Fall In Renting Costs

The cost of renting in the UK private rented sector (PRS) fell in England and Wales during February, according to a recent report published by LSL property services.

Recent figures showed that the cost of renting in the UK PRS during February was 0.1% less when compared to January 2013; however the overall price of rent for this year has still remained higher, despite the price falls.

This decrease in price means that when compared to January, the average cost of renting PRS accommodation in England and Wales has finally contracted to around £700 (GBP) per month.

However, February’s monthly drop is less significant than those recorded last year; the result has been an accelerated annual rent-price growth of 3.3%, compared to January when rents were only 2.8% higher than the year before.

While the rental market remains fairly quiet for the time of year, it is the perfect time for landlords to discover the real benefits of Rent Guarantee Insurance and enjoy the peace of mind that income protection brings.

Predictions for the rental market in the year ahead, suggest that there will need to be a necessary increase in the amount of private sector rented accommodation available for tenants to rent, in time for the peak rental season, in order to avoid overkill from rent rises by desperate landlords eager to cash in on the continued unprecedented demand.

Working tenants in rented households are managing their finances better now than they were 12 months ago, as employment uncertainty was at its peak whilst the UK struggled to escape the clutches of a triple dip recession and the Eurozone financial crisis raged throughout the European Union. As the year progresses, and in the longer-term, despite the fall in renting costs, it will be the higher cost of living and falling wages that will determine the ability of tenants to be able to continue to pay their rent.

Rent Guarantee and Legal Expenses Insurance protects landlords from defaulting tenants by ensuring that rental payments are made direct to the landlord in full.

The cost of evicting defaulting tenants is also covered within the same policy.

Legal 4 Landlords pride themselves on delivering a valued, unique and robust product.

Unlike most other rent insurance providers, Legal 4 Landlords cover multiple tenants with just one policy, which guarantees landlords 100% of the total monthly rent.