Why Rent and Legal Protection should be your New Year’s resolution
If 2020 has taught us anything, it is that we should prepare for the unexpected, and protect against everything – even those risks which appear to be particularly unlikely.
At the start of last year, we all took very normal things for granted. Our children attended school. We went shopping. Going out for a meal was normal. We met friends. We travelled on trains and tubes. We planned holidays and celebrated birthdays and anniversaries.
We were confident that good tenants, in stable jobs with excellent references would pay their rent. And we knew that if we wanted a property back at the end of the tenancy, we could do so by giving the tenant two months’ notice; and if a tenant failed to leave a property once the tenancy ended, a court would most likely rule in our favour, and bailiffs could be instructed.
This time last year, no-one expected that tenants would be allowed to stay for months and months in a property that they’d failed to pay the rent on.
But then came the coronavirus, and almost everything we took for granted changed.
Whilst the country locked down, tenants were given the assurance that they would not lose their home as a result of the virus. Landlords and agents understood the challenges many tenants faced; but there was little in the way of help for those who were out of pocket.
As the impact of the virus continues for far longer than we could have expected, our assessment of the most unlikely of risks has now changed forever.
At haart, we have always recommended rental protection solutions to our landlords. Although many opt to take the service, not every landlord does. Therefore, as we reflect on a particularly extraordinary year, we urge landlords to make Rent and Legal Protection one of your New Year’s resolutions because we don’t want any landlord to face the risks caused by unexpected events – particularly when there is comprehensive protection available.
Even the best tenants can fall on hard times through no fault of their own. Unfortunately, in 2020 too many excellent tenants did.
What is Rent and Legal Protection
Rent and Legal Protection does what it says. If your tenant doesn’t pay their rent, then you’re covered. If the arrears continue, then you can begin court proceedings with legal costs paid. Most rental payments are usually covered for up to six months – although this can vary, so do check the small print.
This means you can still expect to receive your rental income should the unexpected occur.
If you rely on your rental income to cover your mortgage payments, then Rent and Legal Protection gives you peace of mind. Meanwhile, if you need the rent as an income, then you can be confident that your income is protected.
Rent and Legal Protection is affordable. And all you need is for your new tenant to have had an acceptable comprehensive reference completed prior to the tenancy starting.
As we look forward to life getting back to some sense of normality in the coming months - if there is one lesson to learn from last year, it is that where it is possible to protect against any risk, no matter how unlikely, we still should.
If you’d like to learn more about options for Rent and Legal Protection, then please speak to your local haart branch.