According to reports, 2019 is going to be generally a good year for the letting industry as demand is expected to remain high. Moreover, supply is still scarce this year. This means fewer competitors and higher chances of finding tenants quickly.
So, if you have a rental house in Dublin 6 or anywhere in Ireland, it’s best to list it now. Don’t wait until next year to find tenants because, according to forecast, supply is expected to pick up by then. When this happens, you might encounter difficulties renting out your house right away.
First time to rent out a house or apartment? Do not worry – below is a guide on how to let a property in Ireland.
Get consent from your mortgage company. If your property is still under mortgage, you cannot rent it out without your lending company signing in on it. Doing it without their consent is a breach contract and you can be penalised for this. So, make sure you get a formal letter stating that the mortgage company is allowing you to let your house.
Inform your building and contents insurer. You also have to notify your insurance provider so that your policy can be amended. In addition, you need to get a new type of insurance – a landlord insurance. It is not mandatory to get one, however, some lenders require it. What if you’re not asked to get one? It’s still in your best interest to have a landlord insurance. Think of it as a way of protecting yourself financially over the course of the lease. After all, you do not know what can happen in the future.
Decide if you are going to let the house on short-term or long-term basis. If you are looking at short-term lets, read up on the so-called Airbnb law first which is going to take effect on June 2019. Under this legislation, you will need to get a planning permission from the local council if you want to rent out your second home or apartment on a short-term basis. This law was crafted to address the shortage of rental properties, especially in cities, available for long-term lease. The speculation is that, to ensure that the law serves its purpose, rental properties in areas where housing demand is high won’t be permitted to accept short-term bookings.
If you have a rental house in Dublin or other sought-after areas, save yourself the trouble and just go for long-term lettings.
Determine how much the rental fee will be. It has been reported that, while rental fees are soaring in Irish cities, landlords are not earning at all. In fact, some are saying that rental property owners are selling because letting is no longer profitable. To avoid ending up in this situation, you have to set the right rental fee. Ideally, the amount should be enough to cover all payments for mortgage, insurance, maintenance and the like. Of course, you should get a decent profit, too.
To come up with the right amount, research about the current rental rates in your area for properties similar to yours. Also find out what how high can you charge. Just a reminder, you can be fined by as much as €30,000 if you breach the rent cap. More importantly, don’t forget to factor in the fees you need to pay for like mortgage and tax.
Work with a property manager. Being a landlord is not easy. It is often a stressful and time-consuming job. So, spare yourself the hassle of managing a rental property and just hire a property management company. The responsibility of a property manager is not just limited to overseeing the rental house during a tenancy. They also spearhead marketing initiatives for the property and take charge of screen potential tenants. Suffice to say, with a property manager property by your side, letting a property in Ireland is going to be a breeze.
Make the house presentable. Before you list your rental house, make sure you inspect it thoroughly and fix whatever is damaged. If you have money for home improvement, repaint the walls to make the house looks fresh. You also need to deep clean the entire property. Lastly, make sure that your house satisfies government requirements, i.e., adequate ventilation and lighting, damp-free, laundry facilities, etc.
Planning to let a property in Ireland? We can help you advertise, find tenants and manage your property. Call us at 014959020 today!
Photo by Maryland Apts