Rent Arrears at a two-year high

 

Your Move Reeds Rains Tenant Arrears Tracker shows severe tenant rent arrears are at a two year high:

  • As of second quarter of 2015, total of 74,000 private sector tenants owe more than two months’ rent
  • Number facing serious arrears up 4.4% on quarterly basis, and 7.2% higher than in Q2 last year
  • But landlords absorb deterioration, as eviction orders now lower on both an annual and quarterly basis
  • Landlords’ own arrears continue to improve, with just 5,700 seriously behind on mortgage payments

A regular report produced by LSL shows the number of tenants seriously behind on rent has risen to the highest level in two years.

This is the latest Tenant Arrears Tracker by the estate agency chains Your Move and Reeds Rains, part of LSL Property Services PLC.

According to this survey there are now 74,000 tenants owing more than two months’ rent, as of Q2 2015.

This would imply 5,000 more households are in significant arrears than a year ago, or an annual increase of 7.2% since Q2 2014, when this figure previously stood at 69,000 across the UK.

Taken on a quarterly basis, the report shows the number of cases of severe arrears has risen by 4.4% or 3,100 households, since standing at 70,900 in Q1.

Northwood's Guaranteed Rent service provides the perfect solution for landlords looking to eliminate the risk of rental arrears (and indeed void periods).

 

Article care of LandlordZONE

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