When you are thinking of letting out a property it is important that you take into account the cost of the landlord insurance quote and other essential expenses; to make sure that it is economically viable to do so.
The landlord insurance quote is unlikely to be the biggest expense you need to meet, and it is highly unlikely that the cost of this cover is going to make any difference to your plans to go ahead or not. However, there are some other issues you may need to spend money on which could give you more pause for thought.
Decorating the Property
This is an expense which can quite easily spiral out of control if you aren’t careful. A common error is to do it up to a higher standard than is really necessary for the local market. The cheapest you can do this the better, and if you can do it yourself then that is better still. Be sure to make it attractive enough and fresh looking but there is generally no need to go over top and make it too plush unless it is in an exclusive area.
After you have worked out the landlord insurance quote and how much it will cost you to decorate the place you might want to consider whether using a rental management company would make financial sense. If you can do all of the work yourself it is obviously cheaper but if you just don’t have the time of the inclination then this is an expense which needs to be factored in.
If you are buying a house in order to let it out then you probably want to make sure that the rental income at least covers the monthly mortgage amount. What you shouldn’t forget to include are the additional costs such as the life insurance and any other associated payments you need to make each month on top of the mortgage repayment.
Finding a tenant yourself is something which might be easy depending upon where you live. Maybe a free ad on the internet will be enough. If not you might find that you need to spend a bit of time and money in getting one.
Make the easy choice for your landlord insurance quote – call us or arrange it online below: