It is going to be one of the biggest challenges that will face landlords in 2017: rental arrears.
Most UK landlords have had to deal with the non-payment or late payment of rent. And it looks like things are about to get worse.
Let’s explain why and then let’s show you how you can overcome this problem.
Rent arrears in 2017
Rents are predicted to rise faster than house prices over the next five years, as a result of the need for landlords to offset tax increases that will kick in from April 2017.
A new report from HomeLet has shown that during October average UK rents are rising by 3% – a clear sign of the times.
Some tenants are already struggling. Almost 10% of all tenants in the UK fell behind with their rent payments in August 2016 and this forced over 34,000 landlords to issue possession claims between July and September of the same year, according to Ministry of Justice figures.
There has recently been a reduction in the number of courts and bailiffs involved in possession claims which has resulted in landlords having to wait many months to regain possession of their property. The process is taking as long as 6 to 8 months in some areas.
And, of course, all this time landlords are paying their mortgage but not receiving rent.
With rents continuing to rise, and landlords increasing rents to cover increasing costs, more tenants may struggle to meet their monthly rental payment.
So, how will you avoid facing the challenge of rent arrears in 2017?
Khalil’s offers landlords guaranteed rent on their properties, irrespective of whether tenants have paid their rent on time or not. Our Guaranteed Rent Scheme will pay you rent on your property, without fail, every single month of the coming year.
What’s more we’ll handle all tenant relationships and even take care of the maintenance of your property for you too.
Our Guaranteed Rent Scheme is popular with all sorts of landlords, including:
If you want to ‘let and forget’ and avoid the challenge of rent arrears why not drop in and chat to us about how we can help make 2017 a year where you don’t suffer rent arrears?