Oct

Are you? Landlords most vexed by rising interest rates and EPC changes – claim

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Rent arrears are almost the least of landlords’ worries, according to a new survey which finds that the economy and red tape are more likely to keep them awake at night.

Landlords’ biggest concerns are interest rates (24%) closely followed by tougher EPC requirements (22%) and tax changes (19%), with rent arrears (7%) only above fears around dips in house prices and rent. It has led 16% to decide to quit the sector or reduce their portfolio, although 43% have vowed to stay as they are and 24% plan to buy more properties, says Rentround.

After quizzing 70,000 landlords on its database, it found that 34% will be looking to buy residential properties, 21% have their sights set on an HMO and only 6% fancy a commercial investment.

Increased rent

Rentround’s survey also discovered that 66% of landlords have increased rent in the last year or plan to in the coming year, while 18% have had tenants not pay or ask for more time to pay in the past two years. Meanwhile, 24% of landlords are currently letting to tenants on benefits.

There was good news for letting agents, as 73% of landlords reported they were satisfied with their agent’s current performance.

Rentround founder Raj Dosanjh (pictured) says interest rate increases and their impact on buy-to-let mortgages are a worry area for landlords, as are heightened EPC requirements for rental properties. “With the potential for both factors to eat into profits, some landlords are deciding to sit on the fence for now and see how the market plays out,” he adds.

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