Hands off Property Income

Main Benefits

·      Passive Income at the market rate with proper contract

·      Property Managed as Serviced Accommodation thereby eliminating the usual Tenant challenges.

·      None of the hassle and risks associated with residential rental - (Section 21 is being removed from the Housing Act 1988 making it harder than it already is to remove difficult tenants).  We would set up the property as what is called a Serviced Accommodation for corporate clients, comprising - professionals travelling for work such as, contractors, those in the area for business, film and media, and NHS staff.  This is as opposed to a residential rental, thereby eliminating the need to deal with tenants on the new legal “Occupation Contracts” who would be able to claim primary residence that would bring about eviction challenges.

·  No need to handle Tenant deposits (This is now a formal process which would otherwise require the Landlord to take “RentSmart Wales” formal course, exam and property registration)

·  No Letting agent fees.

·  The property will be deep cleaned and bedding changed at least once a week during occupation.  The Property will also be cleaned and bedding changed for every new client.

·  We hold client Credit Card details for clients and charge should there be any damage (Explicit in the T&C’s which clients will sign).

·  The property owner still has the option to use the property for arranged dates without concern over its condition as cleaners will be in to return the property to show home condition as each client leaves or on a weekly basis during longer occupation.

 

The customers/clients

We anticipate most of our customers will be professionals travelling for work such as, contractors, those in the area for business, film and media, and NHS staff.  We would aim to secure mid to long-term (i.e., several months at a time) to minimise as far as possible the number of client changes in the property.

The property will be maintained in Show Home condition and utilised for short term lets less than 6 months and is outside the housing act thereby clients do not have the right that a normal “Tennant” would have.

Property Enhancements

To successfully market the property, we would bring the property to show home condition through visual enhancements via new paintwork and furniture on top of any general maintenance or replacement of white goods.  Depending on the amount of work needed on the property, we might need around a couple months rent free to give us time to bring it to operational standard, but any loss of income from this will be made up by an increase in the property’s value.