property for rent

Should I become a Landlord?

After writing many blogs stating the advantages and disadvantages of being a Landlord it seemed natural to talk a little about whether it is a good idea or not to become one in the first place.

There are several factors that this depends on.

The first might seem a surprise but I think it so important: your age! Why might you ask? Well in my opinion the job of a Landlord needs energy. As a younger man I loved the challenges associated with it: fix this, write a reference, unblock a drain…. all the usual things.

Now as I age (and I am not old yet, just under 40!) I find the daily chores associated with being a Landlord quite draining (excuse the pun!).

Obviously I can’t generalize for every person but for me this was much more rewarding when I was younger. I hope this isn’t considered ageism.

Another important factor is how much time you have available. It is better to be no Landlord than to be a bad Landlord.

You will need to commit some time each week depending on the size of your portfolio. Even if it is just a single dwelling there will always be an hour or two per week needed.

From a financial point of view (and I have addressed this in previous blogs) it is important to consider the tax laws of your country. Being a Landlord may not be as lucrative as you might think once you have paid the taxman his due.

Many countries have an increased tax associated with unearned or passive income (such as rental income) so make sure and do your research first or seek advice from a tax advisor.

My final word on this is: Don’t become a Landlord so that you can say you are one. They are a well-regulated and often not well-regarded bunch!

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