You may be aware that Brexit and coronavirus have made it difficult for tenants to find good quality London property to rent. Although many people left the city for a lifestyle change in the countryside, the trend is shifting. Over the past few months, the demand for rentals has significantly increased. The reason for this is that people are looking to return to London. Plus, domestic and international students are returning to campus. What’s more, the type of rental property is limited as most tenants are searching for the same sort of property… a place with enough space to work from home with a garden or terrace. Finally, thousands of people have lost their jobs, had their income reduced or lost their homes during the pandemic. Now they are struggling to find a suitable home to rent within their budget. What’s the solution to this housing crisis? Introducing the Reka […]
property management
The 7-Step Guide to Being a Responsible Property Manager
Whether you are a new landlord, or if you have owned property for years… it’s good to know your property management responsibilities. That’s why we have put together our 7-step guide to be a responsible property manager. The Essentials of Property Management Property management is about taking care of the investment property to ensure you maximise your rental return. This involves the following activities: Setting rent at the market price Screening tenants to ensure they’re suitable Collecting rent from tenants Keeping tenant vacancy rates low Providing maintenance and repairs to ensure the property is safe Consistent communication with tenants Managing the income and expenses associated with the property 7-Step Guide to be a Responsible Property Manager Below are the key steps you need to be aware of as a Property Manager: Step 1: Screening potential tenants You need to ensure that you use a rigorous screening process to find the best […]
The Beginners Guide to Converting Your Property into an HMO
If you are considering converting your current property into an HMO to increase your rental income while providing more people with affordable accommodation, here’s how to do it. Step 1: Plan First Before you consider converting your property to an HMO, check that it is in the right location for an HMO. Ideally, your property should be in a busy student area or close to good transport connections to attract tenants. Step 2: HMO Licensing When you convert your property to an HMO, you’ll need an HMO licence to ensure that the property is safe and compliant. We recommend that you contact your local council before planning your conversion to find out what you need to include in a compliant HMO property. If you want assistance with your application, you can talk to us about our HMO Licensing service. This service includes identifying what is needed in an HMO property […]
The Best Places to Rent in London
If you’re considering renting in London, it can be challenging to decide where the best place is to suit your lifestyle. Do you want to be close to public transport? Do you want a share-house accommodation to meet new friends? Do you have a family? Or do you need something that suits your pets? To help you decide, here are the best places to rent in London, based on your lifestyle, family situation, hobbies, and budget. If you are on a budget: The average rent in London is currently £2,892 per month. Affordable rent is anything below £1,200 to £1,500 per month. The following boroughs have quality places to rent in the affordable range: Sutton – with average rental prices of £1,405 Croydon – with average rental prices of £1,375 Barking – with average rental prices of £1,305 If you are a young professional: Young professionals have a variety of […]
Why is the UK’s Property Market Heating up?
The good news for investors and landlords is that the UK property market is heating up. However, to better understand why this is happening now and what is the future trend, we have investigated current market trends and future property predictions. Here’s our summary. UK Housing prices are growing at the fastest rate in 17 years, with all regions picking up. Although we are in the middle of a global pandemic, property prices remain high. We have seen that at the start of the pandemic, the property market was put on pause. Now we are seeing sales surging, with the average sale price of a home in England increasing by 10.2% since March 2020. People have reassessed their lifestyle and work situations while they have been forced to stay home. We see a trend that people want to continue to have the flexibility to work from home in comfort. What’s […]
What Will the HMO Market Look Like, Post-COVID?
As a landlord, you are probably aware that more people than ever rent a property rather than own. This is due to affordability, lifestyle choices and wanting to free up income for investment opportunities. If you’re an HMO owner, then the pandemic has likely impacted you with extra commercial cleaning to common areas, undertaking socially distanced property inspections and dealing with changed eviction notice periods. We believe HMOs are still a solid investment, even during COVID times, as they are an attractive accommodation choice for people wanting shared houses. However, its interesting to see what the HMO market will look like, post-COVID. Below we’ve listed three trends that may impact the HMO market post-COVID. Trend 1: Working from home Working from home has been an ongoing trend during the pandemic with attitudes regarding working from home improving substantially. One question you may be thinking, is whether most people will continue to […]
Brexit: what is the impact on the property market?
Now that Brexit’s uncertainty is behind us, we have collated our research to summarise the impact of Brexit on the property market. What we’ve found are positive signs for property investors. Post-Brexit Factors that Impact Property Investors Low-Interest Rates Remain Competitive The Bank of England has reduced the base interest rate to the lowest it has ever been in UK history. The 0.1% rate was chosen to help stimulate the economy after the impacts of the COVID-19 pandemic. This low rate will benefit property investors, first-time homebuyers and people who want to remortgage their home as we depart the EU. First-Time Homebuyers The record-low interest rate is attracting first-time buyers to get started in the property market. They have the benefit of being exempt from paying stamp duty (for property under £300,000). With more homebuyers coming onto the market, this stimulates the property market and gives confidence to sellers and […]
Technology Changes Impacting Property Management
COVID has brought about unprecedented challenges. However, some changes have had far-reaching benefits to property managers, landlords and prospective tenants. Here we share some technology changes that we have implemented in property management. Zoom Meetings With physical restrictions and lockdowns, most people have gotten used to using Zoom calls to connect with colleagues, family, and friends. Zoom calls allow you to stay in touch, see people and be connected. It is a great tool for work/life balance, which is why we find it beneficial for rental inspections. We do this one-on-one with the prospective tenant, so they can ask questions and see areas they are particularly interested in. The prospective tenant jumps onto the call, and we show them around the property – walking them into each room, opening cupboards and looking under furniture. Not only does this ensure social distancing, but it also means the prospective tenant can see […]
Pros and Cons for the Rent2Rent Strategy
There has been media speculation recently about whether Rent2Rent is a feasible investment option. We’ve collated information to bring you the pro’s and con’s of Rent2Rent so you can decide. What is Rent2Rent? Rent-2-Rent is when a property is let on a single let basis to one person (say the head-tenant) who has been given the right to sub-let some or all of the rooms, by the landlord. Rent2rent companies or head tenant will probably live somewhere else and will have the responsibility to sub-let the rooms to separate tenants, usually four or less. They will be responsible for paying the property’s single let rent and the bills. They will make profit by pocketing the difference. The Rent2rent or head-tenant provides the landlord with a guaranteed rent, meaning that even if the property is vacant, they will be responsible to pay the agreed letting amount to the landlord. Why would […]
How To Help Our Frontline Workers
In addition, the NHS is running a recruiting campaign to encourage more overseas nurses to come to the UK to help during this COVID pandemic. This means there are thousands of key workers that may need somewhere to rent. At Reka Property Management, we offer discounts to key workers. This includes reduced rent, discounted property management fees, and savings on HMO related projects. It is our way of saying thank you and offering support to our key workers. As landlords, you are in a unique position to help and support our frontline workers, while ensuring you receive rent. The property market is quiet in some HMO areas due to COVID restrictions, lifestyle changes and loss of work. This has resulted in an increase in vacant HMO rooms. If you are struggling to fill your rooms during the pandemic, then we recommend the following: 1. Offer Discounted Rent One way to […]
