More in Detail about Guaranteed Rent and How it Works

In simple terms, it can be explained as a fixed amount of rent accepted by a property owner from a property managing firm. In some places, it is even known as rent-to-rent facility provided by a property managing company. It doesn’t matter whether the land asset is rented out or not thus the owner of it is surely reaping benefits easily. It is a time-limit contract legally documented in the presence of an attorney. 

It may sound like a great way of earning income for a property owner however it may sometimes lead to downfall if hired by an unreliable property managing firm. Fortunately, in the UK, you have one of the most reputable guaranteed rent providing companies like City Borough Housing. 

Few lines on how the Guaranteed rent option works:

• No longer, the landlord held the responsibility of maintenance of the property, collecting rents and working on the issues related to their asset. They get the rental money monthly, which is sure to be quite profitable for them to improve their bank balance. 
• The property owners don’t have to seek out renters, scan their creditability, prepare the legal rental agreement documents or face any problems related to their asset. 
• The only drawback is sometimes, a land-owner earns less than the market value of the property. It is because most of the companies managing the property draw their benefits from the rental payment. 

In short, they will act as a commission agent who takes care of your property and renting business and derives their fee from the rent paid by the tenant. 

• According to many land owners who have appointed property managing firms for looking after their properties has always boosted to be enjoying the profitable deal. It is because they remain hassle-free and enjoy monthly income even if their property remains unoccupied. 
• The other benefit is that a landlord doesn’t pay for the advertisement to lease their property or need to interview any future-tenants. They don’t need to call the renters to pay their rent or look after their property. All is taken care of by the property manager, thus able to save their valuable money and time. 
• Thus, many landlords have opted to choose a real estate firm that is ready to provide a guaranteed rent scheme. They no longer, hire the traditional property rental agent to find a reliable renter for them. This kind of scheme does attract numerous landlords however, they need to be cautious. 

Tips to hire a credible property managing firm:

• Firstly, they need to check whether the property managing firm is reliable. 
• Once shortlisted, some referred firms, meet their higher official staff personally. 
• It helps to enquire in detail about the scheme of guaranteed rent for landlords and the ways they adapt to carry out it. They should make sure that all the legal terms are well explained. 
• Make sure to verify the rental value of the property before agreeing to the fixed rent amount paid monthly by the property managing company. 

Enjoy monthly rental earnings by agreeing for guaranteed rental scheme by associating with popular property managing company.

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