…in the right place at the right time!
Since the economic downturn started in 2008, more Britons are finding it harder than ever to get on the property ladder. With credit becoming harder to obtain, and a shortage of new properties being built in the UK, many people have no other option than to rent. In fact, it’s estimated that more than 8 million people are renting property today. The Rent to Rent strategy taps directly into this hugely expanding market. Want to find out more? Read on!
What exactly is Rent 2 Rent?
With Rent 2 Rent, a landlord will still own and fundamentally control their rental properties, but agrees to let the Rent 2 Rent’er manage it, and to rent the rooms out individually to young professionals. There are many reasons why a landlord may chose to do this. They may live out of the area, they wish to take a step back and semi-retire, their job might take them to another part of the country and they may simply be overwhelmed and not able to cope with being a landlord. The offer of Guaranteed Rent each and every month might be irresistible, especially if the property is not currently being occupied. But this is just one of the many benefits we can offer landlords. We can also do a light refurb of the property at our own expense, something that most landlords find astounding, but it works well for the Rent 2rent business model.
How can you make money from rent 2 rent?
Once you have secured a rental property from a landlord and got it up to speed, you market the property to tenants. You are like a ‘special agent’ as you go above and beyond the service that any traditional agents would or could offer. As rent prices have increased in many parts of the country – especially London and the South East – you will soon be making a decent profit and we have people in our support group who are making £3,000 NET cashflow pcm from just one deal.
Looking for the “middle man”
You will need to know how to develop good relationships with Agents and the owners of rental properties in your area in order to find the best properties to rent and to make sure they come to you first. You will also need to have a watertight contract that benefits all and to know how to negotiate with the property owner and what exactly you can negotiate (it’s a lot more than you think!) and factor in the cost of any repair work that needs to be done to the property to get it ready. We have a really cool system to make sure the owner spends 3 x’s what you spend on the property.
Rent to Rent is a relatively new mainstream strategy whereby you can create a really great cashflow – and fast! most new businesses that don’t survive fail due to poor cashflow, so this is of vital importance. The homeowner gets complete peace of mind and will be happy that his problems have all gone away now that he has a Guaranteed income, even if the property is not occupied. You agree to pay the rent and the utility bills, our end tenants pay you and you create a solid cashflow as you build your Rent 2 Rent business. A real win-win-win for everyone!