Instant Access Properties

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Buy-to-let

1. What is a buy-to-let mortgage?

   A buy-to-let mortgage allows you to own a property that you don’t plan to live in. You will have tenants who will pay you rent. This income pays the mortgage.

2. Can I get a tenant to move in on the first day?

   This is very unlikely. Until you completely own the property you can’t get in and make it habitable and attractive for tenants. Our Aftercare Solutions offer snagging services and furniture packs and will help you with budgeting for these costs. They can also recommend local letting agents wherever you are.

   Consider what type of tenant you looking for. Short-term tenants, who arrive with only a suitcase, will require a different finish than a long-term let. Minimize delays by arranging delivery and fitting close to the completion date. For advice on preparing your property for the rental market contact Aftercare Solutions on Tel: 020 8541 2901.
   

3. What if my property is vacant for a while?

   The chances are that at some point it will be. Ensure you have sufficient cash to cover such a contingency, as you will still need to make mortgage repayments. Lower rents must also be covered. Instant Access Properties only recommends areas with strong rental prospects to help reduce this risk and will help you secure competitive rental insurance and rental guarantees and guide you in the tenant search and selection agencies.

4. What if my tenants stop paying rent?

   It’s best to wait until the tenant owes two months or eight weeks arrears, as the Judge is then obliged to make a possession order. You can then serve a Section 8 Housing Act 1988 notice, which is 14 days in length. County Court forms N5 and N119 are then lodged at the Court following the same procedure as above. A hearing takes place about six to eight weeks later, which you, as the landlord, must attend.

5. What could go wrong with my buy-to-let investment?

   There are several risks associated with buy-to-let property. Find out more in our Managing Risks section.

6. How do I know what to charge for rent?

   This is a good reason why a local letting agent can be extremely useful. It’s essential to fix rates realistically: in line with similar properties in the area. Keep in mind that it’s sometimes better to have a low rental yield than none at all.
   

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