New Landlord - a bit confused

[Londonlost23]

Hi,

I am in the process of renting out my flat, as I am about to move in with my long-term partner. I have decided to use OpenRent as I have heard brilliant things.

However, this is where I am a bit confused/have some questions.

-Which of the three pricing options have you used/would you recommend? The full service (£69), the mid-tier (£49) or the free one? I just want the most hassle-free service possible - that takes care of everything.

-As a landlord you now legally need the following; gas & elec certificate, EPC, legal deposit holding, reference checks...anything I have missed that needs to be completed?

-Would OpenRent cover all of the above/help to sort?

Thanks so much

That would be the full service then OP.
You will also need the inventory service, landlord insurance and if you have a mortgage inform your mortgage provider.
See the following https://www.gov.uk/renting-out-a-property

Check your obligations carefully before marketing your property. Consider joining the NRLA or similar organisation as well.

I have used open rent for years I always use the top tier for all the paperwork involved. I also use them to collect rent for me for a fee of £10, it saves you a lot of hassle from collecting rent yourself.

I find the only problem is interviewing your prospective tenant. They will write so much crap on their applications! REALLY REALLY weed out what you don't want on your interview days!! and join the NRLA as pp suggested.

and whatever you do, take a billion photo's of your property before people move in.

Definitely join NRLA. And there are loads of useful landlord forums on Facebook. Though these are equally informative and off putting!

Do you have a “black book” full of contacts for electrician, plumber, joiner, handyman? If not, get one asap!

Are you prepared to be called by your tenant at all inconvenient hours to be told they’ve been locked out, the boiler’s leaking, the heating won’t turn on? If not, consider a proper letting agent whose responsibility is all these things. It will cost 10-15% of your rent but the upside is you do not need to get involved.

Do you have an accountant to do your tax return - well worth the investment as they will ensure all allowable expenses are deducted to calculate your income tax liability.

Do you have savings equivalent to 6 months rental income to cover maintenance, unpaid rent and legal costs if it all goes tits up? If not, seriously reconsider your options. Being a landlord is a headache these days and not that profitable. Consider selling your property and investing in your pension fund and other investments to give you a financial cushion instead of creating a potential financial burden.

I am a landlord 10 times over so I know of which I speak.

You do realise Openrent 'full service' only covers the listing and contract formation? I don't know what you're expecting for £69.

If prospective tenants want to view the flat you'll need to be there to make the viewing, all they do is schedule the time/date. Depending on price/desirability you might be doing several viewings before sealing a deal. That can be very time-consuming especially if you live in a different area.

If you want no hassle you need a managed service from a letting agent which might cost 10% of the monthly rental and even then you might still have to do a fair amount of work if you are unlucky and get bad tenants.

Have you considered the tax implications?

It sounds like you’re looking for a fully managed service? Which openrent are not providing for £69 and you need to go to an agent.

I was a landlord in similar circumstances for 10 years until 2020. I paid about £60 each month to local estate agent to fully manage property but had to pay more in addition each time new tenants were being advertised for referencing etc.

You need money aside for things that go wrong and believe me, tenants will ask for the smallest of problems to be fixed. You may think 'that doesn't matter' but the estate agent will find the trade to fix and then you are charged for this work even if you could do it cheaper yourself.

There are a lot of other things too such as buy to let mortgages and the fees to change over, as well as all safety certificates etc.

Things have changed a lot in past couple years and I would never do it again. I luckily sold with tenant in situ but think about that too if you sell it at some point.

As a landlord you now legally need the following; gas & elec certificate, EPC, legal deposit holding, reference checks...anything I have missed that needs to be completed?

Prescribed Information and Terms & Conditions of the Deposit scheme
Government's How to Rent booklet
Your address for serving notices and contact information for advising you of needed repairs etc (phone and email)
How notices are to be served (e.g. 1st class mail and/or email)