Property investment is a way to accumulate wealth. Absolutely it is. It’s a fantastic route to do building a reliable income stream, that will support you and your family for the long-term.
It can be a full-time job or a hands-off investment, depending on whether you choose to self-manage or hire a property management agent. Regardless of your reasons for becoming a property investor, and of how hands-on or hands-off you choose to be as a landlord, there is one golden rule that we all need to keep in mind. We’re providing homes.
It sounds obvious doesn’t it? You buy a house, you find a tenant – of course you’re providing a home – but in this post we’ll explain:
- why you should keep this front and centre in your mind
- how doing so will help you prioritise the right things
- why it’s the foundation of successful property investment
We’ll also give you a litmus test you can use, to make sure you don’t under or overspend on your investment properties.
Take your responsibilities as property investors seriously
The way you do this, is by keeping the needs of your tenants, or prospective tenants, front and centre in your mind. You want to attract nice people, who’ll look after your properties for the long-term. You do that by humanising them. By asking yourself, ‘If I was getting this house ready for my grandma to move into, what would she need to be comfortable?’
The question isn’t ‘what would she want?’
This isn’t about catering to the personal tastes and desires of your tenants (any more than you need to, to stand out to prospective renters – see the video below for more on that). You don’t need to buy top-of-the range fixtures and fittings. In fact, you definitely shouldn’t do that. Overspending on kitchens, bathrooms, appliances, chandeliers(!), etc is the fastest way to turn a good investment into a waste of money.
@homesurepropertyMaking your property safe and desirable to prospective tenants is only the beginning! Follow us for regular property investment and property management advice, and get in touch for support with your investment properties homesureproperty.co.uk. Whatever stage of the property investment journey you’re at, Homesure is here for you.♬ original sound – Homesure Property
Grandma wouldn’t want you to waste your pennies! Ask yourself what she needs to be safe and comfortable, then do that.
These days, there’s a lot of legislation that will guide you on this. So much, in fact, that it’s daunting and can be difficult to stay on top of, unless you have a reliable property manager to help you conform to the various rules and guidelines. Ensuring compliance is one of the most important roles that we play, as property management agents.
As a general rule (though please don’t neglect any of the actual, legal rules of renting out property) think about making your properties habitable, safe and comfortable.
Ready for the property investment litmus test? Ask yourself the following question, in relation to every investment property you buy.
If I needed to, could I move into my own investment property tomorrow?
We understand that your investment property might not be in the area you’d choose. Ignore that fact for now. This is a hypothetical question (until it isn’t!).
If life dealt you a curve ball tomorrow, and you needed to, could you move into your rental property and be comfortable there? Is it up to a standard that you consider liveable? Is it clean, safe and suitably equipped? If the answer to any of those questions is ‘no’ address that.
Property investment is a long-term game. You can’t win, unless your tenants win. What may, ultimately, be a relatively hands-off financial investment for you is a home for someone else. People generally treat you and your property with the level of respect they receive. That’s not always true but very often it is. So, look after your tenants, provide them with a home that you’d be comfortable in and they’ll look after your investment.
@homesureproperty We’re diving back into our popular property investment advice series with the number 1 golden rule for landlords and investors. YES investment is a financial decision but it is one that impacts people’s lives and our communities. Don’t lose sight of that. Follow this sounds advice from Mark. What would your number 1 rule of property investment? Share in the comments. And, as always, ask us anything about property investment. What questions would you like us to answer in future posts? Follow us for more. #propertyinvestment #propertyinvestmentuk #propertyinvestmentadvice #landlordlife ♬ original sound – Homesure Property
Start as you mean to go on
If you’re daunted by the task ahead of you, worried that you don’t have what it takes to be a landlord, or you’re already the owner of an investment property that doesn’t pass the litmus test, let us set your mind at rest:
- If you have money to invest, you have what it takes to be a landlord – You don’t have to manage your investment yourself. You don’t have to refurbish investment properties yourself. You don’t even need to know the best areas to invest. Contact a reliable, independent property management agent like Homesure. It’s in our interest to help you make good property investment decisions! We operate a property investment consultancy service and we’ll never advise you to buy a property we wouldn’t invest in ourselves.
- If you have an portfolio that’s in need of attention, we can help – With our management switching service Homesure Switch, it’s quick and easy to move management of your properties to Homesure. You send one email, then we manage every step on the route to bringing your properties up code. If you would rather sell your portfolio, we can make that happen instead.
Let us know how we can help. Email firstname.lastname@example.org or click the banner below to take advantage of our hassle free switching service.