Is it worth becoming a BTL landlord if you have no DIY skills?

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    #16
    JamesHopeful,

    I'm very aware of the price / value of my time.
    Sometimes cash flow is the issue.

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      #17
      Flashback1966,

      I have all my properties fully managed by an excellent and reasonably-priced letting agent, so these situations don't arise. Again, lettings management is another part of the job which can very easily be outsourced (and indeed, with my value of time being taken properly into account, I'd argue it's cheaper that way), and my letting agent does it far better than I would as they have relationships with a lot of tried and tested tradesmen (I think they get things at better prices than I would) and have a lot more knowledge about how to deal efficaciously with day-to-day issues.

      I am aware that these things might be different for different people's situations. If you're a retired person with one or two properties and plenty of time on your hands, you might put your value of time at a lower level which might mean it makes more sense to do these things yourself.

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        #18
        Originally posted by JamesHopeful View Post

        I have all my properties fully managed by an excellent and reasonably-priced letting agent, so these situations don't arise. Again, lettings management is another part of the job which can very easily be outsourced (and indeed, with my value of time being taken properly into account, I'd argue it's cheaper that way).....
        For me it is n't an issue about money, but my properties are my biggest investment, so it is important to be involved hands on. I use agents for some and for others I self-manage.

        There is an interesting line in the book "Only the paranoid survive" by Andrew Grove (former CEO of Intel), who said he found that the CEOs of companies were often generally the last person to know what was going on. I guess it is the same with Landlords, who might or might not know what is going on, when they are shielded by the letting agent. When neighbours have complaints, they don't know who the landlord is or how to reach them. If a tenant is unhappy with the letting agency or a property issue or quality of repairs, they may struggle to find contact details of the landlord. Lines of communication are broken. Even if an agency is great today, but staff do leave and the service can change.

        In your case it may be working for you....

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          #19
          LordLand78,

          No you don't need to have DIY, skills however it does help if you can do certain things. You will always have to rely on third party helpers, builders etc... and labour cost is not cheap. If the tenants have rearranged the furniture and turned the living room into a bedroom, can you change it back?. Who will you call on to help? Will the agent think is part of their job role?

          Secondly, if there was offsetting of your rental income against the rent you will be paying, then that would be something else in your favour. I suggest you write to HMRC and MP for a change in tax rules. Let say the tenant is not paying rent, but you have are incurring accommodation costs, so you are loosing money. If you could offset your accommodation cost, then the tax man is sharing your pain (and sacrificing some as you are downsizing).

          Would I get into the BTL? There are too many regulations and more on the way. There are too many risks. You may find problems trying to get your property back (depends on what comes in). We also have a shortage of good tenants. All you need is one bad egg, for thing to make your investment pointless. You will need to be financially resistant when things go wrong.

          I may be stereotyping, but if you move to a cheaper area, you may find a greater level of anti-social behaviour or other issues.

          In my opinion, you may be better off taking on a lodger or renting our your spare room on AirBnB, you will have more control. Yes, you have to share your living space, but it is also tax free.



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            #20
            I don't think I would have become a landlord if I didn't have DIY skills. I don't have great big skills, but I can decorate, lay laminate flooring and carpet (reasonably well), wield a saw and a hammer (sometimes at the same time ), tile, and put flat pack furniture together. And I went on a plumbing course (level 2) but prefer to let somebody with more experience do any plumbing. I gave up teaching to concentrate on building my BTL business so at first I needed all my skills as there was only one wage coming in and three mouths to feed.

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              #21
              Originally posted by Flashback1966 View Post
              LordLand78,


              I may be stereotyping, but if you move to a cheaper area, you may find a greater level of anti-social behaviour or other issues.
              I work in an '' industry '' whereby i dealt with the ne'er-do-well's on a regular basis and i can assure you, you are not stereotyping at all !!!

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