Recent property news in the UK continues to focus on the runaway increase in prices post-pandemic. But there are also warnings on the horizon about the rising cost of living and the difficulties faced by many tenants in meeting their energy bills.

Let’s take a closer look at some of the latest UK property news.

House price rise since first lockdown revealed

Since the first in the succession of lockdowns was imposed just over two years ago, the average house price in the UK has gone up by £43,577, according to a story by the BBC on the 7^th of April.

That price rise of 18.2% has taken the cost of an average home to £282,753.

The surge in prices has been fuelled by a so-called “race for space” – which is borne out by a 21% increase in a typical detached home during the period in question, compared with just an 11% increase in the price of the average flat.

The market has been inflated still further an imbalance between supply and demand with relatively few homes listed for sale.

Claims that landlords feel they should help tenants offset energy bills

A buy to let management platform, GetGround, claims that more and more landlords are coming around to the view that they should lend practical help to those tenants struggling to pay their energy bills in the face of the rising cost of living and price inflation.

According to the story in Landlord Today on the 11^th of April, landlords are hoping to help tenants meet spiralling energy costs by carrying out energy efficiency improvements to their let properties.

Landlords who want to help in this way are turning to energy improvements in homes they already own rather than investing in more modern or energy-efficient properties.

Homebuyers could struggle with mortgages as UK banks tighten affordability tests

Inflation, the rising cost of daily essentials, imminent tax increases, and higher energy bills are all having an impact on the way in which mortgage lenders have to compute the affordability of loans, according to a story published in the Guardian newspaper on the 11^th of April.

The rising pressures on household budgets mean that the average borrower will find it more difficult to meet new mortgage commitments.

Financial analysts argue that lenders’ current tightening of affordability rules is probably the most severe since 2009. Interest rates are on the increase while the cost of living is rising at a pace last seen in the 1980s. In the face of those pressures, mortgage lenders are bound to question whether an advance remains affordable – and, if not, will reduce the size of the loan that is offered.

As borrowing becomes more difficult, of course, those same analysts explain that buyers will lower their sights and the housing market, in general, will be expected to slow down.

Shirley in Solihull is new buyer competition hotspot

In some parts of the country, the competition among buyers in the housing market is notably higher than in others, reveals a report conducted by online listings website Rightmove.

The current hotspot – where competition among buyers has grown the fastest – is Solihull in the Midlands where there is now more than twice the number bidding for homes as there were 12 months ago.

Other property hotspots where such competition has more than doubled include Jesmond, in Newcastle-upon-Tyne and Chorlton cum Hardy in Greater Manchester. London boroughs that have also seen double the competition include Balham, Upminster, and Chessington.

In property hotspots such as these, the average price of a home has increased by an average of 11% – a little more than the national average of 10.4%.

As a landlord, you will be keen to protect the investment you have made in your buy to let property. Buy to let insurance (or landlords’ insurance as it is also known) will help you do just that. Choosing the appropriate policy is likely to involve you comparing landlords’ insurance to find the most suitable product for your property.

Here are some of the reasons for comparing landlords’ insurance and the factors you might want to consider when making those comparisons.

Make sure you have the appropriate cover

When arranging any kind of insurance, you want the most appropriate cover for the job. Before you can compare landlord insurance, though, you need to recognise many other types of property insurance that you might be offered.

From standard home insurance to commercial property insurance and from UK holiday let insurance to unoccupied property insurance, there is a bewildering array of different types to choose from – and landlord insurance simply adds to that long list.

Don’t be tempted to try and use a standard home buildings and contents insurance policy if you’re actually a landlord – it is a trap into which “accidental” landlords, in particular, might fall. Any owner-occupier insurance you have will typically become immediately invalid the moment you start obtaining rental income from your property – or even a part of it.

That may even apply if you rent it out infrequently for holiday use, Airbnb or even if you have a lodger – say through the government-backed Rent a Room scheme. If you’re obtaining rental income from a property, then you must have appropriate landlord’s cover.

Fit for purpose

Make sure that any landlord insurance you buy is fit for your particular, individual purposes.

Different landlords with different properties may all have their own set of requirements when it comes to their buy to let insurance cover. What is appropriate for one might be unsuitable for another.

Thankfully, therefore, there are a number of different types of policy with distinct levels of cover available all at a variety of different price levels. To be sure of getting the most appropriate for you, you need to conduct a landlord insurance comparison.

During that comparison, there’s nothing wrong with staying cost-conscious and trying to watch the pennies. But ensure you consider value for money rather than just price alone.

The differences between the policy terms and features of competitively priced policies might prove important and relevant to you and your buy to let business.

Making a judgement based on price alone may not give you the protection you need.

Inclusions and exclusions

Make sure to compare like with like when conducting your comparison of landlord insurance. A careful reading of the terms and conditions will prove a valuable way of identifying and understanding exactly what is included and what is excluded from the policies in which you might be interested.

Exclusions tell you what risks are not covered, of course, but there is a related consideration, often known as “warranties”, which may make one policy considerably less comprehensive than another.

An example might be the level of security needed to protect against theft loss or damage – if the warranted measures are not taken, the insurer may refuse to pay any associated claim.

You are also likely to encounter terms and conditions relating to unoccupied or empty property insurance. This may be required if your property is to stand empty for a period of 30-45 consecutive days or more. There may be several reasons for this, including building or refurbishment work, delays in tenants moving in, their absence on an extended holiday, and so on.

Features and options

Against all the background considerations we have considered so far, you will then need to move on to a comparison of the particular features and options presented by different landlords’ insurance policies.

The following are likely to be the most notable:

The bricks and mortar – building insurance

• at the heart of your landlord insurance is protection for the very structure and fabric of the building itself – building insurance;
• it provides for sufficient financial compensation for any repairs and reinstatement necessary after loss or damage to the building, including a worst-case scenario in which there is a total loss, and the land needs clearing, professional fees are required and the premises need to be rebuilt;
• typical risks covered in this central element of your policy are likely to include fire and smoke damage, flooding and storm damage, impacts (from vehicles and falling objects), vandalism, and theft;
• the total building sum insured must cover the estimated costs of that worst-case scenario in which the property must be completely rebuilt – an estimate on which you might want to consult professional valuers and surveyors or use the residential rebuilding cost calculator of The Building Cost Information Service (BCIS);

Protecting your contents

• if your property is let as furnished, the contents alone could be worth several thousand pounds or more;
• these – and any other contents you own in the let property – can be safeguarded by landlords contents insurance;
• whether you choose contents cover that replaces new for old or settles claims after the deduction of the estimated wear and tear of items will depend on the condition and value of your contents, of course – and we are more than happy to advise you accordingly;
• don’t give in to the temptation of understating the cost of your contents simply to try and keep your premiums lower, but conduct a room-by-room inventory to estimate your contents’ value accurately and avoid the risk of underinsurance;

Subsidence

• cover against the risk of subsidence is an issue with many property insurance policies – including the building element of your landlord insurance – since some policies include protection as standard, but by no means all do so;
• compare the landlord insurance policies arranged by us here at Cover4LetProperty and be reassured that all of them include cover against subsidence as standard.

Trace and access cover

If you have ever called in the tradesman to fix a fault only to be left facing the additional costs of having to make good damage that was caused by tracing and gaining access to the source of the problem, you might want to consider the benefits of optional trace and access cover to add to your landlord insurance policy.

Malicious damage by tenants

• however careful your tenancy selection and referencing safeguards, there remains a risk that rogue tenants cause malicious damage to your let property;
• by no means all buy to let insurance policies offer protection against such risks, so you might be reassured by the fact that all those arranged by us here at Cover4LetProperty include that cover as standard (up to pre-agreed limits);
• the cost of repairing any malicious damage caused by your tenants or their visitors might easily exceed the amount of any deposit you have taken- but note that even with this cover, there may be upper limits to how much the policy may pay out;

Landlords’ liability insurance

• compare landlord insurance quotes to verify that landlord’s liability indemnity insurance is included and to what level – different policies have different limits;
• the cover provides essential indemnity against claims made against you – as the landlord or property owner – by your tenants, their visitors, your neighbours or even members of the public who have suffered an injury or had their property damaged through some incident involving your let property;
• the possibility of serious injury or even death raises the prospect of very substantial claims for compensation, and for that reason, the minimum level of liability indemnity provided is at least £2 million – but frequently more;

Loss of rental income

• most landlord insurance policies incorporate some degree of compensation in the event of an insured incident causing such damage that the premises are no longer habitable until repairs or reinstatement has been made;
• clearly, this could result in your suffering considerable loss of rental income pending repairs and reinstatement of any damage;
• our policies offer provision for suitable compensation for such loss of rental income – subject to prescribed limits (typically reflecting a percentage of the total sum insured under your landlord insurance policy);

Excesses

• an excess is the first part of any claim for which you remain financially responsible – to this extent, an excess represents an uninsured loss;
• by accepting an additional voluntary excess, you may reduce the cost of your buy to let insurance premiums – this could be a way of securing discounts on some of our insurance policies;
• if you agree to accept a higher excess on your policy, of course, you may then need to make a more significant contribution towards the settlement of any claim.

