It’s one of the biggest dilemmas you will face as a landlord. Should you furnish your rental property or leave it empty, allowing your tenants to provide their own furniture instead?
There are pros and cons whichever path you decide to go down. As estate agents working all across the South of England, we aim to give you some guidance on this forever relevant question.
Obviously, letting an unfurnished property will be considerably cheaper and easier as you won’t have to splash out funds on beds, sofas, wardrobes and dining tables. Furthermore, recent research has shown that a large proportion of tenants are seeking unfurnished properties, which means you will have a much bigger pool of tenants to choose from if you leave your rental property untouched.
With sky-high house prices and tougher lending criteria on mortgages, many people have been priced out of the property market and are now resigned to renting for the long-term – or, in some cases, life. As such, it’s not hugely surprising that many tenants prefer to choose their own furniture rather than relying on their landlord’s idea of a comfy sofa or a chic wardrobe. Also, tenants renting empty properties tend to hang around longer as they are able to put their own personal stamp on the house/flat they’re living in, making things more homely by filling their surroundings with their own possessions.
On the other hand, some tenants will need certain basic items – beds, settees, wardrobes, coffee and bedside tables, bookcases – and you may be limiting your chances of finding someone suitable by not providing these.
Financially speaking, there is also an economic benefit to providing a furnished property as you are able to lower your tax bill by claiming a 10% wear and tear allowance. As long as your property is fully furnished, this means you won’t pay any tax on the first 10% of your annual rental income. As well as this, furnished properties usually demand higher rents than those that are unfurnished, so decking your property out could bring great rewards in the long-term as well as higher property value next time you’re looking to sell.
More than anything, whether you choose to furnish or not will depend on the type of tenant you are trying to entice. Generally speaking, families and more mature tenants will be after unfurnished houses and flats. They are more likely to stay put for longer and will probably have more disposable income to make their rental property feel like ‘home’. Meanwhile, students and house sharers are much more likely to want fully furnished accommodation – shorter-term renting habits, less house-proud, etc. If you decide to let through a nearby college or university, they will insist that you provide desks in every bedroom.
From a safety point of view, any soft furnishings you provide – whether that’s mattresses, sofas, rugs or duvet covers – must comply with latest fire regulations. Fire retardant labels should be attached to these items, unless they were manufactured before 1950.
It’s also important to bear in mind that most tenants would expect their rental accommodation to include ‘white goods’ – things like fridges, washing machines and ovens – even though there is no legal requirement for landlords to provide these. However, you shouldn’t feel obliged to provide ‘luxury’ items such as dishwashers, microwaves and tumble dryers unless the property you are looking to let is at the higher end of the market.
For further advice and information on letting your property, please contact us on: 0844 809 993. At ChimneyPots, we also provide an instant online valuation tool to allow you to work out how much rent you could be earning.
http://chimneypotsestateagent.co.uk/
With sky-high house prices and tougher lending criteria on mortgages, many people have been priced out of the property market and are now resigned to renting for the long-term – or, in some cases, life. As such, it’s not hugely surprising that many tenants prefer to choose their own furniture rather than relying on their landlord’s idea of a comfy sofa or a chic wardrobe. Also, tenants renting empty properties tend to hang around longer as they are able to put their own personal stamp on the house/flat they’re living in, making things more homely by filling their surroundings with their own possessions.
On the other hand, some tenants will need certain basic items – beds, settees, wardrobes, coffee and bedside tables, bookcases – and you may be limiting your chances of finding someone suitable by not providing these.
Financially speaking, there is also an economic benefit to providing a furnished property as you are able to lower your tax bill by claiming a 10% wear and tear allowance. As long as your property is fully furnished, this means you won’t pay any tax on the first 10% of your annual rental income. As well as this, furnished properties usually demand higher rents than those that are unfurnished, so decking your property out could bring great rewards in the long-term as well as higher property value next time you’re looking to sell.
More than anything, whether you choose to furnish or not will depend on the type of tenant you are trying to entice. Generally speaking, families and more mature tenants will be after unfurnished houses and flats. They are more likely to stay put for longer and will probably have more disposable income to make their rental property feel like ‘home’. Meanwhile, students and house sharers are much more likely to want fully furnished accommodation – shorter-term renting habits, less house-proud, etc. If you decide to let through a nearby college or university, they will insist that you provide desks in every bedroom.
From a safety point of view, any soft furnishings you provide – whether that’s mattresses, sofas, rugs or duvet covers – must comply with latest fire regulations. Fire retardant labels should be attached to these items, unless they were manufactured before 1950.
It’s also important to bear in mind that most tenants would expect their rental accommodation to include ‘white goods’ – things like fridges, washing machines and ovens – even though there is no legal requirement for landlords to provide these. However, you shouldn’t feel obliged to provide ‘luxury’ items such as dishwashers, microwaves and tumble dryers unless the property you are looking to let is at the higher end of the market.
For further advice and information on letting your property, please contact us on: 0844 809 993. At ChimneyPots, we also provide an instant online valuation tool to allow you to work out how much rent you could be earning.
http://chimneypotsestateagent.co.uk/
