400,000 landlords affected by property damage | Discuss

Welcome to the Property Forum where we can share our knowledge & experiences together to become better at what we do.

 Forum Terms & Conditions


Page not looking right? Please CLICK HERE to RELOAD

Enlarge/Change font size here

A A A

Please consider registering
guest

sp_LogInOut Log In sp_Registration Register

Register | Lost password?
Advanced Search

— Forum Scope —





 

— Match —





— Forum Options —





Minimum search word length is 3 characters - maximum search word length is 84 characters

sp_Feed Topic RSS sp_Related Related Topics sp_TopicIcon
400,000 landlords affected by property damage
20/07/2015
2:57 pm
Chloe
Moderator
Suporter
Forum Posts: 107
Member Since:
08/06/2015
sp_UserOfflineSmall Offline

The latest research from National Landlords Association (NLA) has shown that a massive 400,000 (29%) landlords in the UK have had their property damaged by tenants in the last 12 months.

It has also shown that on average; one in ten (8%) or approximately 120,000 landlords have had to make an insurance claim in the last 12 months, spending an average of 5% of their rental income on landlord insurance premiums.

However 49% of landlords say they haven’t spent any money on insurance premiums in the last year, and 46% spending up to 10%.

The research comes after the Chancellor announced that insurance premium tax will rise in November from 6% to 9.5%.
The new rate, which includes landlord insurance premiums is estimated to generate up to £1.75billion a year for the Treasury.

The NLA’s Chairman, Carolyn Uphill said:

Property damage can be a costly issue for landlords especially if the level of damage exceeds the value of the tenancy deposit.  

“We hear time and time again from landlords who have suffered because they failed to properly vet their tenants before granting a tenancy, and it’s alarming just how many landlords find out the hard way that their basic home insurance policy doesn’t provide the cover they need.
It’s vital to have the right policies and protections in place and landlords should ensure they carry out crucial tenant checks prior to letting their properties. The NLA offers the most comprehensive range of support, advice and services to help landlords and property owners of all types and sizes to run profitable, sustainable and successful lettings businesses.
Landlords who are unsure about what cover they need should get in touch about our bespoke property insurance offering, which includes some of the widest cover for landlords and buy to let owners in the market.”

To read the full report on the NLA click HERE.

Every day we get new tenant alerts coming through our systems detailing the extent of property damage, have these 400,000 landlords affected added these tenants to our tenant history database to stop it happening to more un-expecting landlords?

Landlords JOIN US now for FREE here to be part of Tenant Referencing UK. 

Are you covered against property damage?
Read more about our Rent Safe UK insurance.

22/07/2015
1:56 am
Paul Barrett
Guest
Guests

So few LL understand the importance of RGI do you really think they'll understand the efficacy of LL policies!!!

Very few LL have Public Liability Insurance!!!

Something every LL should have

I DON'T and NEVER have though I know I should have it!!!!!

I'm unsueable with little resources so no claim would succeed

It is extremely unwise however NOT to have PLI!!

Every LL should have LL insurance for contents etc

Very few do!!

I DON'T!!

Unwise

Except on 1 house that I have

In short the vast majority of small LL are woefully underinsured

Perhaps further highlighting of insurances that LL should really have might encourage us to take out such policies.

Lots of LL effectively self insure though nowhere near enough to cover issues that might be visited on a LL

Taking into account the reduced tax allowances winging their way to the PRS perhaps insurance might be seen as a cost effective measure to cover furniture detriment etc even though allowance can be made for actual purchases

The whole question of allowances etc needs to be reconsidered and insurance is possibly a way to mitigate theses tax changes

22/07/2015
10:02 am
rigsby
Member
Members
Forum Posts: 314
Member Since:
02/05/2013
sp_UserOfflineSmall Offline

It is all very well stating statistics that 29% of landlords have suffered damage by tenants but that doesn’t tell the full story and we need more facts to put it into perspective.

To understand it correctly we need to know:

  1. how much is malicious,
  2. how much accidental,
  3. how much was offered to be put right by the tenant
  4. how much was disputed
  5. how much was covered by insurance
  6. Has minor issues such as picture hook holes been added into the figures?

It would also be useful to have the costs of the damages broken down to section such as up to £100. £100-£500, £500-£1000 and £1000 and above.