Unoccupied property insurance

Typically, any insurer will consider your let property unoccupied once no one has been living there for a period of 30 to 45 consecutive days (the exact period may vary from one insurer to another).

And that may happen quickly if you’re between lets or just having your property converted or renovated.

If your landlord insurance policy becomes severely limited – or lapses altogether – once it is regarded as unoccupied, you will want to consider the protection of specialist unoccupied property insurance. Indeed, if you are buying the property with the help of a mortgage, your lender will probably insist on it.

Comparisons the easy way

It may be worth reiterating that in such a very crowded market, with so many different types of insurance, a variety of policies and competitive pricing from one insurer to another, it is often difficult to make accurate or meaningful comparisons.

At Cover4LetProperty, you might find the entire process of arranging your landlord insurance all the more straightforward by doing so entirely online.

Being able to arrange your landlord insurance online may make it easier than you think to arrange cover for your buy to let property. The days when you may have had to traipse up and down the high street if you were looking for cover are thankfully long gone.

Instead, you can now look at what providers are offering and compare landlord insurance online, using a service such as ours – and, hopefully, you’ll find a let insurance policy that matches your own unique needs and circumstances.

Alternatively, if you would prefer to speak to someone, then please call our friendly team on 01702 606 301 – they will be delighted to help!

A Parliamentary report on the 29^th of March 2022 acknowledged that the cost of living in the UK has followed a steep upward curve since the beginning of 2021 and inflation – at 6.2% over the past 12 months – has reached its highest recorded level in three decades.

Meanwhile, the Guardian newspaper on the 11^th of April pointed to many everyday items that are currently costing more than 8% than they did a year ago, with average gas and electricity bills going up by almost double to hit £2,000 a year.

It is a time when any householder will want to make the very most of available finances – so, here we will suggest some of the ways you might do just that:

Gas bills

• if you have gas-fired central heating reduce the amount of energy consumed simply by turning down the thermostat a degree or two – and preserve the heat you have used in warming up a room by closing the curtains and blocking draughts, suggests the government-backed Money Helper;

• make still further savings by ensuring that the thermostat you use is a smart thermostat;

• no one is suggesting that you invest in a whole new range of appliances, but when it comes time to replace any nearing the end of their useful life, remember to look out for the most energy-efficient models – especially if you are installing a new boiler;

Electricity bills

• saving on your electricity bills will involve similar care to preserve the benefits of any energy you are consuming – through efficient insulation and the use of smart meters and thermostats;

• the roof space in the loft should be insulated to a depth of between 250mm and 270mm but you might also want to consider investing in double glazing;

• when you are buying new electrical appliances, make sure to check the energy efficiency ratings of comparable products and choose the most efficient – namely, appliances rated A+++;

• when setting the cycle on your washing machine, bear in mind that clothes are likely to come out just as clean if you wash them at 30º instead of 40º – and that switch will save valuable electricity consumption;

• don’t keep electrical appliances on standby but make sure they are completely switched off by disconnecting them at the plug – a story in the Mirror newspaper on the 13^th of February 2022 estimated that pulling the plug on the television alone could save households as much as £25 a year;

Water bills

• water consumption is probably one of the most overlooked utilities when it comes to economising on its use – that is largely because of the conventional way of charging a fixed rate assessed based on the property’s rateable value;

• this is changing and around 50% of homes now have water meters installed – so that you pay directly for what you use – and, according to a story in the Independent newspaper on the 19^th of February 2022, a further six million homes might be forced to have meters fitted in order to prevent water shortages;

• if you are paying metered water charges, therefore, you will be interested to review the ten tips on saving water suggested by the Eden Project – these include water-saving flush cisterns, shorter showers, turning off the tap between rinses, and the installation of water-efficient devices and appliances.

As inflation in the UK continues to drive up the cost of living, you might want to pay closer attention to these energy-saving tips and suggestions to help you make the most of your finances.

Are you the landlord of a House in Multiple Occupation (HMO)?

Essentially, that will be a let property accommodating three or more tenants who comprise more than one separate household and share such basic facilities as a bathroom and toilet or kitchen.

For a more formal definition, you might want to review the government website or our own Landlords Guide to HMOs which we updated on the 25^th of October 2021.

HMO legislation

For good reason, HMOs are probably the most tightly regulated types of let accommodation. The relevant legislation is constantly amended and updated. As a landlord, of course, you need to stay abreast of those changes.

Get caught out by any impending new legislation and you might face penalties that include unlimited fines, rent repayment orders, confiscation of your goods or property under the Proceeds of Crime Act, banning orders, or even imprisonment, warns the National HMO Network.

