More than half of landlords have experienced late rent payments in the past year, with housing benefit cuts expected to put further pressure on tenants.
Research by the National Landlords Association has found 52 per cent of landlords have reported rent arrears in the past 12 months.
The survey of nearly 600 landlords found the average late paying tenant owed £730 in late rental payments.
The research also found 62 per cent of landlords believe running a lettings business is becoming more difficult.
David Salusbury, Chairman, National Landlords Association, commented:
“It is concerning that more than half of landlords have received late rent payments or no rent at all in the past year. The government cuts to housing benefits will only put further pressure on tenants who are struggling to pay the rent on time.
“Landlords are unable to absorb this cost of rent arrears long term as they have their own financial commitments such as mortgage repayments, which could increase further with the predicted rise in interest rates.
“Well over half of landlords also believe running a lettings business has become harder recently. These landlords should consider joining an organisation like the National Landlords Association, which offers advice and support to help them run their lettings business.”
Landlords can also take out NLA Rent Guarantee Insurance which covers up to £2,500 per month for unpaid rental income (up to a maximum £15,000 or six months rent).
Source: National Landlords Association
