August 19, 2010
Almost half of the nation’s possessions by landlords are a direct result of rental arrears, according to research published by the National Landlords Association (NLA).
Over the past year, 47% of possessions by landlords were due to tenants being unable to pay their rent.
The figures follow data already released by the NLA earlier this year, which found that a fifth of private-residential landlords had tenants in arrears during the spring summer months of 2010.
While one-third of Britain’s landlords claim they would never seek to end a tenancy through possession, there has been a considerable increase in those evicted due to cases of anti-social behaviour.
When possessions are enforced, 57% of landlords claim it has taken more than three months to evict their tenants, while 81% of issues were resolved within five months.
However, David Salusbury, Chairman of the NLA, commented that enforcing a possession can be expensive for landlords and both parties should consider how best to tackle rental arrear issues.
“Gaining possession can be very costly for landlords, especially when it is related to rental arrears,” said Mr Salusbury. “Many landlords have mortgages to pay on top of the expense of gaining possession.
“One-third of landlords have reported paying between £250 and £1,000 to have tenants removed. This amount is often compounded by late rent payments.”
The figures highlight the continuing money worries affecting both the rental and residential property markets.
Those struggling to keep their head above water in the current climate have been advised to discuss their money woes with financial experts and tackle mounting debt issues swiftly.
