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The R2R (Rent to Rent) is a kind of an arrangement in which the investor rents a property from the landlord for a long (3-5 years) lease and then sub-lets it to guests on nightly rate base (Service Accommodation) or on a room by room basis (HMO). The Profit is the difference of rent being paid to the landlord and the higher nightly rate or room by room base income. As the investor is allowed to make changes to the property we can potentially facelift it and make it more attractive to guests or tenants by doing so able to achieve higher income than the rent paid to the landlord.

Guaranteed rent is a contract in which a landlord gives the control and management of his property to a third party. This third party is the landlord's tenant and it pays a fixed monthly rent to the landlord for a definite period. Learn how the scheme of guaranteed rent in the UK, works and find out its pros and cons as well in this article.