Policy Change: Let and Manage only
April 14, 2010
We have taken the decision that Young London will only rent property for private landlords on a let and manage basis. This means no more finding a tenant then handing over to the landlord to manage.
There are benefits for both the tenant and landlord
For the tenant . . .
When a prospective tenant contacts us to enquire about renting a property I believe they receive very good advice and service from Young London. This will continue through the process, ideally with them finding a home through Young London to rent. If we are only instructed to find a tenant for the landlord as the landlord will do the management then the tenant will be in the hands of the landlord for any property management issues once the tenant has moved in. In many cases the landlord will manage the property to the satisfaction of the tenant. However, there will be occasions where this will not be the case.
This is not always due to incompetence from the landlord (although there are times where this will be the case) it may be they are away, in meetings or lack the knowledge in how to resolve issues.
However, we have come to the conclusion that we do not want to take the risk to the tenant and our reputation of housing a tenant without the assurance that the property will be managed properly. Tenant satisfaction is important to us, as is Young London’s reputation and we do not want tenants to view us poorly due
to a lack of service from a landlord.
For the landlord . . .
We f ind when properties are managed well the tenants stay
in the property longer. Of the hundreds of property we manage, 4 out of 5 tenants renew at the end of the first year. This reduced tenant turnover keeps occupancy levels very high and therefore generates a strong income stream.
Minimising voids is paramount for property investment.
Many landlords do initially think they can manage the property and save on management fees. However, in our experience this is a false economy. Management is not only dealing with tenant issues, but done correctly will help protect the asset value, ensure all regulations are adhered to and is tax deductible as well!
When buying a product or service it is often the aftercare service where you receive the most satisfaction – property management should be considered in the same way.
I firmly believe only offering a let and managed service at Young London is the correct approach for all involved.