“There are three types of lies -- lies, damn lies, and statistics.” ― Benjamin Disraeli

“Facts are stubborn things, but statistics are pliable.” ― Mark Twain

If your experiment needs a statistician, you need a better experiment.” ― Ernest Rutherford

percent of all statistics only tell 49 percent of the story.” ― Ron DeLegg II

“Statistics lie. They are designed to sway opinions. Take the time to keep yourself informed on things that matter.” ― Steve Maraboli

There are two ways of lying. One, not telling the truth and the other, making up statistics - Josefina Mota

Definition of Statistics: The science of producing unreliable facts from reliable figures. - Evan Eset

Statistics are used much like a drunk uses a lamppost: for support, not illumination. - Vin Scully

Statistics are no substitute for judgment. - Henry Clay

I can prove anything by statistics except the truth. - George Canning

I think statistics go in one ear and out the other. All of us respond to stories more than numbers. - Koren Zailckas

23/07/2015
3:27 pm
Advert
Member
Members
Forum Posts: 55
Member Since:
27/03/2015
sp_UserOfflineSmall Offline
24/07/2015
12:19 pm
Mary Latham
Member
Suporter
Forum Posts: 2190
Member Since:
17/05/2012
sp_UserOfflineSmall Offline

This story should be read in conjunction with this one

http://www.landlordreferencing.....-tenant/ 

Many landlords just take the hit and put their properties back into good order and I think that the NLA figures may only be the tip of the iceberg

Mary Latham Landlord

Follow me on Twitter @landlordtweets

24/07/2015
4:03 pm
Paul Routledge
Admin
Forum Posts: 3415
Member Since:
20/05/2011
sp_UserOfflineSmall Offline

Mary,

If I had a £1 for every landlord that tells me he wish they had known about our service before or said that they wish their letting agents had used us, I would be a very rich man.

Every week I get asked if I can back date RGI insurance policies from desperate landlords who never receive the second months rent and we have had 3 new letting agent members this week who said they have had to join us because their landlord would not use them unless we did the referencing through us and believe it or not one of them was a branch of sequence who have over 360 branches.

A 2015 tenant reference cannot be complete unless a landlord or letting agent has the ability to reference outside of what a tenant tells them of their history of tenure, as I have said before I have been in this market for 20+ years and have never been given a bad landlord reference but have had 100's of bad tenants who went on to be bad tenants for others.

The only way to stop bad tenants is to show them they are accountable for their actions and the only way to do that is through the creation of a history of tenure from one property to the next uploaded by their previous landlord or agent.

25/07/2015
6:29 am
Paul Barrett
Guest
Guests

This could be the title of a new thread but I'll continue it here!

The thread title would be 

Tax Efficiency of being a LRS member

What do I mean!!??

Well referring to the difficulties quoted in the above posts I hope LL realise that as well as suffering the rent losses etc caused by a wrongun tenant during which mortgage payments may have to be made there are now the Budget changes to the BTL tax regime.

Essentially this results in tax being charged on mortgage interest even if during that time a tenant was occupying and not paying rent!!

So a LL won't pay tax on rent not received but  will on the mortgage interest charged at the 40 % tax rate if reaching it!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

So to avoid further losses it is an actual necessity to have RGI and full LRS referencing or your losses could be even more!!!!!!!!!

On other forums LL are stating that they will be exiting the PRS

These Budget changes are a change too far and have the capacity to bankrupt many existing viable LL!!!!

It seems lots of LL don't appreciate the true impact of these Budget changes

I would advise ALL LL to read the posts on the other well known LL sites to fully understand what is happening.

It will principally affect larger LL

Me I'm too poor to be affected and come just under the threshold.

It means though that it is NOT worth me doing extra work; which I could do unless I wish 40% of my earnings to be taken away by HMRC!!

Which I don't!!

So more sofa sitting and Jeremy Kyle for ME!!!!!

So much for supporting the strivers Mr Osborne!!!!!!!!!!!!!!!!!!!!!!??????????????????????????

I would rather have suffered the Labour rental proposals than these ridiculous Tory ones.

LRS now is even more vital to ensure we don't suffer irrecoverable losses

It is all very worrying!!

Forum Timezone: Europe/London

Most Users Ever Online: 755

Currently Online:
16 Guest(s)

Currently Browsing this Page:
1 Guest(s)

Top Posters:

PaulBarrett: 2892

Mary Latham: 2190

LyndonBaker: 1805

David Price: 1644

Patricia A: 986

DATA CONTROL: 967

Member Stats:

Guest Posters: 2539

Members: 6322

Moderators: 6

Admins: 1

Forum Stats:

Groups: 1

Forums: 3

Topics: 4466

Posts: 30959

Newest Members:

hereiam, EZI Global, lindy, mrkane, aztec, kkarimi

Moderators: SamiiB: 441, News @ Tenant Referencing: 1576, laura: 15, Chloe: 107, lucybarr: 0, jaswhite: 20

Administrators: Paul Routledge: 3415

/* ]]> */