January 11, 2008

Using a managing agent

Deciding to rent out a property is a huge thing to be undertaking, but for some it’s a business and for others it is a necessity to keep the mortgage payments going, while they are away be it for work or just a long holiday.

This is where the question of the letting agent comes into play, they will manage the whole process for you, right from the word go. But there is a cost to this service which can be anything between ten and fifteen per cent, initially this may not seem a lot but over the year it can work out at a sizable figure off of the income brought in.

It is a hard choice for the landlord to make, and there are two ways of looking at it. One is that the house could remain empty or the tenants may not pay the rent if you are doing it yourself, whereas with a letting agent, they will get a tenant and collect the rent, but will charge you. It’s a tricky choice, although losing fifteen per cent is better than leaving the house empty, isn’t it?

Source [Rent Management]