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5 Big Advantages of Buying Tenanted Flats
Here, we explain the benefits of buying tenanted flats and how Cairn can help.
Interested in property investment? Imagine you could skip the marketing, viewings, and tenant vetting and get straight to the monthly rental income. With tenanted flats, you can.
Put simply, these are flats with tenants already in place. And there are several benefits to going down this route. In this short post, we share the 5 biggest advantages of buying a tenanted flat.
What Are the Benefits of Buying Tenanted Flats?
1. Tenanted flats are fixed-price investments
One of the best things about buying a tenanted flat is that they’re often marketed at a fixed price. This means if you meet this price with your offer, you’re more than likely to seal the deal.
Fixed price properties are typically sold on a first-come, first-served basis, and you’ll rarely get involved in a costly bidding war. This can be particularly attractive if you have a set budget and you don’t want to stretch beyond it.
2. You get cash flow from the word go
Another huge benefit of buying a tenanted flat is that you get immediate cash flow. The property won’t be sitting empty after you buy it, and you won’t need to spend time and money searching for new tenants. It’s regular and reliable rental income from day one.
And the added bonus of having tenants in situ is that they’re less likely to request expensive improvements, repairs, or refurbishments (as the previous landlord will need to deal with them before selling).
3. You get tenants with a track record
Finding the right tenants for a vacant property can take time. You’ll want to make sure they have the means and character to make their rental payments on time each month. And sometimes, you won’t know they will until they’re in place.
With tenanted flats, you’ll have all this information available before buying. You can check their payment history and ask the current landlord for a character reference.
4. You’ll have complete confidence in compliance
Another major consideration when buying-to-let is the responsibilities you’ll have as a landlord. This extends to ensuring safety checks are carried out regularly and mandatory safety certificates (for fire, gas, and electricity) are in place.
When you buy a tenanted flat, all of this documentation will already be arranged. It’s simply transferred to you, so you’ll know when the next checks are due. And if you stick with the existing letting agent, they can organise them on your behalf, giving you complete peace of mind that the property will remain compliant.
Read more: Landlord Legislation & Responsibilities
5. You know it’s been sourced (and checked) by a reputable letting agency
Buying any rental property comes with risk, but that risk can be reduced when you buy with tenants already in place.
A reputable local letting agent can conduct an in-depth audit of the property to ensure it’s a sound financial investment — and with the advantages described above, you’ll be in a solid position to start recouping money on your purchase from the outset.
At Cairn, we’ve helped many buy-to-let investors source and purchase tenanted flats. Our team can offer expert advice and guidance to new and experienced investors.
Interested in Buying Tenanted Flats? Let’s Talk
As you’ve discovered, buying tenanted flats offers plenty of advantages. If you’re interested in learning more, contact Cairn today to discuss the investment opportunities available to you.