What Is ‘Rent-To-Rent’ And How Can It Benefit Me As A Landlord?
One common question that we get asked is how do we acquire our portfolio of property? There are several ways that we do this including purchase and management, however the majority of our properties are acquired on a ‘rent-to-rent’ basis. Which leads to the question, ‘What is the rent-to rent model?’
In this article we will answer that question and we will explain how it has attributed to the success of, not only Donnini Apartments over the last five years, but also for the landlords and investors’ portfolios that have joined our list of clients.
So, what is Rent-to-Rent?
‘Rent-to-Rent’, also known as ‘Guaranteed Rent’, is where an individual or company takes an interest in a property for a period of time from a landlord and guarantees to pay a fixed rent to the landlord. The landlord gives consent to the third party, ‘the Renter’, to then rent the property to other tenants. The Renter and they become the tenant liable for the rent. There are several ways to legally sublet a property, usually involving commercial or corporate tenancies, management agreements, and leases or guaranteed rent schemes. You can find out more information on this here: https://www.theprs.co.uk/news/how-does-guaranteed-rent-or-rent-to-rent-work
So how does this benefit me as a landlord/investor?
No fees! That’s right, we pay you rent, we don’t charge you!
It provides a guaranteed figure that you can rely on month on month, year on year, to provide financial security and planning.
No void periods. It can be costly when a tenant moves out and you need to repair/replace items before marketing again, can’t it? That doesn’t happen with Donnini.
Your property is taken care of to a high standard. With our average review score of 9.5 with 50+ properties on our books, cleanliness and property care is at the top of our agenda! We need to keep the property to a high standard to provide a great guest experience which therefore gives peace of mind to the landlord that we are looking after their asset.
There is a contractual agreement for peace of mind. If there are any changes to the regulatory environment in which we operate, or any changes to your personal circumstances, then we have a contract to give each party that extra peace of mind.
“I couldn’t recommend Donnini enough. Previously I had some poor experiences with letting agencies and tenants, but the Donnini model works perfect for me, I know my property is being taken care of and best of all there are no fees!” Mr McPhee
If you want to find more about how rent-to-rent can benefit you, you can visit our property investment page here: https://www.donnini.co.uk/property-investment/ or if you want to discuss property investment or your portfolio with Donnini’s Director, Jake Murray, then simply get in touch on 07496 623354 or by emailing jake@donnini.co.uk