Rental Arrears Set To Cause Problems For Landlords
13 November 2009
According to industry research from Landlord Assist, buy-to-let conditions will remain difficult for landlords in 2010. Accord Lets, one of the leading letting agents in Birmingham city centre, says landlords need to take precautionary measures.
The current economic climate is showing no signs of an upturn, which has led Landlord Assist to suggest that rental arrears will be a significant concern next year, with the ever-fluctuating interest rates further contributing to landlord worries.
Mr Mimmack, from Accord Lets, which offers Birmingham apartments to let , property to rent in Leamington and Warwick property to let , said, “The credit crunch, it seems, will continue to take its toll and a rise in unemployment is also predicted. Research would also suggest that landlords across the UK will be faced with the problem of rental arrears and need to address the potential issues now before these arrears build up next year.”
According to the National Landlords Association, the UK’s leading representative body for private-residential landlords, it seems the Local Housing Allowance scheme introduced last year has played a big part already in building up rental arrears. In fact, from a survey of 1,000 landlords from around the UK operating 13,000 LHA tenancies, it was found that the average total rent arrears accumulated by each landlord was £4,400 (£4.4million when considering all of these landlords collectively).
Mr Mimmack added, “Here at Accord Lets, we can advise landlords on ways in which they can better protect themselves from falling foul to rental arrears. Equally, we can give guidance to tenants who might be concerned about the current economic climate and the impact it may have on their ability to pay rent. Our friendly and experienced team can be contacted either via telephone or via our website.”
For more information on Accord Lets, visit http://www.accordproperty.co.uk, You can also follow the firm on Twitter: http://twitter.com/accordp.