Insurance News Archive

Landlords hit by rising unemployment levels

Landlords are being hit by rising levels of unemployment among new tenants in the private rented sector, which have risen to 7.8 per cent, according to new research.

Smartlandlord.co.uk analysed data on tenancies and found that the proportion of occupiers who are out of work is up from 3.1 per cent a year ago.

Buy-to-let owners in Northern Ireland are suffering the most, where unemployment levels now stand at nearly 17 per cent.

"This proves there is rising demand from unemployed tenants as the national rate of joblessness continues to increase," said Keshav Thukaram, managing director of the website.

"Landlords need to make sure they reference tenants to ascertain they can afford the property," he added, suggesting that proprietors also ask for guarantors where necessary.

Meanwhile, recent research by the National Landlords Association revealed that 37 per cent of buy-to-let owners have tenants in arrears, while nearly half of those surveyed said they had experienced the problem in the last six months.

20 Apr 2009