As the peak of the summer season approaches, it was recently reported that as many as 3.2 million UK homeowners are planning to rent out parts of their property or their whole property as a short term let.
The research, carried out by Direct Line, is another indicator that this generation is undergoing a distinct shift towards renting and that the PRS is a profitable way to generate a second income.
When looking in-depth, the report suggests that Scottish-based homeowners can expect to receive around £31 per room per night. This could earn owners of two bedroomed properties around £435 over the course of a week, which I’m sure many Glasgow-based residents will look to capitalise on during the Commonwealth Games. It must be noted however that the short-term let market is a totally different animal to the long-term residential market where average rents in Scotland stand at around £700 pcm, but the positive figures are encouraging across both channels.
Renting out a property on a short term basis, or on any basis for that matter, although creating a welcome second income stream does pose certain risks. Of the short-term landlords surveyed, only 29% claimed they had not incurred any damage to their property. This is all part of the process and from our experience as the first dedicated lettings agency in west Lothian, landlords who keep on top of any maintenance and damage problems fare the best and maintain healthy, long-term relationships with their tenants – see our blog on maintenance tips for landlords for some additional insight.
For those planning a summer let, Direct Line provides some pertinent advice. The firm suggest would-be landlords should be aware of the different insurance and legal requirements e.g. third party liability and damage cover, loss of rent cover and the rules around taking back possession of their property.
Even if it is not a short-term let you are planning, the summer is a fantastic time to let property on a long-term basis. An influx of students to certain areas, as well as the summer holidays being a good time for rental families to relocate make sure that the demand for rental property remains high throughout the summer months.
For more advice on renting your property, please get in touch on: 0845 520 1420. Alternatively, use our instant rental valuation tool to find out how much your property could fetch in monthly rents.