For a host of different reasons, as a homeowner, you may find yourself in a position whereby someone occupying your property for a short period of time could be financially beneficial to you as well as highly convenient. Though short letting has been around for years it’s really only fairly recently that it’s become so popular with both landlords and tenants alike. Mainly due to the advent of AirBnb and other similar self-serve technology platforms. Though increasingly landlords and more savvy homeowners are finding that it pays to have their short let managed. This turn-key solution transforms the process from what can be a lot of hassle into purely a financial decision. Where a vacancy translates directly into income, instead of the baggage that comes with sorting it all out yourself.
"You can expect to achieve 40-50% more rent than a standard rental of 6 months or more."
If you have a property that could be vacant, anywhere from a few weeks up to six months, it may be worth discussing your options. We specialise in short lettings and our Short Letting expert, can arrange to visit you for a complimentary consultation on the process. They can advise you on what rent you might expect to achieve, how the process is managed, what is required and how best to achieve your goals.
Benefits of Short Letting
In a word… the cash! As a rule of thumb, you can expect to achieve 40-50% more rent than a standard rental of 6 months or more. Furthermore, all rent is paid in advance for the tenancy term. This means that you don’t have to worry about tenants not paying, plus you can deploy that capital elsewhere from day one.
Flexibility: Short lets vary in length but are usually a minimum of 4 weeks and anywhere up to 26 weeks and can be extended week by week. This gives you the ability to cancel the short let if it suits you, or alternatively let it run for more financial gain.
Convenience: Having an empty property can be a worry. Many unscrupulous characters look to exploit vacant properties for their own gain, plus there is always the issue of unforeseen leaks or other problems that can go undetected for as long as your property remains dormant. Having the property occupied in your absence can help reduce the possibilities of break ins, squatters or any of the above. All whilst you earn an income.
The Basics
As a potential Landlord or Host of a short term stay, there are a few 'must knows' that will help you in organising and preparing a property to short let:
Furnishing: The majority of people taking up a short term rental require fully furnished accommodation including fresh bed linen, towels, kitchen crockery, small electrical appliances like TV's, Hoovers etc. Everything should be clean, in working order and comply with any attached lettings compliance regulations.
The Bills: Both utility bills as well as internet wifi should be included within the short let rent.
Presentation: In order to achieve the maximum price for your property presentation is absolutely critical. The property should be a ‘home from home'. Someone staying for a short period will expect a clean, well-presented place without issue. Moveli have high calibre short let tenants who expect a clean and well presented property in return for a healthy spend.
Local Authority Licensing: You must check your local authority's rules on short term letting. Some Boroughs may take a fee or have put limitations on how much you can 'short let' your property. In most cases these type of rules have been brought in to reduce the amount of vacant properties there are in certain areas.
Compliance: Your property must be legally safe to let. We can ensure that everything complies with the current regulations (which can change fairly regularly). Whether that be to help you arrange gas safety checks, electrical testing, smoke alarms or CO alarm installation. Falling foul of these regulations can be costly if something should go wrong.
Deposits: A short term let does not fall under Housing Act legislation and so a deposit is not taken as standard. However at Moveli we still request a deposit of between 2-4 weeks and hold it for you in a client account. This is to ensure some peace of mind for our landlords. Though in reality short let tenants tend to treat the properties they rent very well and it is very rare that some, or all of the deposit would need to be withheld. In this unlikely event we manage the process to ensure that everything is done with as little overhead as possible for our clients.
"In London there is no shortage of people looking for quality short term rentals."
You may be wondering "who is looking for short lets in my area" and this is a question I get asked a lot. There is such an array of tenants that we have secured short term stays for over the past 17 years of letting properties in London. To name but a few common examples; Film crew stays while filming on location, business associates on work field trips, vendors and/or buyers with a gap between their house purchase, homeowners undergoing home refurbishments, homeowners who have had major leaks or fires and are housed under their insurance claim, holiday stays, sports professionals during sporting events... the list goes on. In London there is no shortage of people looking for quality short term rentals.
When it comes to short letting we deal with both landlords who are well versed with short lets as well as many clients who had previously not considered short letting in the past. These clients, especially, tend to be surprised at the rent they can achieve and the ease in which we allow them to achieve it with the service we offer.
Though as much as short letting is an incredible way to put your property to work it can also be a bit of a minefield. Having an agent on board looking after your interests and handling everything ensures you achieve the maximum price, source a reliable tenant and, importantly stay within the stringent and changeable laws around letting your property. They also offer valuable advice at the beginning, during and once your let ends which ultimately saves you time and money.
If you’re considering a short let or would like to find out more about short lets please get in touch.
Contact us here. Or call us on: 020 3150 0733, email hello@moveli.co.uk. We look forward to hearing from you.
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