Finding good tenants for a rental property can take a long time in addition to being a stressful job. Some homeowners believe that using a letting agent can help facilitate this process. Here are 8 compelling reasons to convince you of doing the same!
1. Advertise The Property For You
The first benefit of hiring a letting agent to fill your vacancy is that they will market the property for you. Creating a good ad takes time and experience. Letting agents have access to certain sources that you would not have if you decide to rent the property yourself. In addition to that, letting agents also have access to other letting agents. Someone in your office may have a client that would be perfect for your rental. Letting agents have access to the MLS and can use this listing service throughout the area. This means that another letting agent in the next city can see the list and contact your letting agent because they have a client who has been looking for a rental property exactly like yours.
Letting agents might also promote your property by hanging the list in their office window. This is especially beneficial if there is a lot of pedestrian traffic in the area. In addition to these exclusive marketing opportunities, a letting agent can also promote your property in traditional ways, such as online advertising. They can create ads for your property on popular online websites that can directly reach your potential tenants.
2. Schedule Visits With Potential Tenants
When you use a letting agent to fill your vacancy, they are the ones who interact with the potential tenants. They manage all the round-trip communications as well as scheduling appointments with potential tenants so that your property can be viewed. Having this responsibility completely off your plate will enable you to use that precious time in other more productive tasks. It will also avoid possible conflicts with potential tenants.
3. Show The Property For You
Another benefit of listing your rental with a letting agent is that they will physically show the property for you. If the possible tenant does not appear, it is the time of the letting agent that is wasted, not yours.
4. Large Database/Network
A large part of a letting agent’s job involves networking. They must find new clients to represent as well as potential buyers or tenants to fill out the listings they already have. Since the daily actions of a letting agent are consumed by real estate, it is possible that they encounter a possible tenant simply through their daily interactions. It is also common for a letting agent to have an extensive list of contacts to whom they send new lists.
5. Know The Market Value
A letting agent will help determine the precise price of your rental property. The letting agent you choose should have experience with the rental market in your area. He/she will observe the size and amenities of your property and compare them to three or four other people’s properties in the area. These comparable properties will be the basis of what the letting agent thinks your rental is worth. The objective is to obtain the highest possible rent, but not a price so high that the property remains in the market for months.
6. Access To Tenant Detection/Background Check
Many letting companies have subscriptions to tenant selection services. A letting agent can easily select potential tenants to determine if the information in their application is verified. Hence, you will be getting authentic people as tenants with verified backgrounds.
7. Can Write The Lease For You
Most letting agents will have a basic rental agreement. This includes the most necessary and fundamental clauses of a rental contract, such as the duration of the rental, the monthly rental amount, the due date for the rent, the basic concepts of the security deposit and how the tenant should use the property. This could be useful if you have never written a lease before or if you do not have a lawyer to write a lease for you.
8. They Are Only Paid If They Fill The Vacancy
A letting agent charges a commission to find a tenant for your rental. The amount they charge depends on your agreement with them. It could be a percentage of the annual rent, such as 8 per cent, or it could be the equivalent of a month’s rent. However, the letting agent will only be paid this commission if they really find a tenant to fill their vacancies.
Hence, as is evident, hiring a letting agent for your property can prove to be a rather beneficial opportunity for you. In case of any questions, get in touch with us at Limelight Accountancy !