Browse All Tribes or choose a Tribe below:
By signing up I agree to Property Tribes Terms and Conditions
Already a PT member? Log In
Sign Up With Facebook, Twitter, or Google
By signing up, I agree to Property Tribes Terms and Conditions
Already a PT member? Log In
Don't have an account? Sign Up
To reset your password just enter the email address you registered with and we'll send you a link to access a new password.
another question I have is, does anyone know letting agents who currently understand the Rent to Rent strategy and are happy to work with R2R operators who carry out the strategy legally, with transparency and also part of all relevant government regulated property schemes such as : PRS, Tenancy deposit schemes and etc
Hi Chantel,Sorry, but I am struggling to understand why you would be looking for lettings agents for three reasons:1. As you are the head tenant/managing agent, you are effectively taking the place of the lettings agent.2. Lettings agents don't typically get involved in R2R because they prefer to deal with the landlord, not a sub-letter, there's not enough money in it for them for the amount of effort involved, and they are wary of straying in HMO territory which is something most agents avoid - not to mention that most do not have the specialised knowledge required.3. The margins in Rent to Rent are fairly slim imho, so you can't afford to give away 10 or 12% of your rent to an agent.Sorry if I have misunderstood something.
Vanessa Warwick Landlord and Co-Founder of PropertyTribes.com **If you have got value from Property Tribes, find out how you can support it in remaining a free to use community resource**
thank you very much for taking time out to respond as no one else did haha lol. I appreciate that.
The reason I asked about Letting agents was due to some R2R operators using letting agents to acquire the properties they manage.
from what I have gathered from their experience is that the Landlord pays the commission to the Letting agent for finding the head tenant (R2R Company) and also for sorting out the lease with them. Just as they normally would do if it was a regular tenant.
So the commission the landlord pays to the letting agent will come from the agreed rent they receive from the R2R company and the R2R company’s profit is unaffected (as long a there aren’t any other factors affecting their profit, I.e: voids/vacant rooms)
Some R2R companies (the best practice ones) ensure that the properties they go for have HMO licenses already in place and inspect the properties to ensure they are of HMO standards before signing deals.
But it’s great to get a another perspective on it to weigh up options more carefully so thank you very much.
I think I understand now. You are thinking of going to lettings agents to find properties suitable for Rent To Rent activities.I doubt many agents are familiar with the concept, but those that are not can be educated.As the head tenant, you will need to be credit checked that you can afford the rent with your salary and you will be paying the deposit, and liable for the rent, whether the rooms are sub-let or not.Therefore, as long as you pass referencing and the other hurdles of R2R are overcome, and the landlord is agreeable, you can go ahead.Agents that don't understand it will likely refuse to entertain it.Property is very much about relationships and building them, so your success with lettings agents as a source of R2R properties will very much depend on your personal skills and your ability to explain clearly what you are trying to achieve.It might be advisable to spend a bit of time formulating a presentation that you can make to agents to help them understand what you are trying to achieve. Then book appointments with them and hopefully get them on-side.Hope that helps?
Wow thank you Vanessa you’ve been incredibly helpful and brilliant suggestions. You must be an expert on property.Thank you for all the advice and tips