If you are looking to rent your house out, then read further to consider various factors that can affect how much you can achieve in income.
How to Value Your Property
Valuing your property is one of the most important tasks. If you price the property too high then you may find it hard to attract any interest. You can also risk your property sitting empty for a long period of time. Conversely, if you price the bar too low then you will find yourself losing out on income.
To begin with, take a look at the local market and do your research. Using websites such as Rightmove or Zoopla will help you to see what local properties let for. Failing that, call in local estate agents to get their guidance.
Outside of using Rightmove and Zoopla, you can also find out how much you can rent your house for using a rental calculator. A rental calculator asks for basic information like the address and size of the property. The calculator will search the local area for properties similar to one you have entered. It will then give you a bottom end and top end rental price.
Factors Affecting Your House Rent Valuation
Sometimes there will be factors outside of your control which will affect your ability to achieve your desired rental figure. Some of these examples are as follows:
Competitive or Noncompetitive Market
The type of market your rental property is in could have a serious effect on the price you are able to demand. A competitive market means that there is an abundance of rental properties available in your area. This can mean that you may need to align your price to fit with market conditions. A non-competitive market will mean you can potentially demand a higher price. This is due to a lack of supply in the area.
Types of Property
Different types of houses and properties cater to different types of tenants. Flats and apartments often more desirable to young couples or single professionals. Whereas a house is likely to lend itself to families with children.
HMO’s (houses in multiple occupation) are very common now due to the demand for house share type accommodation. Renting your house out as a HMO can generally bring in higher rental income. However, there are more regulations that you would need to adhere to.
The location will be a major factor when people are looking for a place to rent. When moving to a new area people will consider proximity to shops, transport links, schools, doctors surgeries and other factors. Therefore, if your property is in a central location, you’re likely to have a higher tenant demand than living out in the countryside.
Condition of Property
Most people who rent are likely to be looking for somewhere they can move into straight away. Without needing to do any cosmetic work. If your property is not in a good condition i.e. needs new flooring, outdated decor etc, then this can put people off. It can also impact the rental price you can achieve.
How to Achieve The Best Rental Value
Researching your competition is the best way to start if you want to achieve the highest possible rental value for your property. It needs to be valued and priced accordingly to stand any chance of attracting interest. Many websites offer a rental calculator which works off of the average price in a specific area.
Try to make your property stand out from the crowd to attract more tenants. This can be done simply by furnishing the property nicely before taking pictures for the advert. If you can get some professional photos taken for the advert, this will have a huge impact on the number of enquiries you get from tenants.
Professional Rental Valuations and Letting Appraisals
If you feel you would benefit from a professional opinion then involving a local letting agent would be a good way to go. They will be able to provide a good understanding of the local market and help you determine an accurate figure for what you’ll be able to achieve in rental income.
A local agent will have a set process which will involve coming to visit your home. Whilst there they will be able to appraise your home, and give you a price based on market conditions. One thing to note is that you do not have to follow the guidance from the agent. They are providing you with a guide price, but if you feel you can fetch more, then you can instruct them to advertise your property at a higher price.
Alongside being able to offer an appraisal and also a valuation, letting agents will also be able to assist you in finding people to rent your property. This will however come at a cost, one in which can be discussed during your appraisal. Your letting agent will also have an existing list of potential tenants, so they may be able to find you a tenant within just a few days.
To Conclude: How much can you rent your house for?
Renting your house can definitely be handy if you are looking to retain an asset, or are looking to make an investment. How much you can rent your house for is affected by a number of different factors, some of which are inside and also outside of your control. Before renting, doing your research into the local market will help you to price the property accordingly.
At Norwich Home Buyers we also rent properties long term and offer you guaranteed rent for up to 5 years. If you’re interested in guaranteed income from your rental property, then contact Norwich Home Buyers today!