Research conducted by the National Landlords Association has showed that the number of tenants that are in arrears to their landlord has increased over the past twelve months.
Higher percentage of arrears threatening Landlords Business
According to the study, those landlords with a portfolio of 12 lettings has an average of four tenants in arrears. What’s more, the study also showed that just under half of landlords that were surveyed had tenants that had gone into arrears in the last twelve months and 37% worried about the impact of arrears in the coming months.
A result of this increase in struggling tenants is that 16% of landlords with only one investment property are making a loss on their investment. The NLA released steps and best practices that landlords can follow in order to help combat the problem. Short term repayment plans and even reduced rent may help the landlord and the tenant through difficult economic times.
Protect your Landlords Insurance Business with the right insurance policy
As a landlord, it is important that you maximise your rental revenue while minimising risk and loss. Ensuring that you have the right landlords’ insurance in place is vital.
Call The Insurance Octopus on to discuss your investment portfolio and to see how we can provide you with a tailored insurance policy to match your needs and meet those risks.