46% of Landlords assisted tenants with rent payments during lockdown

46% of Landlords assisted tenants with rent payments during lockdown

9:59 AM, 3rd August 2021, About 3 months ago 1

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A survey of Shawbrook bank customers revealed that 46% of their landlords reduced their rents to assist tenants during the pandemic. This is made up of 28% of Landlords who gave a full payment holiday for an average 3 months and 18% who gave an agreed rent reduction over an average period of 4 months.

The average cost to these landlords who included portfolio landlords giving discounts and holidays on multiple properties was between £6,500 and £7,500.

Shawbrook Bank surveyed 1,000 landlords of which 150 were portfolio landlords and 1,000 private tenants.

John Eastgate, MD of property finance at Shawbrook Bank, said: “No amount of foresight could have prepared landlords, or tenants, for the impact of the pandemic.

“During this incredibly difficult period, landlords acted pragmatically, recognising the additional strain their tenants were under. In fact, in many cases landlords were initiating the conversation around cutting rents to ease their financial burden.

“This period has clearly underlined the critically important role that the private rental sector is playing, and will continue to play, in the UK housing market.

“Responsible landlords have shown their reliability during a crisis, understanding the changing needs of their tenants and acting quickly. Solid fundamentals will underpin the market going forward, landlords and investors should look to a positive future.

“There is a strong argument to suggest that landlords in regional locations have never been in a better position to profit, while city centres will continue to represent good value as workers head back to the office, even if it is on a part-time basis.”

 



Comments

by Freda Blogs

12:32 PM, 3rd August 2021, About 3 months ago

Headline A: Landlords are decent people who help tenants

Headline B: Landlords are rogues who rip off tenants

Bet I know which headline which will get more media airtime (even if untrue).

Speaking as one of the landlords who have reduced rents for tenants during CV19, its nice to see some recognition via this report, but I'd be surprised if it gets any coverage beyond the property community. Much of the time being a landlord is a thankless task.


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