If you’re looking to invest in rental properties in an area like Camberwell or Denmark hill, make sure you do your research into the surrounding area – it will help you identify what type of tenants are looking for homes in the area, what benefits the locality has to offer and what kind of rental income you can expect.  

Even if you have lived in the area yourself (or still do) you should try to see it with fresh eyes as a landlord. For example, you might not have children, but your ideal tenant could – what schools are nearby, parks, children’s centres, activities for teenagers? Camberwell and Denmark Hill are popular are now for raising children thanks to excellent schools, plenty of green spaces and that ‘urban village’ feel, but they’re also popular with young professionals looking for community, good food and drink, and an easy commute.  

South East London has an incredibly varied rental market, with in-demand properties ranging from magnificent period dwellings to house-share opportunities for young professionals and students. Yet what brings all of those properties together is that a majority of tenants are actively looking for homes specifically in these areas: they are desirable postcodes, thanks to the community feel and local amenities.  

If you’re looking to rent out a property in the area – whether it’s one that you already own, or a potential investment – it’s important that you understand the value of both the local area and the property itself to successfully market it to the most viable tenants. In Camberwell, rental prices at time of writing (June 2022) range from £1,100 for a studio or house share, to £6,000 for a 7 bedroom Georgian townhouse, but the average for a three or four bedroom family home is between £2,700 to £3,800 a month.  

This doesn’t only apply if you’ve lived in your property. Landlords often develop personal attachments to investment properties without even realising it, especially if it’s your first professional let or you’ve poured a lot of energy and emotion into renovations. If you want to rent your property successfully, you need to let go of any personal attachments – it will make renting less stressful and emotionally draining, as well as improving your professional relationship with your tenants.  

Daniella Aspland, Urban Village’s Property Manager, says: “My advice is always: think of this as an investment. This is your business. Don’t think of it personally. It can be particularly tough if it’s your former home, but the more you can separate yourself from it emotionally, the better. It’s easier if you have an agent that you know will care about the property.”  

Compliance in crucial to renting a property, and you need to make sure you understand your obligations in relation to your particular tenancy: for instance, a family home can be covered by different rules to a multi-occupancy property. Pay close attention to fire and gas safety, energy performance certificates and Right-to-Rent checks.  

Aside from compliance, it’s also important to be aware of what’s expected of you as a landlord. There are rules and regulations in place to make tenants feel protected, such as giving 24 hour notice to access a property: if you’re a new landlord, you might not know that a friendly ‘just dropping by to check in’ visit could land you in hot water and damage relations with your tenant. Understanding obligations doesn’t have to be complicated: get the right advice and support from the start, or appoint an agent to make it a stress-free process.   

Don’t fall into the trap of taking on additional responsibilities once the tenant moves in – there are certain things that don’t need to be your responsibility, so make sure these are covered clearly in your tenancy agreement. For example, if you have a garden, it can be the tenant’s responsibility to keep it in (or at least return it to) the state it was in at the start of the tenancy, as long as gardening tasks don’t require expertise (like pruning tall trees).  

Taking an inventory at the start of the tenancy, with photographic evidence, serves two functions. One, it can help you keep on top of maintenance, as you’ll have a visual record of how the property looked at the beginning of the tenancy. Two, it plays a vital role if you need to deduct any costs for damage from the tenant’s deposit. You should be careful though, as not all damage can be assigned to the tenant, particularly when it comes to décor in long-term lettings: there is a difference between ‘fair wear and tear’ and ‘damage’, and it can be a contentious subject.  

Your tenant’s deposit must be covered by one of three government-backed schemes within 30 days of receipt. If you fail to do so, a tenant can raise action against you and potentially be awarded up to three times the value of the deposit. It can also affect your ability to end the tenancy using a section 21 notice. Make deposit protection your number one priority once the tenancy begins, and make sure you notify your tenant of the details (you can find the information that needs to be included on the government’s tenancy deposit protection page). If you appoint a managing agent, they will take care of this process for you, but again, it’s worth keeping an eye out for confirmation as liability for non-compliance will still fall to you as the landlord.  

The three government-backed schemes are: 

Small issues can easily become big problems if left unattended – but you can’t fix them if you’re not aware they exist. Tenants won’t always report small maintenance issues – often it’s because they aren’t looking out for them, but sometimes it’s because they’re concerned that reporting minor problems will have a negative impact on their tenancy. Regular inspections will help you to keep track of wear and tear to make small repairs where needed, preventing them from needing more expensive solutions later on. Outline these visits at the start of the tenancy and make their purpose clear: you’re not intruding on your tenants, you’re making sure there rental is maintained to a high standard.  

We can’t recommend this enough – if you’re lucky, you may never need to claim on your landlord insurance, but if a situation arises where you do you will be grateful to have it, as you could find yourself significantly out of pocket. Different policies obviously have different specifications, so make sure you’re getting the correct cover for your property and your tenancy type. Again, a good letting agent can help you with your decision.  

There are times when being a landlord becomes a fulltime job. Although weeks or months may pass with little incident, your property is always on your mind, and you can start to feel like you’re always waiting for the next issue to occur. Then, there’s the inevitable day where an unexpected concern does arise – whether it’s a flooded kitchen or a tenant handing in their notice – requiring you to devote time and energy to handling it that you may not have to spare.  

Appointing a letting agent can not only alleviate the mental burden of running a property: it will ensure that someone is always on hand to deal with emergencies, events and tenant turnover quickly and professionally. They also bridge the gap between you and tenant, which can be useful if there any communication issues or complaints from either party. However, it’s important that you choose an agent you can trust, and preferably one local to your property: they’ll be able to attend the property urgently if need be, and they’ll be easier for your tenant to access.