As the competition for tenants heats up and rented properties stay on the market for longer, landlords are being warned not to get caught out if their empty property suffers unexpected damage.
Empty properties are more likely to be damaged unexpectedly – by a fire, escape of water, flood or vandalism or attempted theft, for example – and with properties remaining empty for longer many landlords are not covered by their insurance policy.
According to a recent survey by FindaProperty.com, in March the average time a rental property was on the market for before tenants were found was 65 days, up by 17 days year-on-year.
Landlords concerned about damage to their property in between tenancies are being advised to check whether their Buildings and Contents insurance includes cover while the property is empty – some only provide this for 30 days.
Homelet say that theirs offers full cover for up to 90 days while the property is empty.
MD John Boyle said: “The recent FindaProperty.com survey found that a surge in rental property supply has pushed monthly UK rental asking prices down by 5.3% year-on-year. Average rents in March 2009 were £827 pcm compared to £873 pcm in March 2008.
“Tenants can now afford to be more selective about where they live which means the average home is on the market for a lot longer. Some insurers give you just a few days’ cover when your property becomes vacant, which means that many properties are uninsured for the majority of that time.”
