Failing to pay the rent is the most common rule broken by PRS tenants
New research from Direct Line Landlord Insurance reveals that one in seven renters have broken one or more rules set out in their tenancy agreement, with failing to pay the rent ‘topping the chart’ of the most frequently-cited rule broken by PRS tenants.
Worryingly, 11% of renters surveyed claimed that they were unsure whether they had actually broken any of the rules in their contract or not – with more than one in five (21%) of tenants stating that their landlord had never found out about their misconduct.
The 10 most common rules broken by tenants:
|Activity||Percentage of tenants|
|Failing to pay rent on time (or at all)||25%|
|Smoking in the property||21%|
|Keeping a pet in the property||18%|
|Damaging or making alterations to the premises||17%|
|Changing the locks||16%|
|Caused disturbances or a nuisance to neighbouring properties||14%|
|Sublet a room without notifying the landlord||14%|
|Failed to clean accessible windows||13%|
|Redecorated without permission||12%|
|Failed to check smoke or carbon monoxide alarm||10%|
Source: Direct Line for Business 2016
At the TR Group we do everything possible to reduce the risks to landlords by continuing to educate and advise, as well as offering the most comprehensive tenant referencing, lettings management and landlord insurance around.
It is also interesting to note that as more renters enter the private rented sector, more and more buy to let landlords are understanding the importance of obtaining rent guarantee insurance; please read: As Home Ownership hits 30 year low, rent guarantee insurance popularity increases.
What people forget is that when you have mortgage you are obliged to pay up to a 10% deposit on it, so that the lender has an asset to lean on should you fail to make the mortgage payments. Which is is why more and more landlords are understanding the value of rent guarantee insurance, because it takes around the same time to evict a tenant as it does if you fail to pay the mortgage. And, what with less landlords taking deposits, there is all the more reason to take out RGI to ‘lean on’ if the tenant fails to pay their rent.
Having protection against this, in association with LandlordReferencing.co.uk’s unique Tenant History reports, is one of the best methods of insuring against misfortune.