Former Tory MP warns of Renters’ Rights Bill consequences and media bias
1 year ago | 6 comments
Landlords reveal their costliest mistakes
12:01 AM, 9th April 2025, 1 year ago
7
Research has revealed a range of expensive mistakes that landlords make with 19% of them saying that costly renovations that failed to boost property value or rental income is the biggest regret.
The findings from Together also show that 16% of landlords admit to either disposing of assets prematurely or keeping properties too long to miss out on better prospects.
The lender also found that 18% underestimated the level of tenant wear and tear, while an equal number were unprepared for escalating maintenance and repair expenses.
Also, 11% regretted not securing larger deposits to offset potential damages, and 9% identified permitting pets as their priciest error.
BTL investor’s appetites
The lender’s chief commercial officer, Ryan Etchells, said: “Although it may be a slightly tougher market at the moment, our research shows that professional buy to let investor’s appetites to buy up rental properties is far from dwindling.”
He says that investment costs can be lowered by learning about the funding available for carrying out cost-effective improvements.
Mr Etchells added: “Landlords need to do their research on locations, property types and condition and the rental market as well as having adequate savings to cover wear and tear and to deal with any issues such as unexpected maintenance costs or void periods.
“A healthy rental sector is crucial to a well-functioning housing market and there are numerous opportunities for property professionals to achieve good yields while providing the rental homes which the UK needs.”
Poor tenant vetting costs
The research also uncovered that 16% of landlords lost money because of poor tenant vetting, over-purchasing properties or overlooking rising professional service fees, such as legal and management costs.
A further 15% cited poor location choice for their rental property – 13% specifically blamed investing in low-yield zones.
Financial planning gaps were evident too, as 15% lacked a safety buffer or suitable insurance for unforeseen outlays, and 13% confessed to accumulating excessive debt.
Plus, 14% say they have neglected energy efficiency upgrades, and the same percentage failed to plan for regulatory and tax shifts.
Despite these hurdles and increasing regulatory demands, a surprising 63% of landlords welcome proposed improvements to energy performance ratings for rental homes.
And 62% are viewing the Renters’ Rights Bill positively, anticipating benefits from a new ombudsman handling disputes and evictions.
Tags:
BTL finance, buy-to-let mistakes, energy efficiency, landlord costs, Landlords, property investment tips, property maintenance, rental market UK, renters rights bill
Comments
Have Your Say
Every day, landlords who want to influence policy and share real-world experience add their voice here. Your perspective helps keep the debate balanced.
Not a member yet? Join In Seconds
Login with
or
Related Articles
A third of landlords consider quitting the PRS to avoid rising costs and new laws
1 year ago | 4 comments
Member Since October 2013 - Comments: 1642 - Articles: 3
10:30 AM, 9th April 2025, About 1 year ago
My costliest mistake was buying 2 off-plan leasehold apartments in Yorkshire, when I lived in London and had zero understanding of leasehold.
There… I’ve said it. I was stupid.
Member Since September 2018 - Comments: 3538 - Articles: 5
12:00 PM, 9th April 2025, About 1 year ago
I allowed a tenant a cat once. Enough said.
I rented to a single mum with two small kids once (on benefits). Enough said.
I rented to a homeless person once. Enough said.
None will never happen twice.
Fact.
Member Since May 2014 - Comments: 620
12:51 PM, 9th April 2025, About 1 year ago
It is a long story but I was caught out by unwittingly using a bogus agent which was a nightmare and cost me lots of money.
I cannot remember the last time I used an agent once bitten, twice shy.
Allowing a professional couple to have a rescue dog and suffice it to say that the property was more akin to a piggery when they moved out.
Member Since March 2023 - Comments: 1506
11:55 AM, 10th April 2025, About 1 year ago
got a couple,
Buying 2 off plan villas in Spain only for the Spanish government to rule the planning process corrupt (back handers by the builders) and blocked the building. I still owned the land though, few years later the builder popped up again and offered to ‘take the land of my hands’ for a pittance. instead, myself and a number of other fleeced buyers were approached by a donkey sanctuary. I sold my land to them for £1 (or was that 1 Euro) so did the others. Result was a lot of happy donkeys and a really pissed off builder.
Second mistake was when I started off I decided that furnished properties (by that I mean all the white goods etc) were the way to go. After the tenant sold my new washing machine and replaced it with a second hand one – then proceeded to complain that it wasn’t working (wasn’t even the same make as the one she sold) – I never did any furnished properties again.
Member Since October 2013 - Comments: 1642 - Articles: 3
12:53 PM, 10th April 2025, About 1 year ago
Reply to the comment left by GlanACC at 10/04/2025 – 11:55
I went furnished with the off-plan buys, and Iver the years I’ve had tenants who wanted to bring their own. It doesn’t seem to make much difference to the rent, and lands you with responsibilities if e.g. the bed breaks! My tenants have just given notice and I’ve said they can take the furniture if they want it! If I decide to let it again, it will be unfurnished.
Member Since September 2018 - Comments: 3538 - Articles: 5
9:01 AM, 11th April 2025, About 1 year ago
Reply to the comment left by NewYorkie at 10/04/2025 – 12:53
ALWAYS let totally unfurnished. Minimises initial outlay, hassle and deposit can be retained for trashed carpets etc instead – things that have to be replaced.
Also attracts more long term tenants I feel as they have to spend money to get the basics purchased when then move in. Its a bit of an investment on their part.
Member Since October 2013 - Comments: 1642 - Articles: 3
10:31 AM, 11th April 2025, About 1 year ago
Reply to the comment left by Reluctant Landlord at 11/04/2025 – 09:01
If they have to buy their own furniture, they will value it more.