5 Benefits Of Guaranteed Rent Vs Normal Tenants for Landlords
Are you a landlord tired of dealing with the uncertainties of renting out your property? Look no further! In this article, we will explore the benefits of guaranteed rent compared to having normal tenants.
Guaranteed rent offers a stress-free solution for landlords, providing a fixed rental income, regardless of whether the property is occupied or vacant. Say goodbye to the hassle of finding reliable tenants, handling late payments, or dealing with property damage. With guaranteed rent, landlords can enjoy the peace of mind of a consistent cash flow.
What we will cover:
Drawbacks of regular tenancies.
5 benefits of guaranteed rent.
A Free company let agreement.
So, if you're looking for a hassle-free way to generate income from your property, keep reading! Discover why guaranteed rent could be the perfect solution for you and your rental property woes.
Understanding the drawbacks of normal tenants
Missed rent payments
One of the primary drawbacks of having normal tenants is the uncertainty surrounding rental income. Tenants may fall behind on rent, leading to missed payments and financial instability for the landlord.
This can create a domino effect, making it difficult to meet mortgage payments or cover other expenses related to the property.
Bad tenants
Additionally, normal tenants may not always take proper care of the property, leading to costly repairs and maintenance.
From minor wear and tear to more significant damage, landlords often find themselves footing the bill for these unforeseen expenses. This can quickly eat into the profitability of the investment, undermining the financial benefits of owning a rental property.
5 Benefits of guaranteed rent
Now we have covered what the drawbacks are from having normal tenants, we are going to cover 5 benefits of guaranteed rent that we at Stayful believe make this new way of renting your property better then normal tenancies.
Reliable rental income
One of the most significant advantages of guaranteed rent is the reliable and consistent rental income it provides. With a guaranteed rent scheme, landlords can enjoy a fixed monthly payment, regardless of whether the property is occupied or vacant.
This financial stability is a game-changer for landlords, as it allows them to plan their expenses and budget more effectively. Instead of worrying about missed payments or prolonged void periods, landlords can count on a steady stream of income, making it easier to manage their financial obligations and maintain a healthy cash flow.
Moreover, the reliable rental income from a guaranteed rent scheme can also provide a sense of security and peace of mind. Landlords no longer have to stress about the uncertainty of the rental market or the financial risks associated with tenant turnover.
This can be particularly beneficial for landlords who rely on the rental income to cover their own living expenses or investment-related costs.
No void periods
One of the most frustrating experiences for landlords is dealing with vacant properties, commonly known as "void periods." These periods of time when a property is unoccupied can lead to significant financial losses, as landlords are unable to generate any rental income.
With a guaranteed rent scheme, landlords can say goodbye to these void periods. The provider of the guaranteed rent service is responsible for finding and managing tenants, ensuring that the property is continuously occupied and generating income for the landlord.
This eliminates the need for landlords to spend time and resources on marketing the property, screening potential tenants, and managing the rental process.
The elimination of void periods is a significant advantage for landlords, as it allows them to maintain a consistent cash flow and avoid the financial strain that can come with an empty property.
This, in turn, can lead to a more stable and predictable investment, making it easier for landlords to plan for the future and make informed decisions about their rental portfolio.
No Property maintenance and management
Owning a rental property comes with a myriad of responsibilities, from property maintenance to tenant management.
These tasks can be time-consuming and often require specialised knowledge, which can be a significant burden for landlords, especially those who have multiple properties or are not based near the rental location.
Maintenance
With a guaranteed rent scheme, landlords can effectively outsource these responsibilities to the service provider. The provider takes care of all property maintenance, including:
Repairs
Renovations.
Regular upkeep.
Management
Ensuring that the property is always in top condition. Additionally, the provider handles tenant management, including:
Tenant screening.
Rent collection.
Any necessary evictions or disputes.
This hands-off approach to property management is a significant benefit for landlords, as it allows them to enjoy the financial rewards of their investment without the day-to-day hassle of managing the property.
Landlords can focus on other aspects of their business or personal life, safe in the knowledge that their rental property is being well-maintained and managed by a professional team.
Lower risk of rent arrears and evictions
One of the most significant challenges faced by landlords with normal tenants is the risk of rent arrears and the subsequent need for eviction proceedings.
Dealing with tenants who fail to pay rent on time or who refuse to vacate the property can be a time-consuming and costly process, often requiring legal intervention and potentially leading to lengthy court battles.
With a guaranteed rent scheme, however, landlords can significantly reduce the risk of rent arrears and evictions.
The service provider takes on the responsibility of collecting rent from tenants and ensures that the landlord receives their agreed-upon rental income, regardless of whether the tenant pays or not.
The Benefit
This protection against rent arrears and evictions is a significant advantage for landlords, as it provides a level of financial security and stability that is often difficult to achieve with normal tenants.
Landlords can rest assured that their rental income will be delivered on time, every time, allowing them to plan their finances and investments with greater confidence.
Long-term security and peace of mind for landlords
Owning a rental property can be a rewarding investment, but it also comes with a significant amount of stress and uncertainty.
From finding reliable tenants to managing maintenance and repairs, the responsibilities of being a landlord can be overwhelming.
Guaranteed rent schemes offer landlords a level of long-term security and peace of mind that is often difficult to achieve with normal tenants, normally for 3-5 or even 10 years.
Benefit
This sense of security and peace of mind can be invaluable for landlords, particularly those who are looking to build a long-term investment portfolio or who rely on the rental income to support their lifestyle or other financial obligations.
Free Company Let Agreement
We at Stayful provide a free company let agreement for landlords or potential tenants to use, click the link below to download yours today!
Stayful Guaranteed Rent Service
With Stayful's guaranteed rent service, landlords can enjoy a fixed monthly rental income, regardless of whether the property is occupied or vacant.
The company takes on the responsibility of finding and managing tenants, as well as handling all property maintenance and repairs.
Overall, Stayful's guaranteed rent service is a compelling option for landlords who are looking to simplify the management of their rental properties and enjoy a more reliable and consistent stream of rental income.