Maintaining standards

The government is committed to improving the overall quality of affordable rented accommodation and is frequently targeted toward HMOs because these are sometimes of the poorest standards.

Tighter control over HMOs emerged from wider licensing powers for local authorities with effect from the 1^st of October 2018. This required the licensing of any dwelling accommodating more than five tenants in more than a single household. In the past, the licensing requirement applied only to those HMOs of three storeys or more that accommodated more than five tenants.

Non-mandatory licensing

In addition to the licensing requirements for HMOs housing more than five tenants in two households or more, local authorities also have the means of requiring licences – non-mandatory licences – either in a specific area or an entire district.

The housing charity Shelter explains that these non-mandatory licences may be required if the local council believes HMOs in the relevant areas are being mismanaged or that they are causing problems (of overcrowding, for example) for tenants or for the general public.

Previously, the government has announced that it is reviewing how this kind of selective licensing is working, with particular regard to the requirement that HMO landlords are “fit or proper persons” and the suitability of their management and adherence to appropriate safety standards for tenants. Although the results of that review were expected in the spring of 2019, they are still awaited.

Whatever the results, any new legislation or regulation can be expected to affect many landlords. The last major round of changes – involving new licensing and standards requirements – in the summer of 2018 was estimated by the Ministry of Housing, Communities & Local Government to affect some 160,000 additional landlords.

Room sizes

Overcrowding remains one of the chief concerns about the standard of housing provided by HMOs – and a principal measure is given by minimum room sizes.

The current requirements were published in details released by the Royal Institute of Chartered Surveyors (RICS), on the 8^th of August 2018 – and which require:

• any bedroom occupied by a single adult to be no less than 6.51sqm in floor area;
• any bedroom occupied by two adults to be no less than 10.22sqm;
• children under the age of ten must have a bedroom with at least 4.64sqm of floor area; and
• the HMO licence may stipulate the maximum number of people who may occupy any specific room used as sleeping accommodation.

Whilst there has been general acceptance for the introduction of minimum room sizes, some landlords of HMOs continue to argue that the requirements have an adverse knock-on effect by making it necessary to charge increased rents.

Summary

Keeping abreast of any HMO legislation is key. If you are ever unsure, visit the Government website for further advice and guidance or speak to your local authority.

Recent years have seen various restrictions tightening around the private rented sector – steadily increasing the overhead costs of many a landlord. As a result, the search for appropriate or even the best let property insurance quote becomes ever more important.

That immediately begs the question, of course, as to what exactly makes the best landlord’s insurance? A simple, knee-jerk response might lie in saying that the best insurance is the cheapest insurance you can find. If you are tempted into thinking along those lines, you might want to think again.

Just put yourself in the position where you need to claim on your landlord’s insurance policy. In those circumstances, you are unlikely to be questioning how much you are paying in premiums but, rather, the extent to which your policy effectively covers the loss or damage you have suffered. It might have been the cheapest option you could find but, unless it provided the cover you now need, the money you spent on the premiums would have provided little value.

Another landlord’s preference for the cheapest insurance quote is unlikely to have been of much use or relevance to you if it doesn’t meet your particular needs and circumstances as a landlord. It is not the cheapest you might prize the most but the insurance that offers the best value for money.

Comparing let property insurance quotes

There is no doubt that the internet opens the door to an incredibly wide choice in the range of landlord insurance policies on offer. By all means, make full use of the internet in your search for the cover you need – while avoiding the temptation of restricting your choice to the cheapest possible options.

An internet search for effective and reliable insurance – not only landlord insurance – involves a careful consideration of the full details of any cover in which you might be interested. You will then be making an informed choice about those features and elements of the policy that are relevant and important to you.

If your cheap let property insurance quote does not provide you with the cover that you want then its price is largely irrelevant and the policy may be of no interest to you, no matter how cheap it is.

It’s worth saying it again – every landlord is different and what you consider to be a cheap let property insurance quote may not appear so cheap to someone else with a very different set of buy to let property insurance requirements.

Using the internet to compare let property insurance quotes

Thanks to the internet, of course, it is considerably easier these days than in the past to access the information you need for choosing suitable insurance cover for your particular needs and requirements. But your internet searches still need to be made with a prudent approach and all due care.

