Landlord insurance clients will be depressed at the news from property firm LSL that average rents dropped by 1.2% in December to £684 per month. Many landlords are worried about tenants’ finances in view of the squeeze on public spending and LSL reckon that arrears are on the rise.
Finding and keeping good tenants is a major factor in building a healthy buy to let business. Compromising on the level of rent for a reliable tenant may be better than having an empty property or taking on a risky tenant. It only takes a few months of rent arrears followed by a short void period to wipe out the difference between a good tenant paying a low rent and a bad one who is supposed to be paying a high one but lets you down.