Is rent guarantee insurance right for you? There might be a better solution.
Hard times call for additional measures to protect yourself and, in the midst of this unprecedented cost-of-living crisis, it’s little wonder we’re being bombarded with online ads for ways to make your income safe.
And if you’re a landlord – whether you have a major property portfolio or just a single buy-to-let flat or anywhere in between – we’re sure you’ll have seen advertising for rent guarantee insurance.
In case you’re on of the few who haven’t looked into the subject, this cover is available from many of the major insurers – and, just as it says on the tin, it offers you protection for your rental income in the event that your tenants can’t (or won’t) pay their rent. Broadly speaking, that sounds like a great idea, especially since the government made it harder to evict tenants late in 2022.
Don't get caught out by the small print.
Usually you can claim as soon as your tenants are a month into arrears… But when you look more closely you often find that in reality you can only claim for arrears after the point at which you served an eviction notice. That’s all very well, but it’s no help in recovering what might amount to months of arrears before you finally served that eviction notice! Even more annoyingly, at least a couple of the policies we looked into weren’t available as stand-alone insurance. You have to buy them as part of your overall policy, usually as part of a Legal Expenses add-on, so if your current provider doesn’t offer this cover, you need start from scratch.
But here’s the good news. Actually you can make sure your rental income is protected without having to pay for rent guarantee insurance.
Our Guaranteed Rent for Landlords scheme gives you that peace of mind – and a lot more besides. By getting involved, you’ll be making a valuable contribution to the nation’s chronic social housing shortage by adding your property or properties to the pool of available homes – and in return we’ll provide you with guaranteed rent payments at an agreed rate every month without fail for the full term of your agreement (up to 5 years). And that includes the period when the property’s vacant – or when the tenants fail to pay. None of that need concern you ever again!
We do the whole thing for you.
Better still, when you hand over the keys, you’re also handing over all the headaches that go with being a landlord. From that moment onwards, we do the whole thing for you, including interviewing and liaising with tenants, handling ongoing maintenance and repairs and carrying out regular inspections to ensure your place is being kept in good condition. In many cases we’ll even carry out major renovation works as part of the deal!
So, to sum up, our Guaranteed Rent for Landlords scheme offers landlords just as much peace of mind as with rent guarantee insurance but without the additional premium. What’s not to love?