Students among most reliable tenants
Published by Max Salsbury for 24dash.com in Housing and also in Communities
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University students are among the most reliable groups of tenants, a new study has revealed.
The National Landlords Association (NLA) latest landlord panel research shows that students are the least likely of all types of tenant to miss a payment, with only 38% of letters experiencing arrears involving higher learners in the last year.
In contrast, 59% of landlords who have let to blue collar workers have experienced arrears in the past 12 months, whilst 71% who have let to benefit recipients have suffered payment problems.
And those letting to students also report the lowest amount of voids, with only 30% having empty properties in recent months.
But 40% of those renting to families have seen their properties become vacant and 49% of landlords who let to older couples reported seeing their stocks lie empty.
Additionally, student tenants and houses in multiple occupation (HMOs) offer the highest rental yield (6.7% and 7% respectively), both higher than the 6.1% UK average.
Carolyn Uphill, NLA chairman, said: “It is encouraging to see such positive figures reported by landlords who let to students.
"However, it’s important to highlight that letting property to students – indeed, letting to any tenant group, is not an easy win. As a student landlord myself, I know that it can be very hard work and requires the investment of time as many of your tenants are living away from home for the first time. It is this dedication to the relationship that makes letting to students so rewarding.
“As with all tenancies, it’s important to establish a good, professional relationship from the start. It is also essential that you set out fair terms in your tenancy agreement and that both landlord and tenant fully understand their obligations throughout the tenancy. If you get this right then the tenancy generally runs smoothly.
“I wish student landlords and tenants a successful start to the new academic year.”
The NLA's data was collated from 1,066 online interviews with members carried out between in June.