That way, you are likely to reap the benefits of buying your buy to let or landlord insurance online:

Reassurance

• practically any goods and services can be bought online these days, though none carry the reassurance given by the code of good practice for online sales that is managed by the leading body for insurance brokers, the British Insurance Brokers’ Association (BIBA);
• the code insists that customers buying online are given access to information about any policy and are able to review this before buying;
• any excess charges on claims also need to be explained;
• customers need to be advised clearly about the standard features of any policy and any elements of cover that are available as options or add-ons;
• if the customer’s requirements are likely to be met only by a specialist provider, they need to be directed to the relevant websites;
• here at Cover4LetProperty we are just such specialist providers of all kinds of insurance for landlords – and we also maintain a website that conforms to BIBA’s code of good practice, ensuring absolute transparency with respect to any policy you may ask us to arrange;

Convenience

• the next reason for buying online is the same as for any other service or product – it is simply more convenient;
• instead of getting out the car or waiting for a bus to take you to town, you may research and review the insurance cover you need from the comfort of your own sitting room;
• you can break off at any time – to reflect on your options maybe – and return to the online process at any stage of the day or night;

Speed

• not only might you save time by staying at home rather than making your way to the high street, but you are also likely to find the entire process of buying online so streamlined and simple that it rarely takes more than a few minutes to complete the purchase of the insurance cover you need;

Economy

• online business tends to be good business for companies too – there is no shop front to maintain, no expensive signage, or other physical overheads;
• this is frequently reflected in online sales being made at a discount – just as they may be when you buy landlords’ insurance online;

Service

• your purchase may be online – where the anonymity of the internet might be off-putting to some – but this does not necessarily mean that the service you receive is any less personal;
• here at Cover4LetProperty we pride ourselves on the personal service we offer – a service made more personal still if you decide to use our dedicated UK-based telephone line to discuss your needs more fully before making your purchase;
• so, if you would rather speak to someone about your policy, one of our team will be more than happy to help and arrange the insurance for you, if you require – you still get a personal service but with internet prices;

Experience and expertise

• shopping online does not mean that you are left all alone to fend for yourself;
• specialist providers are just that – experienced experts who are familiar with the needs and circumstances of landlords and who also have a keen knowledge of the entire range of products in this niche of the insurance market;
• specialist providers like us, therefore, are adept at matching the needs of landlords such as yourself with the appropriate selection of available products to meet those needs.

A reminder about that landlord and tenant relationship

The relationship between you and your tenants is clearly the foundation of a satisfactory tenancy – and the success of your buy to let business. But you might also want to reflect on the ways in which your landlord insurance policy provides further reassurance and security in that relationship:

• a policy typically covers you against third party liability – broadly speaking, that includes a number of circumstances where your tenants, their visitors, your neighbours, or even members of the public hold you responsible as the landlord for injuries or property damage they have sustained through contact with your let property;
• some policies might offer a degree of cover for the legal costs involved in pursuing tenants to recover unpaid rent arrears – but you are unlikely to secure cover for situations involving legal or eviction disputes with your tenants;
• your tenants need to understand that your landlord’s insurance typically will not cover them for any personal accidents or illness they may suffer, or events such as the theft or destruction of their property following a burglary or natural disaster;
• some policies might contain a provision for your compensation of any loss of rental income following an insured event that temporarily leaves your let property uninhabitable and unlettable pending repairs and reinstatement – but compensation of that kind does not extend to normal voids between tenancies;
• some policies – but by no means all – may offer cover for malicious or accidental damage caused by your tenants or their visitors.

Unoccupied property insurance

It might also be worth making a final point about a further element of insurance for your buy to let property – the unoccupied property insurance you may need from time to time.

Unoccupied property insurance protects properties that are standing unoccupied for longer than a typical 30-45 consecutive days (with the exact interval varying from one insurance policy to another).

You let property might be left in that empty and unoccupied state for any number of reasons – some of which might appear almost beyond your control, such as:

• tenants who were due to move in and begin a new tenancy suddenly change their mind – leaving you a longer than usual void;
• you are having work done to decorate or convert the property and you are unable to let the premises while work is in progress; or
• you decide to hold off a letting until you return from an overseas business trip, only to find that your time away unexpectedly runs on longer than you anticipated.

In all these situations, once the 30-45 consecutive days have expired, you may find that your standard landlord’s insurance policy becomes null and void – and you may need unoccupied property cover to restore the protection your property continues to need.

Next steps

Getting the most cost-effective and appropriate let property insurance is something we can help you with. Simply get a free, no-obligation let property insurance quote online from our panel of specialist providers or give us a call on 01702 606 301 – we’d be delighted to help!

Do you remember the first time you saw the buy to let property in which you decided to invest? As you pulled up outside, there was probably something about it that made you think “this is the one”.

It’s what estate agents call kerb appeal – in an article on the 20^th of September 2021, Property Reporter spoke about its enduring attraction for house-hunters. And just as it was likely to have won you over, so too is it something just as likely to attract your tenants.

