Are LETTINGS AGENTS worth the MONEY?

Investing in property is very time consuming and there is lots to keep on top of to ensure everyone is happy and running smoothly, and something I get asked is, If lettings agents are worth the time and money? In this video I will be breaking down the pros and cons of a lettings agents, if I would use on or not. Do you manage or Self manage? Let me know in the comments below as I’d love to hear everyones thoughts and opinions of lettings agents!

00:00 - Intro
00:43 - What will they charge you?
01:30 - What does a lettings agent do?
03:13 - Which to go for?
04:02 - What are the pros?
05:54 - What are the cons?
08:07 - What would I do?

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[GiulianoRapoz]

Jamie, would be interested to hear your thoughts on 'Guaranteed Rent' services which are offered by letting agents? Where the letting agent effectively becomes your tenant which guarantees you a fixed rental income (including for void periods). The agent then sub-lets your property, from selecting the right tenants and then manages the property throughout the tenancy on your behalf, paying a slightly below market rate.

[surajit]

Thanks for another great video. I have a small portfolio and all my properties are managed by letting agents. I am in a full-time job. In addition to that, two of my properties are up north and I live down south. I don't have time to manage my properties.

[beeladyvicki]

Hi Jamie, in Wales the legislation has become so onerous due to the Rentsmart scheme, it seems mad not to use an agent. To manage the tenancy yourself feels hugely risky. I would always use an agent now. Thanks for another great video 😊

[allahassan]

Hi Jamie- can you do a video on guaranteed market rent and whether it’s worthwhile in ur opinion? I have always opted out of this option but keen to hear ur thoughts.

[tricky]

Jamie any commentry on the debate about buying a fixer-upper v a property that's ready to rent I actually think the renovation type property is overpriced at the moment? as for your question My properties are managed by letting agents, I just don't want the bother of finding tradesmen and having them no show.

[robertparker]

Hi Jamie, do you use 1 letting agent for all your properties? Or different depending on the area?

[popdroprolld]

Another great video. As a guy who has a Ltd company you have really opened my eyes to making a legacy from property.

Hopefully this year I'll be getting my first Buy-To-Let in my company name. After watching your videos I feel a lot wiser. I would have never considered an interest only mortgage but now I feel why would I do anything else.

[alistairlowe]

Self manage my 6 property’s, mainly because I enjoy the personal involvement.

[Cappaghgrove]

Nice one Jamie..I have used letting agents..because I am concerned about all the legalities...and about tenants not paying..I think it makes sense to have an agent deal with these potential nightmares

[iandavies]

Hi Jamie,
I HAVE A PROBLEM..!
I have 250k to put into BTL property (as ive said before) but now i find out that i cant get a BTL mortgage because i dont earn enough..!...any

[PeterDane]

How much time in a week, do you spend speaking to your letting agent in regards to managing your property?

[WallOfWarriors]

I had contact with a sourcing partner for R2SA who asked 24% in their offers (did not do any deals with them) :O
Another one asks 18%, also for R2SA.

[Bestofthebest]

I am paying 2.05 £ a day to managing agency. They dials with everything

[OGCrypto]

They always say to have a good team around you who do things better than you.

[edli]

The only thing they do is charging $ and doing nothing

[tomce]

Full managed and I only paying very little for service which is amazing from my agent. Sorry cannot disclose that- else agent will be too busy :) to be on serious side- I think it makes sense to self manage once you have more than 10-15 properties. 1) You can have legal company on your side which will deal with contracts, disputes and etc. 2) rest I am pretty sure you can manage yourself with help of online for advertising and etc. would I switch to self managed? Perhaps no.. I prefer freedom and hassle free feeling sometimes (especially when I am abroad and can forget BTLs).. however it makes sense to self manage if you have your own estate agency or dedicated lettings manager, but this would obviously mean you making mega cashflow and can afford it.. In real life- full managed service is okish.. I would never call it perfect.. you still need to chase, bring some “motivation” gifts to your agents and play a game -“demanding politic”.. :) to summarise all this in short- you wont be rich quick with all passive income (even with larger portfolios).. expenses of BTL is unbelievable.. Is not only agency fees, certificates.. maintenance itself or fences broken by storm or boiler failure - will kill your cashflow instantly.. I think if u planning to have budget 2-3 houses in your portfolio- that venture not even worth hassle (unless you keeping for your kids). There is better alternatives for passive and hassle free investments - one of them - index funds, however it doesn’t have same leverage as properties, but at least you can sleep and ignore market ups and downs.. and just wait..