Finders Keepers: A Landlord's Guide to Attracting (and Keeping) Tenants

Now that you've embarked on your buy-to-let journey with a property securely under your belt, it's time to take that all important next step of finding (and keeping) suitable tenants.

! First things first... although you're probably raring to go it's imperative that before you start marketing your rental property you ensure that it (and you, as landlord) complies with all the legal obligations. !

A spot of detective work

Before you get going, check out your competition. Fortunately, the internet makes this a much easier task. Ask yourself the following questions:

• How much competition is there?
• How are other landlords marketing their buy-to-let properties?
• What are other landlords charging for similar properties?

Make your mark

Make your property known. There are a number of ways you can market your property. The more methods you use the more tenants you are likely to attract. The following ideas may be of some assistance.

• Use free internet sites, for example Gumtree.
• Take advantage of social networking sites such as Facebook, Twitter, MySpace - check whether you require a licence first and if you're using a letting agent ensure you have their permission.
• Advertise in local newspapers and other local publications, for example parish magazines.
• Place adverts in local shops - newsagents, post offices, etc.
• Hire letting agents - keep tabs on them to ensure they're actively marketing your property.
• Make the most of word of mouth - friends, family, neighbours - use them!

Handy 'How To' Hints: Advertising

• Make your title clear, concise, accurate and appealing.
• Use high resolution photos of the most attractive rooms and the exterior.
• Provide a clear description - rent, rooms, responsibilities, condition of property, other features (parking, garage, garden, etc.).
• Give relevant contact details - email and telephone numbers.
• Keep information up to date.
• If you're using the internet, check that your advert is 'live' and refresh regularly

Questions to ask letting agents

1. Is the letting agent a member of a professional body such as The Association of Residential Letting Agents, The National Association of Estate Agents or The Royal Institute of Chartered Surveyors?
2. How does the letting agent find tenants?
3. Who will maintain the property?
4. What service packages does the letting agent provide?
5. What charges will be incurred?

Viewings

The essential thing is to be available. On the viewing day provide clear and relevant information as to the terms of the tenancy, responsibilities and obligations. It's also helpful if you know your property. Make sure you can answer potential tenants' questions such as:

• When is bin collection day?
• What council tax band is the property in and how much is it?
• Who are the current utility suppliers?
• Where's the nearest...shop, school, sports centre, doctors' surgery, bus stop, etc?

Property presentation

Ensure that your property - inside and out - is clean and odour free. Don't forget to ensure that the garden is maintained.

Rent

Ensure the required rent is realistic and review if necessary.

Offer a carrot...

Consider ways of encouraging tenants to snap up your property. What incentives could you offer? Essentially it will depend on the type of tenant you wish to attract but think about cable or satellite TV or perhaps including particular utility bills in the rent.

Know your tenants

Before you accept tenants, make sure you get as clear a picture as possible as to who's moving into your property.

• Check your tenants' past and current employment status.
• Take up references from previous landlords.
• Arrange for a 3rd party to carry out a credit check.

Practicalities

1. Decision - make an informed decision as to whether you'll accept the tenants. Don't be scared to base your decision on instinct (although as a landlord you'll need to arm yourself with some knowledge of discrimination legislation).
2. Contact details - exchange telephone numbers and email addresses.
3. Deposit and payment - request a deposit and be clear about the payment required, method of payment and due dates. N.B. You are required to pay the deposit into an approved deposit protection scheme.
4. Paperwork - ensure the requisite paperwork is in order before the tenancy starts. For example, tenancy agreements, inventory, guarantor forms, gas and electricity safety certificates.
5. Dates - arrange moving in dates and contact your tenants a few days beforehand to check everything is still going to plan.
6. Keys - give one set to the tenants and retain two for yourself. Don't hand them over until you've received payment, signed the relevant agreements and been through the inventory.
7. Tour - give your tenants a tour of the property and inform them of essential information such as how to work alarms and appliances.
8. Insurance - ensure that you have adequate Landlord Insurance in place and that your tenants have contents cover.
9. Register - ask your tenants to inform relevant authorities and utility suppliers of their tenancy. Follow this up a few weeks later to ensure it's been done.

Being a successful landlord is all down to planning. If you follow the above steps and ensure your tenants are happy then you're more likely to have a stress-free time and reap the rewards on your property investment.

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