Ambitious UK earners are always looking for ways to add to their household incomes. Whether it’s a part-time side hustle or starting a full-scale business, supplemental earning opportunities can make the difference between a smooth financial flow and a rocky road, struggling to make ends meet. Among the many creative ways to boost earnings, renting out a spare room or an entire property can be a worthwhile source of extra income.
If you have a spare room to rent on a short-term basis or you’re looking to let your whole property, there are a few things to think about, before setting out as a host or landlord. Certain restrictions and requirements are in place, so you need to make sure you’re prepared to follow the rules. And you can avoid future problems by answering a few questions up front.
Do you have the time necessary to effectively look after a rental property? Are you prepared to open up your house to Airbnb guests? Is your property ready to rent, or does it need work before bringing it to market? If these and other questions bring on reservations about renting your property, becoming a landlord or host may not be the best approach, adding to your income. On the other hand, if you’re still game after considering all the angles, you may be able to bring home an extra income, without making substantial changes to your lifestyle.
Things to Think About Before Renting Out Your House
Most UK families would welcome some extra cash flow, once in a while. When the need is temporary, short-term loans online provide fast cash you can use as you wish – even with bad credit. But if your finances would benefit from a lasting boost, renting your property may provide the answer to your ongoing income requirements.
The Family Budgeting blog recently outlined a few of the things you should consider, when making plans to rent out your property. Due diligence setting up your Airbnb business or establishing your spare house as a rental property ensures you’re legal and gives you the best possible chance of securing trouble-free income.
Make Sure It’s Allowed – Whether you’re focused on providing short or long-term housing, your rental business may be subject to various rules and regulations. Before promoting your property, it’s important to double-check you are allowed to rent in the area where it’s located. If you live in a Multiple Occupancy Area, renting out your house may be prohibited. And if you didn’t buy the property with a buy-to-let mortgage, you may also be prevented from renting it out.
After gaining assurance you’re allowed to move forward with a rental, you’ll most likely need to arrange inspections. Before opening your doors to others, you must meet safety standards for fire, electrical, and worries such as mould prevention.
Prepare for Guests/Residents – If you’re providing a furnished rental, it’s okay to leave furniture and other necessities in the rental space, but it should be cleared of personal items. If the unit needs painting or updates they should be completed before doing business, as well as any tasks required to comply with laws in your area.
If you’re letting long-term, you may be able to attract more interest in your property by adding-in custom storage solutions. Space is often an issue for renters, so it’s a good way to set your property apart from others.
Get Insurance Cover – In addition to the cover protecting you against flood, fire, and other disasters, you also need a special policy for rental property. Landlord insurance provides added peace of mind, addressing specialist issues such as loss of rent. Landlord insurance covers commercial and unoccupied properties, as well as non-standard construction.
Renting spare property or hosting Airbnb guests in your extra room can be good sources of income. To avoid unexpected problems, it’s important to abide by letting rules and regulations, and to properly prepare for guests and renters.