February 14, 2024

Rent Your Property to the Council

Rent property to council

As landlords constantly seek ways to maximise returns whilst minimising risks, one avenue gaining popularity is renting your property to the council through guaranteed rent schemes.

This innovative approach not only ensures a consistent stream of income, but also contributes significantly to addressing the housing crisis and supporting families in need of social housing.

Understanding guaranteed rent schemes

A guaranteed rent scheme operates on a simple premise: landlords lease their properties to a guaranteed rent agent, usually for a fixed period of between three and seven years. The guaranteed rent agent then sublets the space on to tenants, or may rent your property to the council to house their tenants.

This arrangement provides landlords with a hassle-free experience, as they receive a fixed rental income every month irrespective of whether the property is occupied or vacant. This financial security is particularly appealing to landlords who wish to avoid the uncertainties often associated with traditional tenancies.

Another benefit of using a guaranteed rent scheme is that many are backed by a professional property management service. This ensures that everyday maintenance and repairs are built in as part of the package.

Regular property inspections may also be included. These ensure that your property is being looked after in line with the lease terms.

Guaranteed rent schemes free up landlords’ time in other ways too. They deal with all aspects of administration, for example, including sourcing new tenants, arranging tenancy agreements, collecting rent and dealing with day to day queries from tenants.

Rent my property to the council – what are the benefits?

There are various benefits to renting your property to the council. These include:

No late payments

Renting your property to the council via guaranteed rent schemes has a standout advantage for landlords of timely payments.

As the council acts as the tenant, rent payments are not subject to the usual challenge of late payments or worse, non-payment. Landlords can rest easy knowing that their income is secure and will be paid consistently each month, providing a stable foundation for financial planning.

No void periods

Void periods can be a headache for landlords as they mean a loss of income and additional costs associated with property maintenance and marketing.

Renting your property to the council through guaranteed rent schemes eliminates this concern entirely. The council is committed to ensuring that their properties are always occupied, minimising the risk of void periods. And if the worst happens and your property becomes vacant, rest assured that you will continue to receive your monthly rental income.

This consistent occupancy not only guarantees landlords a steady income stream, but also reduces the need for re-marketing the property. For landlords seeking a hands-off investment strategy, renting to the council offers peace of mind that is hard to come by in a volatile property market.

Access to new markets

Renting property to councils via a guaranteed rent scheme means you can target new markets for rent that you may not have considered before.

The local council will have contacts with families and individuals that are actively looking for and in need of somewhere to live.

No risk of dealing with evictions

As well as not having to worry about late or non-payments, when renting property to the council via a guaranteed rent scheme, you also won’t have to worry about the stressful situation of having to evict tenants and the legal costs that this process entails.

The responsibility of serving notice to tenants and managing evictions lies solely with the guaranteed rent provider.

Addressing the housing crisis

Beyond the personal benefits to landlords, participating in guaranteed rent schemes contributes significantly to addressing the ongoing housing crisis. By making your property available for social housing through the council, you become an essential part of the solution to the shortage of affordable homes for families in need.

The demand for social housing is ever-growing, and renting your property to the council allows you to play a vital role in supporting vulnerable individuals and families. As a responsible landlord, you can take pride in contributing to the creation of stable, secure homes for those who may otherwise struggle to find accommodation.

How to get started with renting your property to the council

Getting involved with renting your property to the council is a straightforward process.

Begin by researching reputable guaranteed rent agents in your area, ensuring they have a proven track record of successful partnerships with local councils. Once you’ve identified a suitable agent, reach out to discuss the terms and conditions of the arrangement, ensuring transparency and clarity from the outset.

Typically, the guaranteed rent agent will liaise with the council, taking care of all the necessary paperwork and logistics. Landlords can relax knowing that their property is in the hands of professionals who specialise in navigating the complexities of social housing arrangements.

Looking to rent your property to the council? Talk to City Borough Housing.

Renting your property to the council through guaranteed rent schemes is a win-win for landlords seeking stability, reduced risks and social value. The consistent income, elimination of void periods and contribution to addressing the housing crisis makes this innovative approach an attractive option for those looking to optimise their property investments, without having to get involved in day to day property management.

Guaranteed rental schemes such as those offered by City Borough Housing are a great way to minimise the risk whilst maximising your rental income.

At City Borough Housing, we work with various local authority housing departments to meet local housing needs across London and parts of Kent and Surrey.

We’ll start by offering a free valuation of your property. Next, we’ll inspect your property to ensure it’s compliant for renting and safe for tenants. We will then agree contract terms based on a flexible lease period of between three and seven years. Your guaranteed rental payments begin from the contract start date. At the end of the agreement, we will return your property to you in its pre-let condition, allowing for fair wear and tear.

To find out more about guaranteed rent schemes and how they work, and to request your free valuation, please get in touch. Our professional team look forward to hearing from you.

Request Your FREE Rental Valuation

Just a few details are all we need to calculate your rental offer. You can also use this form to request more information about our services.

info@cityboroughhousing.co.uk

020 3790 9228