One recurring question we often get from landlords is whether they truly need Rent Guarantee for their properties. In short, the answer is yes.
We live in a rapidly changing world where safeguarding your investment is crucial. The easiest way to do this when it comes to protecting your rental income is by having a rent guarantee policy in place.
Unfortunately, as a landlord, you may find yourself in a situation where a tenant stops paying rent. This may happen intentionally or through circumstances beyond the tenant's control, such as job loss. Given the current cost of living crisis and soaring rents, tenants are facing increasing difficulties in making ends meet.
To protect your investment as a landlord, it's essential to have a safety net that covers any unpaid rent and legal costs, if necessary. Rent Guarantee is a service we offer to our Managed & Rent Collection clients. Feel free to reach out if you want to learn more about this service. Many landlord insurance providers also offer Rent Guarantee, so it's worth exploring those options as well.
Statistics show that letting agents are 272% more effective at preventing landlords from falling into arrears of two months or more compared to landlords managing tenancies themselves. Combine this with the absence of an effective Rent Guarantee policy, and the risk becomes significant.
In summary, whether you're currently managing your own portfolio, employing an agent, or just starting your journey as a landlord, having a Rent Guarantee policy should be a top priority.
*Statistic provided by Christopher Watkin, property journalist.