RLA : RPI : A woman's touch

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A woman's touch - October / November 2004

There are more women landlords than many might expect. And many are extremely successful, say Linda Wain and David Mendoza.

Most outsiders tend to think of landlords as male, probably because women who rent out property often prefer to refer to themselves as 'landlords': 'landlady' being a word which seems to confuse people even more.

But many RLA members are indeed women.

None of those we spoke to had early ambitions to become 'landlords', all had turned to it later. In the case of Judith Melen, it was the birth of her son which made her decide to give up teaching, although it was only by accident she then came to be a landlord.

A relative asked her to help let a house and she found it so rewarding she started looking at property as a potential career. Even then, she had not intended to be a landlord but to renovate and sell on. Then, in the early 1970s, mortgage interest rates shot up so it became impossible to sell.

Judith tends to buy smaller properties which she believes are always likely to be marketable to first time buyers should the area deteriorate to the point that tenants are difficult to find. At one time she accepted DSS tenants and rarely had a problem although one did threaten to 'knee-cap' her.

'Most were absolutely wonderful, but I became so concerned at the long time it took for initial payments to come through from local authorities that I pulled out. I also rented to universities which made themselves responsible for paying the rent and sorting out any behavioural problems, but found the wear and tear involved in having several students occupying one property made it less viable'.

These days she concentrates on business people and generally finds it easy to replace tenants quickly as she makes a point of preparing homes as though she intended to live there herself.

'I find that if I make properties welcoming, even to the point of putting in fresh flowers, plants and pictures, I am usually rewarded by tenants taking care of them.

'Tenants feel able to confide if they suffer problems, knowing I will be understanding. I had an American who couldn't get his money released after "9/11" but I said I knew he would pay me when he could and he did'.

Judith advises new landlords to join the RLA as soon as possible. 'I have learnt so much from attending its seminars and meetings and hearing from other landlords about their problems and experiences. All are so open'.

Like Judith, Jennifer Wildblood fell into the business after having an accident.

Her family had owned properties and as a child she had helped collect rents and clean houses. But by 17 she was working in the retail trade when she suffered a car accident. Returning to work after several weeks spent recovering, she was not impressed by her boss's attitude over her absence. She decided there must be more to life and followed her parents' advice to 'get into property'.

Aided by some compensation for her injuries, Jennifer invested in her first house and has gradually built her portfolio to over 15. She has generally found that tenants respect women landlords particularly men, who tend to be less aggressive than with other males.

'I do, though, concede that it helps for a man to visit a house full of girls, because they tend to bitch at me'.

Jennifer also believes in investing for the long term and has only once sold a house seven years ago to raise money quickly for buying a management and letting agency in Didsbury, South Manchester since when she has doubled its capacity.

She admits preferring to deal with her own properties but also enjoys the agency side as she likes keeping busy. 'It also makes me pay more attention to politics and the economy'.

Her ambition is to go on buying property. 'When I started, I said I would like five then, when I had five, I thought I would like 10 and so on. My aim is to be completely solvent by the age of 40'.

Jennifer's advice to newcomers is 'not to try to make too much money too quickly never look at the short term, and don't try to follow trends as they tend to be short lived'.

Even though she is a management and letting agent, Jennifer is concerned over the growing number of amateur buy to let landlords. 'I prefer dealing with older established owners', she says.

She does not anticipate a shortage of tenants as she feels certain that 'the amateurs will put their properties up for sale when immediately they begin experiencing void periods so things should equal out. Also, at one time most tenants were in their early 20s. Now the age profile is higher and tenants often reach 30 or more before they can afford to buy'.

Nor is Jennifer unduly nervous about buying in a market in which prices could fall. 'I have just bought two more as I am looking not at their value in five years' time but over 20 years or more'.

She does though admit to a few minor problems in being a woman landlord. 'I have some difficulty in explaining what it is I do to new acquaintances outside the RLA. The word "landlady" itself is confusing, then I have to be careful to explain that we are in the business of providing people with good affordable housing, as only bad landlords gain publicity.

'Ten years ago I would have been very bothered, now I see that it can be an advantage if people underestimate me, although it still rankles that people such as financiers consider good businessmen to be astute but obviously think their female counterparts are just hard. A great advantage of being a woman landlord is not being tied to a nine to five career, enabling me to have time with my young family and husband'.

Catherine Fisher, founder and director of Huddersfield based landlord, Ogygian Limited, has her own perspective on the position of women in property. She admits to having developed a useful range of survival skills during her time as a practising lawyer before entering the property industry. In her view gender is not an issue, because 'what people say or do in relation to property either makes sense, or it does not. She says that if she has ever been underestimated by anyone because she is a women she is confident 'they will not make the same mistake twice'. Her reason for entering the property industry and developing Ogygian was that she 'wanted to create a brand that was portable across a spectrum of related activities such as property investment, development and management, signifying quality'. Initially, her company focussed on the residential sector, delivering what it dubs 'unreal space for real students' in a range of properties. These were 'hand picked for their kerb appeal and kitted out to facilitate the freestyle living which students want'.

Catherine wants Ogygian to be more than the sum of its parts, and hopes that the brand will add value.

With a slowing property market she believes it is more important than ever for new entrants to assess the risks they are taking on.

'Buying property to let is not a strategy in itself. You should ask yourself what you want to achieve, how you intend to get there, and what exit strategy you can take if and when the perceived risks materialise. Have a plan', she advises.

The impact of greater participation by financial institutions in the private rented sector following introduction of the new Real Estate Investment Trusts (REITS) from 2005 is difficult to predict, she says. But landlords who find profitable niches and boutique schemes are likely to be well placed regardless.

Her approach seems to be paying dividends. Ogygian was amongst the first group of landlords to be accepted under her local area's accreditation scheme which 'represents a badge of confidence in what we do and how we do it'.

Her latest project is the most exciting yet, with the recent purchase at auction of a Grade II listed warehouse for development as a mixed use scheme.

'New landlords can be successful, provided they offer both a product and service', she says. 'Good management is key to a good working relationship with tenants'. Catherine also encourages new landlords to get advice when they need it, and she advises them not 'to try to reinvent the wheel'. Learn when to delegate and when to let go, she advises.

She has followed the progress of the Housing Bill and says 'whether it is a sledgehammer to crack a nut, and whether the discretionary elements left to local decision making will be implemented appropriately remains to be seen. In the last analysis, the market place will remain a great leveller. Tenants will vote with their feet and landlords must at the very least meet the reasonable expectations of their tenants'.

other artilces from the October / November 2004 issue

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