How to become a Buy-to-let Landlord
- Price: £5.99
- Published: March 2016
- Type: Business Opportunity Profile
- Format: PDF
- What qualifications and skills are required?
- Key market issues and trends
- Trading, commercial and legal issues
- Further information
Buy-to-let (BTL) landlords purchase, and often renovate, residential properties, which they then let to private tenants. BTL landlords can let property directly, but many engage a residential letting agency to let and manage properties on their behalf. Some BTL landlords own just one or two rental properties, while others own a large number of properties and rely on the rent as their main source of income. The majority of BTL landlords finance their initial purchases using dedicated BTL mortgages, which are usually more expensive than non-commercial mortgages, with many lenders requiring high arrangement fees and deposits.
Letting residential property is not a regulated activity in the UK. However, in Wales, Scotland and Northern Ireland, and some parts of England, BTL landlords must be registered with national registration schemes. A licence is usually required to let houses in multiple occupation in the UK.
BTL landlords must also meet various legal requirements intended to protect tenants. These include ensuring each property complies with building, fire and gas safety regulations, and protecting tenant deposits.
This profile provides information about starting up and operating as a BTL landlord. It describes the skills required, the training available, the current market trends and some of the key trading issues. It also explains the legislation that must be complied with and provides sources of further guidance and support.