According to the Association of Residential Letting Agents rental demand will continue to outstrip supply in 2013. If rental property prices continue as they have been for the last 3 months, the average investor in England and Wales could expect to make a total annual return of 2.7% per property over the next 12 months – equivalent to £4,451 per property*. With rents high and the buy-to-let market thriving, the risk on rent arrears also continues to be high.
A survey earlier in this quarter by Law of Property Act receivers estimated that there are 99,000 tenants two or more months in arrears. This problem is due to worsen as the tough economic climate continues and the number of people renting increases.
If you are a landlord or are looking to invest in property, you should carefully consider landlords insurance and ensure you are properly protected. Landlord insurance can protect your property by providing cover against fire, floods, accidental damage, theft, unpaid rent, malicious damage by tenants to buildings or contents and much more. Not all policies are the same and some elements may not be covered as standard and instead may be optional extras.
Some insurers offer additional benefits. For example, Legal & General provide a free legal helpline giving you expert advice on any legal problems that may arise 24 hours a day 365 days a year. Other optional benefits include home emergency cover which can provide 24 hour call-outs, including cover for labour costs and materials to make your home safe after an emergency such as a burst pipe or break in.
There are many options available, thankfully here at Complete Mortgages we can offer landlords cover through a number of insurers. This means that we can fully guide you through the benefits of different policies and assist you by recommending the most appropriate policy to meet your requirements and budget. Even if you already have a policy in place it is still worth reviewing this with us as we can ensure that the cover you have is still relevant to your situation. Contact us today on 01483 233014 to discuss the options available and to ensure that you are protected against the unexpected.*Source: Figures from Mortgage Introducer