What Are The Benefits of Guaranteed Rent Schemes?
Whilst there are numerous benefits to being a landlord, it can be a tricky business. Whatever your current circumstances, there will undoubtedly be hurdles along the way when it comes to letting out your property, especially for those new to buy-to-let. Whether it’s admin work, dealing with problematic tenants, void periods, or conducting maintenance, we understand that the responsibilities can seem endless and take up a great deal of your time.
The solution? A guaranteed rent scheme. In this blog we’ll delve into what exactly a guaranteed rent scheme is, what the benefits are and how we at ZFA Group can help take the stress out of being landlord.
A property owner will enter into a contract with a third party which can be a company (such as ZFA Group), council or a person who then takes responsibility for the managing the property. The property owner will hand over responsibility to the third party to sublet the property to tenants whilst managing and taking care of it, which includes matters like paying property bills, finding new tenants and maintenance of the property. Most importantly, the third party will pay the property owner a monthly rent.
It’s understandable after the last year in the UK that many landlords are concerned over their financial security. This is driving a surge of interest in guaranteed rent schemes and it’s easy to see why with the multiple benefits they offer:
It really is what it says on the tin; since the third party will be paying the rent, you will be guaranteed rent as owner of the property regardless of whether there is anyone living in the property or not and removing the risk of troublesome tenants. Here at ZFA Group, we will pay you the same day your property joins the scheme.
You don’t need to worry about performing maintenance checks or setting aside money for maintenance costs, we will look after your property and investment.
Most commonly the rent agreed will be the amount in full that you will receive from your assigned third party each month. Most guaranteed rent providers will not charge you any commissions on your property or any managements fees over and above your agreed rent.
Any additional costs such as council tax, property bills, or the costs associated with finding new tenants will be the responsibility of the third party to cover.
In a crowded rental market, it’s imperative to know who you can rely on to maximise your return on property rental. If you choose ZFA Group, we will handle the management of your property with expertise and experience to offer you the highest quality service.
If you’re interested in upgrading your buy-to-let property, chat to one of our friendly knowledgeable employees – we can help you with a range of services, from rent guarantee and property management, estate agency and property investment, and commercial letting.
Contact us today if you have any questions and we’ll take care of the rest.