Choosing your property:

Rental returns are important to consider before you buy so study the local area and try to buy in a location that you know will be attractive to prospective tenants. Things that will make a property more attractive are:

• Walking distance from public transport
• Good commuter links to the nearest city or town
• Close to hospitals or Universities
• For family rentals being close to good schools
• If you plan to furnish your property you should consider the quality of your fixtures and furnishings – whilst it may be more costly upfront, better quality décor will attract tenants and also last longer.

If you are just starting out as a landlord you might want to go for a low maintenance property so you have less to worry about. For example, flats can be great for first time landlords as its unlikely you’ll have to think about the building structure and problems on the roof as this will be the responsibility of the freeholder.

Renting your current property

If you decide to move out and rent your current residential property you’ll need to get permission from your current lender and make your insurer aware. Depending on your lender and your individual circumstances, you may have to switch to a buy-to-let loan, but this isn’t always the case.

Your property may be repossessed if you do not keep up repayments on your mortgage.