The Money Vault

With the current boom in buy to let properties there is a greater demand for the services of an efficient Property management & Letting Agency.

One of the many benefits of owning a property management or letting Agency is that the business can be run from your own home, either full or part time.

There are many franchises obtainable in the property management and letting agency field but also there are a few companies who offer a full package which includes all the information you will need to start up your business, Landlord's Tenancy Agreements etc. The cost for property management and letting agency packages is reasonable and once the initial payment is made for the package all money earned is your own.

Many Landlord's do not have either the time or inclination to vet tenants, carry out inventory checks, inform utility comapanies at changeover or do property inspections, which is why there is such a demand for property management and letting agency services. Nowadays a typical Landlord may own 10 or more properties any yet still have a full time job.

Usually a property management or letting agency would charge between 10% - 12% of the monthly rental plus various extras such as inventory charges, so you can see for yourself that this can be a pretty lucrative business. Each new property that you take on brings extra income and once the initial work of setting up new tenancy agreements, utility changeover, inventory check and paperwork is complete, the tenant will pay the money into your bank account by standing order and you will have a standing order in place to pay the Landlord, after having deducted your commission.

I usually find, as a Landlord myself that when one of my properties become vacant a simple advert in the local newspaper draws an enormous amount of interest from would be tenants. As a Letting Agent it would be prudent to take details of each enquirer and as you add new properties you have a waiting list of Tenants ready to step into the accomodation. If you have a list of waiting Tenants it is so much easier to attract Landlords to your company.

Rents vary greatly due to such factors as location and size of property, but each one bedroomed property is going to bring you around £50 per month commission. If you only have 10 one bedroomed properties on your books (which is an unlikely scenario) your income per month would be £500. Have a look for yourself at a few independent Property Management and Letting Agency websites.Most have page upon page of properties either available or already let.

Anyone can become a property manager or letting agent! You need no special training to become involved in this profitable business.

One company who I have personal experience of is Southcourt Property Management. They offer a complete business package for £595, including your own customisable website. The very large folder you receive from Southcourt looks daunting at first but everything is set out in easy to understand language plus Southcourt are always available during office hours to answer any queries you may have.