Of all secondary streams of income, the finger still points to property. Despite the cost of living crisis and rising interest rates at 1.25%, property still remains a viable and even reliable way to earn side income. It ranks as one of the top streams of income and given our property market in the UK, we would say the best. Still, sales of property are up, although the reasons for selling property vary. Landlords cited the following reasons for the decision:
For 62%, it was maintenance costs amid a rise in the cost of raw materials. 35% cited interest rates increasing as a reason to sell up while 28% mentioned tax as a reason for selling, with 20% blaming utility bills and the remaining 17% citing letting agency fees. Reddbox already offers a solution to letting agencies, and have provided a comprehensive article here and part two here, showing how the rate rises are still minimal given the annual yields landlords can gain from lettings.
According to Property magazine in the first three months of 2022, 62% of landlords reported heightened tenant demand in England and Wales, with 11% of landlords buying property and 8% selling so far this year. With demand rising sharply, there are more opportunities than ever to make letting property a secondary stream of income and Reddbox is here to guide you through the process.
Buying and Selling with Tenants In Situ:
Despite what it sounds like, buyers are drawn to having existing tenants, as it equates to recieving income straight away. For the seller, no eviction is necessary in order to sell your property to a new buyer. Without having to give your tenant two months notice, you can market the property straight away before having to wait two months. Save the unpleasant moment of giving your tenant a two months notice and be open and honest. You could even consider offering them first chance to purchase the property.
NRLA and the Government.
The NRLA is lobbying the government to unfreeze the rate of Local Housing Allowance (LHA) given to low income tenants. Calls have been made to the Chancellor in order to reduce the amount of tenants that may be left unable to pay rent amid the cost of living crisis.
Streams of Income:
Looking to build your portfolio? Make sure to log and file all paperwork in the app in time for the MTD (Making Tax Digital) Deadline in 2023.
One More Thing:
Reddbox has just launched new insurance plans, allowing you to secure nine months of rent upfront, take out home insurance and as a free additional gift , insure electronic devices under the gadget insurance plan. You can still hire tradesmen and store documents all in the app, and let Reddbox calculate the figures for you, in time for the Making Tax Digital mandate.
Our offer: Download the app and start saving time managing your properties. Follow the screens to provide your details, and that’s it. Some of the key features why you should consider Reddbox are –
- A completely app-based, super simple service booking process.
- Options to pay for the service over a few months without any additional interest or fee. See our rates here. Be quick, we are running promotional rates at the moment.
- You can book the service seven days a week, which means no need to disrupt your busy day.
- A very transparent cancellation and refund policy.
- And the best one – Reddbox will automatically organise all the relevant documents such as invoices and certificates.