Top tips on letting property to groups of sharers
- 17th September 2013
- Property Tips
Opportunity knocks for landlords as house-sharing grows in popularity among cost-conscious savers.
With rental prices in London remaining high, thousands of young professionals and new graduates are finding they are unable to afford the luxury of renting a flat or house for themselves. As a result of this, house-sharing by groups of tenants has boomed in recent years.
Stephen Ludlow, Chairman at ludlowthompson, says: "house-sharing in London has become increasingly popular with working professionals who are not yet ready to buy. Some simply don't want to pay to rent alone, while other want to save every possible penny towards a deposit.
"As rental property in London continues to be in high demand, buy-to-let properties suitable for a group of house-sharers can be a lucrative opportunity for landlords."
Here are ludlowthompson’s top tips for renting to house sharers:
- Avoid over-furnishing the property. House sharers are likely to bring their own belongings with them, so landlords can make savings by only supplying items that tenants require.
- Joint tenancies are better than separate agreements with individuals.
- Landlords should make good use of the summer rental rush. With houses in high demand but short supply, properties are likely to be snapped up quickly.
Recent research found, surprisingly, that students may be the most reliable tenants to rent to. The study showed students are the least likely to miss a rental payment. Only 38% of landlords letting to students have experienced arrears in the last year, compared to 59% of landlords who let to blue-collar workers.
One of the reasons why students make reliable tenants is that landlords can request a parental guarantor on the contract, meaning the parent has to pay the rent if the student tenant can't.
House sharing in London has become increasingly popular with working professionals who are not yet ready to buy.
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