PRS rent rises due to increased taxation says landlords insurance survey

New research has shown that almost a third (32.5%) of landlords who are planning to increase their rent in the next 12 months are doing so in order to keep up with increased tax liabilities and costs as a result legislation changes.

While rents may be increasing, however, the size of their portfolios are set to remain the same. The study of Cover4LetProperty let property insurance customers found that:

• overall, 83% of landlords are not looking to increase or decrease their property portfolio in the next 12 months;
• just 14% are looking to expand their portfolio within the next year.

Good tenants

When asked: How happy are you with your tenants? - The majority (92.55%) are happy; 6% said they are “50/50”; and just 1% said they are unhappy.

How did you become a landlord?

Nearly half of the respondents said they are investors, with the other half typically becoming accidental landlords due to inheritance, remarriage, or moving abroad and letting their home out.

Finally, when asked: Do you have any concerns for the next 12 months for your buy to let business? - The majority of respondents voiced concerns over “Government meddling”, from increased tax liabilities and changes because of Brexit, to increased regulations and “interference from the local council”.

One landlord also commented that he had no concerns except that being a landlord was getting “more complicated now than when I started”.

Ends

* Cover4LetProperty customer research August 2017