New landlords who are looking to attract tenants to their properties as quickly as possible should consider the surroundings of the home and the facilities that are available to tenants.
This is according to David Lawrenson, private rented sector expert at LettingFocus.com, who said the key to having a successful career as a proprietor is to purchase suitable houses in the right location.
Mr Lawrenson went on to say the recent hype surrounding the Olympic Games has seen too many flats built and an excessive supply in certain areas of the country, which could make it difficult for landlords to enjoy success now the international sporting event has finished.
His comments were made after Endsleigh reported the average monthly rent across the UK in 2011 increased for the third year running to £706 - compared with £688 in 2010 and £663 in 2009.
The company found central London saw prices decline by three per cent in 2011, compared with the previous 12 months, to £1,330 every month.
Figures also indicated that despite the current economic climate, the lettings market has remained buoyant with the majority of rental prices across the country remaining in line with inflation.
Commenting on the results, Grant Stevens - general manager of letting services at Endsleigh - said leases in London have been rising for some time, so "it is no great surprise" there has been a cooldown in prices.
Similarly, Mr Lawreson noted the buzz surrounding the Olympic Games has resulted in people getting carried away about a hyped investment generated by property clubs, which could lead to too many flats in one area.
He added: "You need to really understand your local market and look for things that will drive up rents and house prices.
"Look at where there is new transport infrastructure, regeneration and jobs coming and buy good quality housing stock."
New landlords can get expert advice on the legislation and practicalities involved when renting out buy-to-let property with Lawpack's Residential Lettings: The Complete Guide.
Written by residential lettings solicitor Tessa Shepperson, the book outlines all you need to know on how to rent out a property, including how to prepare the property for tenants, taking a deposit, renewing the tenancy and eviction.
Published on: August 23, 2012