We lived in our first house 10 years before we moved. Now 20 years on we still have the house as we decided to rent it out, thinking ahead that maybe it would be a pension asset.
We had great tenants but even the best people in the world can have financial hiccoughs, having a credit balance in your account is essential so any outgoings like insurance will always be covered.
We found our own tenants, well actually they found us, they have been long term and recommended by friends and except for some small financial difficulties we have received all of our rent, although sometimes a little late.
We found having a separate bank account for the house was a benefit, the rent was paid in and expenses out and when the tax year came around all the transactions were in one place and not mixed up with your own personal finances.
This has been a good decision for us and would recommend it, but you do need to be prepared for maintenance issues and be aware of the legalities involved. Electrics need to be up to code, gas safety checks every year and the correct insurance needs to be in place.
Finding tenants isn’t always so easy though and it’s good to have a bit of support especially if you are new to being a landlord. For instance HomeLet can vet potential tenants and gain references which can help give you peace of mind.
There’s nothing better than providing a home for a family that love living there, they could rely on us to maintain their home and in return they took great care of our property.
Now retirement is getting closer keeping our first house has been a good long term decision, and we still see our previous tenants who have gone on to purchase their own homes.
If you’re thinking of becoming a landlord do some research first and find what’s best for you. This is a collaboration and I’ve contributed to the ebook ‘Landlords Advice with Regional Relevance’ containing tips that can be beneficial to all involved.