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Tips For Landlords On Working Out Rent Payments

One of the first tasks you will face when you decide to rent a property out is figuring out how much you want to charge your prospective tenants. It is crucial you get this right, as charging too much will mean that people just look elsewhere, whereas charging too little means you don’t get as much as you should out of the property.

While a lettings agency like Hills Estate will be able to help, it is still a good idea to follow these tips so you understand exactly what your property is worth to a tenant.

Figure Out What It Has To Offer

The first thing you need to do is consider all of the basics of the property. How many bedrooms does it have? What size are the rooms? Will you be providing the property furnished, or will the tenant have to supply their own furniture? All of these questions need to be taken into consideration, as their answers will play a role in determining how much you can charge. You also need to consider the décor and general state of the property. Tenants often won’t want to pay more for properties that don’t quite meet modern standards.

Do Your Research

Now you know what the property itself has to offer, you need to figure out what similar properties on the market are going for. The best way to check this is to go to property websites and check out the properties that are being advertised on them. Get a list of about ten or twenty that are similar to your own and then work out an average fee. Of course, you need to check out the pictures for each property as well, so you can work out what factors may have influenced the rent figure.

Consider The Location

You also need to keep the location of the property in mind. If it is near a school and provides easy access to local amenities or a town centre, you can usually feel pretty safe in charging a little more than comparable properties that are a little further afield. You may also need to consider factors like local crime rates and other issues that could adversely affect the price. Try to coma at it from the perspective of whether or not you would want to live in the property and how much you would pay yourself for the privilege.

Speak To The Professionals

All of this could be a little difficult to take in and consider if you are new to the property market, which makes it a good idea to speak to people who have more experience to find out what they think. Property management companies, like Hills Estate, will be able to provide you with further advice on the state of the market and what your property has to offer that will allow you to determine a fair rent payment. A little trial and error may be involved, but you will eventually find a fair figure that potential tenants are willing to pay.


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