Renting a property is a fantastic option for many individuals, couples and families. In this blog, we’re answering the question, what are the benefits of renting a property?
UK rental market
The UK rental market is thriving, but higher mortgage rates mean higher prices for renting. According to research, the average monthly rent cost has increased by 1.3% when compared to monthly prices last year.
It is estimated that 19% of households in the UK are in the private rental market. This highlights how important the rental market is around the UK.
Benefits of renting a property
No maintenance and repair costs
Renting a property means that you don’t need to worry as much about maintenance and repair costs when items break unexpectedly. Of course, if you cause the damage then you will find yourself having to pay out for repairs.
When appliances or items break due to wear and tear, the landlord will likely cover the repair bills. The damage is likely to be inspected to determine the reason for the breakage. This is a huge benefit to tenants as it means they don’t need to dedicate more of their disposable income to maintenance costs in a rented property.
Depending on the type of tenancy contract you have signed, you may have more flexibility, which is a huge advantage of rental properties. For example, a rolling contract would usually allow you to leave a property with less notice than say a fixed contract.
In general, renting gives you more flexibility as you can move around more – you aren’t tied to one property or even one location. In contrast, when you own a property and need to move, you have to find someone to buy the property or organise renting it out. We offer extensive services for landlords wanting to rent out properties across the country.
When you begin renting a property, you’ll likely be required to pay a damage deposit. A huge benefit of renting is that a small amount of money is required for a deposit. This makes renting a property more accessible to the public.
A damage deposit is collected to protect the landlord if any damage occurs within the property. This may include appliances or items being broken. At the end of a tenancy period, your landlord will inspect the property to ensure that no damage has occurred. If no damage is found, the damage deposit will be returned. If damage is found, you’ll receive less of your deposit, so that the repairs can be paid for. This should all be outlined in your tenancy agreement.
A damage deposit is outlined in your rental contract and usually costs around one month’s rent, although it can cost up to five weeks of rent. This means you usually don’t need to pay a huge deposit when renting properties.
Financial benefit of set monthly costs
When renting a property, it can be easier to plan where your money is going, as you set aside the same amount every month. Rental payments can be increased in line with guidelines. For example, a rental payment can usually only be increased once within a 12 month period.
With increased interest rates and mortgage rates, it’s likely that rental payments will increase too. Landlords may find themselves having higher mortgage repayments and therefore need to increase the amount set out in the rental agreement. Landlords must follow strict guidelines when renting out properties.
Many landlords will adjust rental property prices based on their monthly mortgage payments and the cost of other aspects such as home insurance.
Renting in the UK
Renting is a fantastic option for those who aren’t tied down to one location or who are just starting out. Renting is becoming more and more popular as people wait longer before getting onto the housing ladder. Renting makes sense for many people who want the flexibility renting offers and cannot currently afford their own property.
You may even consider buying a house that you are renting after a few years. Of course, you would have to speak to your landlord about this and see how willing they would be to sell the property to you. Renters would need to ensure that the mortgage was affordable and within their budget.
Are you interested in renting a property? Take a look at the wide range of properties we have available in our branches: Sheffield, Manchester and Lytham St Annes.
Don’t hesitate to contact our friendly team for more information on renting a property. We’re more than happy to help. We hope this article on the advantages of renting a property has been useful to you.