Sometimes, it might be difficult to put your finger on quite what it is that gives a property kerb appeal – you simply know it when you see it. For you and your tenants, it might be a question of whether the place looks attractive from the road or, more likely, the lasting impressions it creates at first sight.

Kerb appeal for your tenants

The OpenRent website on the 2^nd of February 2021 insisted that any property needs kerb appeal if a tenant is to fall in love with it and have that initial spark of interest that translates into a reliable and lasting tenancy. In a posting on the 26^th of February 2022, the online listings website Zoopla declared that first impressions are vitally important and that the exterior’s kerb appeal is an advert for all that’s inside.

As more properties are advertised for rent, the buy to let market is becoming increasingly competitive and you are likely to need to go that extra mile in making sure that potential tenants choose yours over neighbouring places to live.

Improving the kerb appeal

To maximise the potential and marketability of your buy to let property, therefore, you might want to improve its kerb appeal. How might you do that?

The front door

• one of the very first impressions is given by the front door to your let property – it is not only one of the first features seen but also the doorway to the whole of your let premises;
• keep it well-painted and clean – using soft greys, or bright colours such as dark blue or red if you want to make a splash;

Driveways and paths

• hopefully, they won’t need resurfacing, but at least give any driveways and paths in the front garden a thorough clean;

Know your boundaries

• tenants will want to know just where your property ends and the neighbour’s starts, so varnish any wooden fences, paint metal ones, and oil the hinges on gates to be sure they open easily and don’t have an annoying squeak;

The greening of your plot

• well-tended plants, shrubs and other greenery give the front aspect of your property some more colour and a sense of softness – immediately improving its kerb appeal;
• leading estate agents Foxtons, in a posting on the 28^th of March 2022, considered that growing plants was a certain way to improve any property’s kerb appeal;

Windows

• there’s probably nothing more off-putting than sad-looking, old and greying net curtains hanging in the windows of your let property;
• just a modest investment in new drapes, blinds, or shutters – especially in colours that match your newly painted front door – may make the world of difference.

Has your let property got kerb appeal? If not, you might want to give it some, to attract the more discerning – and potentially more responsible – tenant who is going to respect your property.

While the runaway housing market is booming, other UK property news headlines suggest a decline in the potential occupancy rates of homes in the UK, a shortage of rental accommodation, and the need for some landlords to be available around the clock for their tenants.

Tenants face supply crisis amid calls for 230,000 extra rentals a year

The shortage of accommodation to rent is so dire that an extra 230,000 such homes will be required to meet expected demand, according to a story in the Mail Online on the 15^th of February.

With the currently marked imbalance between supply and demand, hopeful tenants have much less choice when it comes to choosing a home to rent and will have to face paying more for it.

Following a succession of changes in legislation, many landlords have decided to quit the buy to let sector. As a result, only around 5,000 additional let properties have been added to the housing stock each year in the five years from 2016 to 2020. This compares with a total of 205,000 homes that were added during the previous ten years.

Council says HMO landlords must be on call 24 hours a day

Landlords of Houses in Multiple Occupation (HMOs) in Belfast must be prepared to respond 24/7 to complaints about anti-social behaviour following a court ruling in favour of the city council, reported by Landlord Today on the 28^th of February.

The provision of an out-of-hours emergency telephone contact number has been made on the council’s conditions for granting an HMO licence and was prompted by a recent spate of complaints about allegedly rowdy behaviour by students in the Holyland district of Belfast.

The council’s imposition of the 24/7 contact requirement was challenged by the Landlords Association for Northern Ireland but upheld in the High Court.

Nearly 9 million bedrooms lost in the UK

One of the unexpected consequences of changing lifestyles caused by the Covid pandemic and successive lockdowns has been the loss of bedrooms from homes the length and breadth of the country.

In a survey conducted by online listings website Zoopla, the results of which it published on the 17^th of February, an estimated 9 million bedrooms have been converted into home office spaces, entertainment suites, and gyms.

The loss of bedrooms is a result of around 41% of all homeowners adapting their homes in some way to meet their changing needs and lifestyles during the pandemic. In the place of former bedrooms, there are now an estimated five million home offices and more than a million gyms or exercise rooms.

Across the country, a total of some £36.5 billion has been spent in making these changes – and that’s the equivalent of an average of £3,714 per home.

While some 70% of homeowners believe that employers should contribute to the cost of home improvements to create offices for working from home, around 30% of employers have done so.

Rightmove predicts UK property market boom after record 2021

The housing market in the UK in 2021 saw record prices and an unprecedented volume of transactions. Yet 2022 will continue that boom, according to a news piece by Yahoo on the 25^th of February.

Taking full advantage of the surge in demand for homes, online property listings website Rightmove scored a 67% annual increase in profits in 2021.

