According to research conducted by the Office of National Statistics, The Consumer Prices Index including occupiers’ housing costs (CPIH) increased by 7.8% in the 12 months to April 2022. In simpler terms, monthly CPIH went up by 2.1% in April 2022, in comparison to 0.7% in April 2021.
No wonder you’re here looking for money-saving tips!
Even without the stats to back it up, I am sure that we are all undoubtedly feeling the brunt of the recent surge in inflation and relentless rise in the cost of living. It seems that every time we blink, another everyday essential item or necessity has increased in price and regardless of which tax bracket we fall into, we’ve all been forced to start pinching the pennies.
In these times everyone can benefit from ideas on how to save some money, so continue reading for our top 5 money-saving tips of small ways in which you could save yourself some money as a landlord.
Money-Saving Tips 1: Keep Track of Your Outgoings and Review Subscriptions
This point may seem obvious and given the current climate, most of us probably don’t need to be told twice, as everyone is likely sifting through their bank statements and receipts with a fine-tooth comb and under the watchful glare of a microscope.
However, it is surprising how many people grow complacent with their outgoings – we can all be guilty of it at times, so it is worth the reminder to do your due diligence and do yourself a favor. Making small changes such as regularly reviewing your current mortgage or insurance policy could make all the difference, as well as if you are personally responsible for managing your property – ensure any services you are subscribed to are being offered at the most competitive rates.
Rather than letting everything roll over into automatic renewal and most likely being overcharged, as a result, make a note of your renewal dates, and incorporate a day into your schedule every 6-12 months to do some life admin, fully review exactly how much you’re paying, what you’re paying for and to shop around for the best prices. This will help you to gauge exactly what is available within your budget at the time of renewal and maximize any saving opportunities.
Money-Saving Tips 2: Strike a Deal with Suppliers
As a landlord there is a reasonable possibility that you have business relationships with small companies, if this is the case then this is the perfect opening for you to negotiate on pricing. For example, if there is a particular company you use to do all your maintenance work and you have a good working relationship with them and have been a reliable customer throughout the time you’ve used their services, this gives you a great foundation to strike a deal.
Even giants such as Virgin Media will do what they can to keep customers happy, but especially independent and smaller businesses will do their best to avoid losing a customer -, particularly over something that could be open to negotiation had you simply been more vocal.
Money-Saving Tips 3: Combine Jobs Where Possible
Whenever your tenant reports a fault or issue, it is worth confirming with them whether there are any other outstanding jobs that need attention. Also, instead of having to rely on the tenant being forthcoming or remembering what maintenance works are outstanding, it is important that you also keep accurate records of any jobs that need completing at your rental property and do your best to make a judgment call on how urgently each job needs tending to.
Perhaps you could agree with your tenant on a specific date of each month when smaller jobs will be reviewed and completed, to help mitigate the costs of multiple callouts.
At Abbey Property we’re all about money-saving tips and tricks, assess your outstanding jobs using our Maintenance Schedule which ranks common jobs in order of priority and is available to view on our website, giving landlords and tenants an understanding of when any jobs can realistically expect to be acknowledged and repaired, reducing any confusion.
Money-Saving Tips 4: Stay Compliant
Especially for those landlords going it alone, this step can often end up being much easier said than done. Without anyone there to regulate your actions, the onus is completely on you. This means that it can be very tempting to try and cut some corners to save yourself some money, especially with ongoing changes to legislation, remaining compliant is no small expense.
However, in the long run, staying compliant can save you not only a large amount of money but also your freedom… No amount of money-saving tips will guarantee your freedom!
For more details on your compliance requirements take a read our article I’m A First Time Landlord, What Are The Costs?
This may sound hard to believe, but as we touched upon above, spending money now could save you more in the long run.
Whilst some landlords are of the mindset that they can do everything themselves, in comparison to an expert property management company – how would your DIY attempt fare? Can you be certain that you will be able to keep up with all the responsibilities that come along with being a landlord, for an extended period and to a good standard?
Also, being honest, even on an average day ‘at the office’, being a landlord can be hard work. A letting agent will be more equipped to ensure a tenant is suitably vetted and checked, to help minimize the likelihood of you ending up with a poor-quality tenant, who may end up being more hassle than their worth. On the other hand, some of the day-to-day demands of being a landlord are not necessarily reflective of the tenant and simply par for the course.
Above all else, naturally, it is easiest to measure money as it has a physical form and we can see it coming in and (mostly) out of our bank account, but what many of us undervalue greatly is our time.
Being a landlord (especially a good one) can be a particularly onerous role, so offloading some of the responsibilities to an established and reliable property management company can not only free up your time but also save you money in the long run by getting things right the first time around!
Feel free to get in touch with me to discuss your portfolio and your current circumstances, and we’ll have an informal chat to see how Abbey Property could potentially help you! Who knows, we may be have some more money-saving tips for you!
Money-saving tips aren’t everything you need to know…
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