Landlords urged to prepare for arrears
Buy-to-let landlords in the UK have been advised to protect themselves against the possibility that tenants could fall into arrears.
The National Landlords Association (NLA) noted that green shoots of recovery are being seen in the property investment market, with buyers benefiting from lower interest rates.
In addition, the Royal Institution of Chartered Surveyors has found that rents are increasing.
However, the NLA noted that almost three-quarters of landlords have experienced arrears and more than 40% of these came in the last 12 months.
Chairman of the organisation David Salusbury recommended making checks at the beginning of tenancies, as well as taking full references and keeping in touch with tenants.
"If they feel they can come to you if they are facing difficulties, you may be able to come to an arrangement before rental arrears become more serious," he said.
In response, Ian Potter of the Association of Residential Letting Agents advised landlords to use approved agents, who can carry out credit checks.
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