requirement then you can face fines and penalties. Some legal requirements include:

• Gas Safety (Installation and Use) Regulations 1998 and Subsequent Amendments. These state that all gas appliances must be safe and checked annually.
• The Smoke and Carbon Monoxide Alarm (England) Regulations 2015. The landlord is responsible for ensuring that their property is fitted with working smoke alarms and carbon monoxide alarms.
• The Electrical Safety Standards in the Private Rented Sector (England) Regulations 2020. Under these regulations, the landlord is required to make sure that all electrical appliances in the property are safe to use.
• EPC (Energy Performance Certificate) & MEES (Minimum Energy Efficiency Standards). These state that all landlords must provide a valid EPC certificate to their prospective tenants.

It is rare, but sometimes landlords also experience problems with tenants. Perhaps it is late rent or creating problems for other tenants. Without the relevant experience, dealing with situations like this can be challenging.

7. Check whether your local council requires any specific licences

Contact your local council to check whether any other licenses are needed before you rent out your property. Some councils will have specific mandatory rules and regulations beyond the ones mentioned above.

8. Learn each tenancy agreement like the back of your hand

Becoming a landlord has plenty of benefits, especially when you have fantastic tenants. However, even after conducting a detailed risk assessment and deeming them as suitable, not every tenant is stress-free!

When you are faced with a situation where tenants in one of your rental properties are causing you issues, it is crucial that you know the tenancy agreement inside out to know what your options are.

Whether it is the notice period, the tenancy deposit protection scheme, rent arrears, or anything in between, having this information is crucial for ensuring you are acting firmly but fairly.

If you are a landlord and are struggling on keeping up to date with the most recent legislations, conducting regular property inspections or devising new documents & tenancy agreements, then Giraffe Residential are here to help! We offer a ‘Tenancy Management Service’ where we provide landlords with total peace of mind that their tenancy is being professionally looked after.