The general idea of guaranteed rent is that a landlord looking to minimise stress and risk, rents out to a letting agency at fixed market value for a fixed period of time depends on both the entities. We at P&A are confident enough to use our experience and expertise to achieve above market value and thus pocket the profit and make it worthwhile. At P&A Property sourcing, we do this by investing into a property to upgrade or refurbish it, and we have examples of guarantees where we pay landlords up to £60,000 pa.
Here are some of the advantages of guaranteed rent scheme:
- Good monthly income, covering void periods.
- Great for peace of mind or if in need to outsource management.
- Generally, total control by letting agents including repairs and admin.
- Speak the same language and understand time sensitivity of landlords’ lives.
Here are some of the drawbacks of guaranteed rent scheme
- Property location needs to be prime to given rental demand confidence.
- Depending on arrangements, can be locked in for long contract periods
- Limited control over design, maintenance or tenants.
- Retain risks when in breach of regulations, or if the letting agency collapses.
Why landlords are moving towards guaranteed rent scheme ?
Guaranteed rent scheme is becoming very popular with landlords with each passing day. The simple reason for this growing trend is that landlords are tired of chasing tenants, complex legalities and maintenance issues. They prefer a partner company that can help them overcome these issues and also guarantee them a stable income without any void. This leads to a win-win situation for both landlords and letting agency.
So, if you’re a landlord with a rental property in Birmingham or within the local surrounding areas and would like to receive a stress-free rental income then P&A Property sourcing Birmingham can help you.
Rental demand is soaring in the UK’s major cities as lockdown restrictions ease. Birmingham in particular has seen the most significant increase in demand from tenants.
The rental market across the UK’s major cities has seen an increase in tenant demand as lockdown restrictions are lifting. Rental demand has risen by 10.4% to 37.6% for the first quarter of 2021.
This data is based on the number of properties already marked as let agreed as a percentage of homes listed. Some city centres saw demand decrease during the successive lockdowns in the wake of the COVID-19 pandemic. Additional analysis by Rightmove shows there has been a whopping 126% rise in enquiries for city centre rentals year-on-year.
Guaranteed Rent for landlords in Birmingham
If you’re a landlord based in Birmingham and you are looking for a fixed rental income, paid each and every month without any stress involved in letting out a property, then you have come to the right place. Below are some points that will help you understand the outcome of taking our services:
- A guaranteed annual rental income on time, every month.
- You still get paid even if the property is empty.
- You get paid even if the rent is late or isn’t paid at all.
- No hidden extras.
- Regular Property Inspections and maintenance
Overall conclusion in our opinion is that guaranteed rent is a great property solution for all those landlords who are looking for stable and stress free income. This scheme has more positives and creates a conducive atmosphere for both landlords and letting agencies. It is also important to note that there are many options available for this type of services but it very important to choose a good property solution partner.