Pre-tax profits for the year ending the 31^st of December were £226 million, following a 50% leap in annual revenue to more than £305 million.

Compared with pre-pandemic performance in 2019, revenue for the complete year was up 5% but rose by more than 48% compared with 2020 – thanks chiefly to the discounts offered to many estate agents during the lockdowns of the pandemic.

Looking for insurance can be tricky if you are doing it with no help. After all, finding the most cost-effective and appropriate insurance policy is an important decision. But if you consult a specialist landlord insurance provider – such as us at Cover4LetProperty – you may be able to find in minutes what you consider is the best landlord insurance policy for your individual needs.

Do note that where we say the “best” landlord insurance, you must bear in mind that there is no “one-size-fits-all” answer to what the best buy to let insurance policy may look like. After all, what is best for one property owner may not suit the needs of another landlord!

You may be looking for a policy that:

• is appropriate for the type of property that you have;
• offers all the elements of landlord insurance cover that you require (so you are only paying for the elements of cover you need); and
• is at a price that you consider cost-effective.

How much does landlord insurance cost?

Buy to let insurance may be priced using similar considerations to conventional home insurance policies. So, the insurer may consider the age and construction method of your house or flat, and its location when they give you a price for the cover.

You may find that if your property is in a postcode area that is associated with a low risk of crimes and floods, the prices quoted may be lower than for properties in an area that has a history of these things.

Discounts on let property insurance policies

As a landlord no doubt you may be concerned with the bottom line on what your buy to let insurance policy will cost. When getting let property insurance quotes, why not see whether any discounts may be available?

For example, some landlord insurance providers may offer lower prices for:

• properties that are covered as part of a portfolio – this insurance is called multiple property insurance cover or property portfolio insurance; and
• any extra security precautions that you may have had fitted (e.g., extra locks and alarms over and above what the policy requires as the bare minimum of security).

You might be able to identify several other such opportunities if you read your policy and work closely with your insurance provider.

Top questions on the best landlords insurance company

Many of us like to think we are getting the best deal possible and that leads to questions relating to how to find the best landlords’ insurance cover.

Some of those questions are listed here and some responses offered.

Who offers the best landlords’ insurance?

Although it is understandable why the question is asked, it is impossible to answer.

The fact of the matter is that the best landlords’ insurance company for one landlord might not prove to be the best for another.

There are a huge number of variables that need to be considered before selecting a policy. That might include things such as the type of property you have, the type of tenancies you are involved in and, the value of your contents etc.

Different insurance companies might offer more suitable policies depending upon how you answer those and other similar questions.

At Cover4LetProperty, we will commit to working to help you find suitable cover for your situation.

Where can I find cheap landlords cover?

Looking for cheap cover may be a rather a risky approach to adopt when searching for a policy to protect a major financial asset.

It is more advisable to focus your attention on finding a policy that is a good match for your circumstances and which offers you the cover you may need to provide a degree of financial peace of mind.

Having what you might call a cheap let property insurance policy won’t be of any consolation to you in a situation where you have tried to make a claim against it, only to find that the circumstances are not covered.

Getting the most appropriate insurance

As well as comparing low landlord insurance prices, it is also important that you compare the level and elements of cover too, to ensure that not only does it offer value for money, but the protection you need.

So, if you are looking for the best landlord insurance, remember that while price is important, having adequate protection in place is probably the key consideration when choosing your cover.

Most standard property insurance will provide cover for properties that are unoccupied for less than a specified number of consecutive days. That figure is usually somewhere between 30 and 45 consecutive days (depending on the insurance provider). This is typically more than sufficient to cope with property standing unoccupied for reasons such as normal annual holidays, business trips, weekends away or even short to medium level stays in hospital etc.

However, once that number of days has passed, your property becomes officially categorised by insurance providers as “unoccupied”. Shortly before that point is reached, you should switch to unoccupied property insurance.

Failure to do so could mean that your current insurance will only cover the most basic of risks – or could become completely invalid, meaning your property is not protected.

Why different cover is required

Empty property insurance is typically required because the likelihood of a claim increases significantly if the property is empty and some of the common perils – such as escape of water, theft, and malicious damage – may be excluded under your existing cover.

Those consequences of a property sitting empty might include:

• occupation by squatters;
• general and increasing dilapidation due to the absence of residents to keep things in order;
• an increased risk of vandalism;
• things such as unnoticed leaks and damp penetration that cause serious problems to the structure of the property;
• fire;
• it becomes a very visible target for burglars, remembering that sometimes even basic infrastructure such as radiators and pipework can be the target of theft.

