Letting a home in the North East is one of the more affordable ways into private renting in England — but there are still real, recurring costs to plan for. Here's what to budget for in 2026.
One-off costs at the start of a tenancy
- Tenant Find fee — a fixed fee or a percentage of rent, depending on the agent. KeyMoment charges £500 fixed per property, no VAT currently charged.
- EPC — around £60–£100 if you need a new one. Valid for 10 years.
- Gas safety certificate — typically £60–£90 if gas is present, renewed annually.
- EICR (electrical safety report) — typically £150–£250, valid up to 5 years.
- Smoke and CO alarms — usually under £50 per property if any need adding.
- Inventory and check-in — £80–£200 depending on property size, if you use one (recommended).
Ongoing costs during the tenancy
- Landlord insurance — typically £150–£350 per year depending on property and cover level.
- Maintenance and repairs — a common rule of thumb is 1% of the property value per year, or one month's rent set aside.
- Void periods — plan for at least 2–4 weeks of empty periods across a year, especially between tenancies.
- Mortgage interest — the largest cost for most landlords with a BTL mortgage; check your rate against the property's rental yield.
- Selective/additional licensing — where applicable, licence fees vary by council and can be several hundred pounds for a five-year licence. Sunderland, Newcastle, Gateshead, Durham, South Tyneside and North Tyneside all run or have run licensing schemes — check your specific address with the local authority.
Costs at end of tenancy
- Check-out and inventory reconciliation — £60–£150 typically.
- Deposit dispute admin — free through the government-backed schemes, but plan time for it.
- Cleaning, minor repairs, redecoration — varies. A well-kept 2-bed usually needs £150–£400 between tenancies.
Tax
Rental income is taxable and Section 24 restricts mortgage-interest relief for most individual landlords. Talk to an accountant about whether a personal, partnership or limited-company structure fits your situation — the answer varies with your total income and portfolio size.
Figures are typical North East ranges observed at the time of writing and are not a quote for any individual property. Costs vary by property, contractor and council area — always confirm current pricing directly.