Danny Flowers, managing director of Motum Insurance Services, assesses the benefits and pitfalls of insuring a rental property with a garden.
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Published in association with
A PROPERTY that features a garden is a major selling point for tenants. However, it is a more complex story for landlords.
THE PROS
More desirable. A property with a garden is seen as highly desirable by prospective tenants and, conversely, a property that lacks outdoor space may be a deal breaker for some.
More lucrative. Some research suggests that a property with a garden adds an average of 25% to the rental price so a property with a garden is definitely more profitable for landlords in the longer term.
Improved occupancy retention. Did you know that a garden can increase tenant retention?
This could be a particularly compelling factor for landlords who have been burned with high tenant turnover costs.
THE CONS
Expense. A property that features a garden is going to cost the landlord more, both outright in the initial property price and in terms of garden maintenance and upkeep. Landlords must ultimately assess whether the cost is worth the benefits.
Potentially time-consuming. Keeping a garden looking presentable can require a great deal of time and effort, for which some landlords do not have the capacity.
Also it may be an impossibility for some who live further afield and would therefore require further costs in the form of a landscaper.
How can you make the most of your property’s garden?
Making sure your garden looks its best will go a long way towards attracting tenants and this does not have to cost the earth. Simply maintaining what is already there by mowing the lawns and pruning hedges and plants will go a long way.
That said, you may want to invest in a professional landscaper to give your property a competitive edge – which also means you could potentially charge a higher rent – but it is worth noting that some tenants may want the opportunity to make the garden look like their own.
Either way, hardy shrubs and flowers would make a welcome addition to any rental.
You will also want to clearly explain the tenant’s responsibilities when it comes to the garden (if they have any) and consider enshrining these rules in the tenancy agreement to avoid future issues.
Motum Insurance Services is dedicated to finding the right policy to meet your specific landlord needs.
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