According to new figures, the number of tenants defaulting on their rent for more than two months in the last quarter has risen by 13%, compared to the same period last year, which as a landlord, I find rather worrying.
Why are tenants struggling to pay the rent?
Well, it’s not rocket science. As most of us are aware, the cost of living has never been so high, and not surprisingly, rents have risen along with the price of food, petrol, and everything else. As a result, tenants on lower incomes are finding it increasingly difficult to make ends meet, which inevitably leads to rent arrears for some of them.
How can you deal with a tenant who has fallen into arrears?
Over the years I have been forced to deal with tenants who cannot pay their rent: it goes with the territory. It is never a nice situation, for either party, but the key to dealing with the problem is to sort it out as quickly as possible, especially if your rental property is financed by a buy to let mortgage.
As soon as one of your tenants falls into arrears with their rent, contact them immediately and try to sort the problem out amicably. How lenient you are prepared to be will probably depend on whether you need the rental income to pay a mortgage. If you do have a mortgage, just remember, you cannot afford to wait for months for your tenant to find the extra cash, or you will also end up in arrears!
