You would sign a Prosper Living management agreement which would generally last between three to five years. During this period we would take over the management of your property and we would agree upon a guaranteed rent that we would pay you each and every month in full during the length of the agreement. You can sit back and relax whilst we do all the work for you!
If the property becomes vacant at any time during the length of the agreement, you will still receive 100% of the agreed rent.
As the owner and landlord you would have the responsibility for the structure and exterior of the property. You will also be required to ensure the building is properly insured for the purpose of the use. You will also be required to look after your own mortgage, if you have one, and get your mortgage providers approval for the use of the property (if there would be a change use). Lastly it will be your responsibility to ensure you have adequate safety and environmental certificates in place.
We will cover all costs if we feel the property needs updating or refurbishment, we will also cover costs to add new furniture and dress the rooms ready for tenants to move in. There will be no costs or hassle for you with this as we will arrange everything.
- You will receive a guaranteed rent each and every month for the duration of the agreement. No need to worry about void periods.
- We will find and manage tenants and conduct all referencing checks and viewings.
- We will maintain the property for the duration of the agreement at no cost to you.
- You get a completely hands free and worry free approach.
- You will get the property back at the end of the agreement in a similar or better state.
- You may have an opportunity to renew the agreement, when it comes to an end.
We would rent out your property to individuals on a room by room basis. Alternatively, we would agree a different usage with you. We would include all bills into the tenants monthly room rent, therefore we can earn a higher rental income, ensuring all of your property’s bills are covered and leaving some profit for Prosper Living at the end.
Once the Agreement period is up, the property will go back to you and our management agreement will end. Your property will have been well maintained and any updating or refurbishment work we had completed during the agreement will be to your advantage. If you wish we could look to renew the contract.
Prosper Living could buy the property from you in the future at a price we agree today. Normally the agreed term of this agreement would be between five and seven years. Within this time period we would still offer you a fixed guaranteed rent every month. We could then buy the property from you at a fixed price agreed upfront within the time of the agreement
I am not an Independent Financial Advisor (IFA), nor do I offer legal, tax or accounting advice, but I work with professional advisors to find suitable solutions. Please use your own professional advisors to explore and understand your options.