Figures released by the NLA show that the number of people investing in the buy-to-let sector in the UK has rapidly increased. On one hand the UK’s housing market with its soaring prices is being very harsh on buyers and tenants,whilst on the other hand, the private rental sector has proven to be significantly profitable.
A recent study by Countrywide says that landlords in the private rental sector are enjoying significantly higher profits from their properties year on year. Investors in England and Wales for instance, are earning an average of 12.2% when taking capital growth and rental returns into consideration. However, a study by the National Landlords Association (NLA) found the majority of UK landlords are either part time landlords or amateur.
According to the aforementioned study, 27% of landlords have been letting for less than five years, with 14% of them having only been in the letting business for two years. Some 21% of landlords have been letting for between 6 to 10 years and 52% for more than 10 years. The figures released by the NLA also show that the proportion of part time or ‘amateur’ landlords is now at its highest ever level, comprising 70% of the sector.
In light of this, Richard Lambert, NLA chief executive officer has reminded all landlords of their obligations towards their tenants and how important it is to ensure good standards within the private rental sector.
“Even the most seasoned of landlords experience problems, so it is crucial that anyone new to the industry is aware of their obligations and understands that being a landlord involves much more than simply purchasing a property,” said Lambert. “Landlords should make sure they educate themselves as to what is expected of them, legally and professionally, especially if they plan to manage the properties themselves. Not knowing your obligations as a landlord could result in serious problems, financial as well as legal. A tenant should be safe and comfortable in their home and ignorance is no excuse.”
We, at Arthur, share the same values and Arthur Property Management Software was created with the very aim of offering landlords a tool to manage their properties in a professional and organised manner.
Through Arthur, landlords and property managers are always connected with their tenants, letting agents and contractors; they can share documents, manage work orders, carry out their financial management, invite their own private contractors or access our growing list of rated public contractors. With Arthur, you can do everything on the go from your mobile devices, with Arthur’s mobile app.
If you are a property manager, property owner, landlord or letting agent, your business will save time and money by using Arthur. Try out the free Arthur Demo today to see how!