At the very least, therefore, you may need to inform your insurers that the property is going to be unoccupied for more than 30 days (or the period stated within your policy documents). In that event you may also want to give serious consideration to empty property insurance to main full protection of your property.

Examples of why a property may be empty

Although very few people are likely to go out of their way to leave their home or let property empty, there are occasions when it is practically inevitable. The reasons might include:

• awaiting the completion of probate to determine the ownership of the property;
• refurbishment, remodelling or renovation that makes the home or let property uninhabitable for the duration of the works;
• a job that takes you away from home for several months;
• an extended holiday overseas – to visit relatives or friends, for example;
• a change of tenancies, involving an interval between the present tenants moving out and new ones moving in; or
• it remains up for sale whilst you have already moved into your new home.

In some of these instances you may have a reasonably determinate date for the property to be reoccupied and you may arrange your empty property insurance accordingly. On the other hand, the short-term nature of the vacancy may need to be extended for reasons beyond your control – and you may need the flexibility of extendable cover.

Short term empty property cover

Where your property may be empty for longer than 30-45 consecutive days but only for a relatively short period after that, then the good news is that short term unoccupied property insurance can offer a flexible solution.

Short term empty property insurance does what it says on the tin and can run typically for 3, 6 or 9 months, with the option to extend if required. (For example, a probate property may take longer than expected to go through the process, or your renovations may run behind, meaning you need to extend your empty property insurance).

If so, you may be glad of the kind of flexible short-term policy in which we at Cover4LetProperty specialise. It may be a simple matter of asking us for an unoccupied property insurance quote.

In any situation where your property is either empty or unoccupied, to ensure continuity of cover you will need unoccupied property insurance.

Even if the property is now sitting unoccupied for reasons beyond your control, this insurance consideration will still apply, and you will require empty property insurance. It might also be worth noting that this applies equally to owner-occupied and let properties.

It wouldn’t be advisable to take chances in this respect. If you have any doubts or uncertainties about the insurance status of one of your properties, we’d welcome your earliest contact for a discussion. Please call our friendly team on 01702 606 301.

Further reading: Guide to Unoccupied Property.

UK property news headlines have revealed attempts to curb overheating in new homes, the likely impact of an increase in interest rates, the impact of benefits cuts on tenants, and the lengths to which some tenants will go to secure improved air quality indoors.

So, let’s take a look behind those headlines.

New rules for new build conservatories

A blow has been struck to those many house hunters who have been hoping for a conservatory with the new home they intend to buy.

In a story on the 19^th of January, the Daily Mail revealed intentions by the government to issue a ban on the construction of certain conservatories on new-build homes.

To meet new building regulations, it will have to be shown that any proposed conservatory avoids creating “unwanted solar gain”. Under the sun of British summers already – and into the near future – glass-paned conservatories can become unbearably hot and overheat the rest of the house as result.

It is forecast that summer temperatures could reach 40° or more in the future and the proposed restriction on conservatories is but one element in a raft of measures designed to manage the effects of global warming.

Interest rates hiked again as the cost of living rises

On the 3^rd of February, the Bank of England increased the base lending rate from 0.25% to 0.50%.

In a posting on the 4^th of February, the online listings website Zoopla commented on the effect of the hike in the cost of borrowing for homeowners. It calculated that an estimated two million borrowers currently on their lender’s variable rate of interest will end up paying more in monthly repayments – or will need to extend their mortgage term.

For someone with a £200,000 mortgage, Zoopla calculates, the increase will cost an extra £24 a month.

Revealed: damage of benefit cuts to renters

In a press release on the 20^th of January, the National Residential Landlords’ Association (NRLA) revealed that one in ten landlords reported that tenants in receipt of Universal Credit have faced difficulties in finding the rent as it falls due.

The temporary increase in Universal Credit has now been cut back and tenants have been feeling that impact. Official figures show that 55% of tenants in the private rented sector face a shortfall between the welfare benefits they receive and the rent they have to pay.

That problem will only be made worse, says the NRLA, as tenants are further hit by inflationary increases in the cost of living.

Tenants “will pay more for homes with improved internal air quality”

The quality of the air inside their home is important to tenants in the private rented sector, reported Landlord Today on the 4^th of February.

In a recent survey, 70% of tenants said that they would be prepared to pay a higher rent in return for better air quality indoors. The numbers can be expected to have grown after successive coronavirus lockdowns during which tenants have had to stay at home.

While seven out of ten tenants would be prepared to pay more in rent, 16% said they would be prepared to pay as much as 25% more.

Typically, internal air quality is measured according to the presence of five elements – temperature, humidity, organic chemicals (that vaporise into harmful gases), carbon and fine particles.