Buy to let landlords rarely have an easy time of it running their business in a difficult private rental sector.

If there is one thing that might help you keep on top of the current themes and issues, it is likely to be a regular update on the latest news.

Bearing that in mind, here is our pick of some of the topics making the headlines.

Social media is putting your home at risk of being burgled

Before you are tempted into using social media to showcase the property you want to let, spare a thought for the valuable secrets you might be disclosing by posting pictures to the world at large.

A story in the Daily Mail newspaper recently warned that pictures of home interiors maybe a giveaway to potential thieves and burglars of the valuable contents of the property. Even a seemingly innocent shot of the front door to the place might reveal the make, model and standard of the lock that is fitted – saving burglars precious time in breaking into and entering your let property.

You know that potential tenants might be looking for somewhere to rent that has access to a back garden. But think about how those carefully shot photos of the garden and the back of the property might also point the way to vulnerable entry points – windows and sliding doors, for instance, which might often be left ajar.

Professional Airbnb sub-letters exposed

Reporting on a BBC Inside Out documentary, a story in Property Reporter on the 28^th of October illustrated how things might go horribly wrong if your sub-letting tenants are acting to all intents and purposes as professional Airbnb hosts.

It relates the case of one landlord who suffered losses of around £10,000 after having told his tenants to stop using his let property as a commercial venture on Airbnb, only to discover that the same activities resumed after a brief pause.

Not only had the tenants breached their tenancy agreement – since the landlord had given no permission for the sub-letting arrangements – the property was also in breach of various local authority licensing requirements and material damage had been caused.

Landlord fined for not licencing HMO

In a separate story appearing in Letting Agent Today on the 28^th of October, it is clear that substantial penalties await those landlords who are in breach of local authority licensing regulations.

For failing to obtain the necessary licence to run a House in Multiple Occupation (HMO) from South Holland Council in East Anglia, a landlord was fined £750 by Boston Magistrate’s Court and, together with other costs that were imposed, faced a total penalty of £1,205.

In pursuit of the prosecution, the local council insisted it would apply the law to ensure unlicensed and unsafe landlords were brought to justice.

Crisis looming in supply of rented homes

There is little doubt about the demand for private rented accommodation.

In the results of a survey published by the Residential Landlords’ Association recently, a quarter of all landlords had witnessed an increase in demand; 41% believed there has been no change; and, only 15% detected any fall in demand.

Despite that growing demand, landlords are continuing to sell up. 31% reported plans to sell at least one of their let properties during the coming year and only 13% said they planned to buy.

The widening gap between demand and supply of private rented accommodation heralds a looming crisis warned the RLA.

New opportunities open up, different challenges come along, and the business environment for the buy to let landlord is forever in flux.

So that you keep abreast of those changes, seize any new opportunities and rise to any challenges, it is important to stay tuned to the news. So, here are a few snippets as to what has been going on in the world of buy to let investors recently …

Latest changes to the How to Rent Guide

As a landlord, you probably know that you are required to give (or email) any new tenant a copy of the official How to Rent guide.

But had you considered that the version of the guide you provide to any new tenant must be the current version – and that the versions change on a fairly regular basis (updates were issued as recently as in June and again in July, for example)?

The Residential Landlords’ Association (RLA) issued a warning on the 13^th of August reminding landlords that you must give your tenants a copy of the latest version of the How to Rent guide for the date on which the tenancy started.

If you fail to do so, you are likely to find it difficult if you subsequently try to serve a Section 21 “no-fault” eviction notice to the tenants concerned.

Private rents rise by 1.3%

Landlord Today reports that average rents in the private sector have risen by just 1.3% in the year to the end of July.

This is the third month in a row that the average private sector rents have remained the same. It also means that rental income for landlords is effectively falling, relative to inflation.

Rents may have risen by 1.3% in the past year, but inflation has climbed more steeply over the same period – by 2.1% when measured by the Consumer Price Index (CPI) and 2.8% in terms of the Retail Price Index (RPI).

Section 21 is not responsible for causing homelessness says NLA

The National Landlords’ Association (NLA) robustly challenges any suggestion by government that the use by landlords of so-called Section 21 – or “no-fault” eviction notices – has led to an increase in homelessness.

Research by the NLA instead suggests that the main reason for homelessness is the result of family or friends no longer being prepared to share their home with them.

Where former tenants have become homeless at the end of an assured shorthold private rented tenancy, this has been because of the landlord evoking Section 8 “fault” eviction notices, or the tenants have simply abandoned the let property or have fallen into rent arrears.

What constitutes the perfect home?

Online estate agents Zoopla – in a joint exercise with the Society of Garden Designers – have discovered the somewhat surprising premium which house hunters place on a well-groomed garden.

A pleasant outside space appears to be just as important to those looking for a new home as the latest in designer kitchens or bathrooms – and those looking to buy a property are prepared to pay an average of £15,000 for a home with a garden.

The priority given to that outside space is underlined by the finding that 74% of homeowners have already invested in improving their garden or are planning to do so soon – in the expectation of the investment increasing the capital value of their property.

A landlord’s work is never done. There is always some new development, it seems, that you might need to take into account for the smooth running of your business.

So, if the season of sunnier skies, warm weather and your hard-earned summer holidays might have taken your eye off the ball, here are a few snippets of news you might want to consider.

North-South divide: property prices are narrowing

Is it possible that the historic North-South prosperity divide in the UK is going into reverse?

New research – published in Landlord Today on the 30^th of July – shows that while property prices in cities such as Liverpool, Edinburgh, and Cardiff are surging ahead, those in the traditionally more wealthy South, such as London, Cambridge, and Southampton, are lagging behind.

Although there remains a gap in the value of property in the South compared to the North – and that gap has continued to widen in at least the past couple of years – it might soon be going into reverse. As at June of this year, property prices in the South grew by an annual average of just 0.7% whereas those in the North enjoyed an average growth of 3.6%, as demand pressed against the available supply of housing.

Across the country as a whole, property prices grew by only 1.7% in the past year, with those in the North consistently outpacing those in the South – property prices in Edinburgh, for example, recorded a high of 5.1%, while the majority of those cities showing an increase of less than 1% are all in southern England.

Home insurance claims spike in August

Summer holidays can play havoc with your home insurance.

When children are around indoors for rather longer than the rest of the year and when some of those days are edging towards boredom or frustration, more than the usual number of accidents happen and an increased number of insurance claims are the result, reports Yahoo Finance in the UK.

Home insurance claims jump by as much as a third in the months between June and August – when children who previously spent most of the day at school are then on their holidays.

Illustrating the damage that might be caused during the summer holidays, the study gives the example of television sets broken because toys were thrown at them, sofas and carpets indelibly stained by the “slime” some children love to play with, leather sofas accidentally cut to shreds through careless craftwork, and smartphones dropped down the toilet.

£100,000 fine for Airbnb sub-let

A tenant of Westminster City Council in central London has been fined £100,000 for sub-letting his flat to Airbnb guests, reported the Independent newspaper on the 30^th of July 2019.

Following on from this news, another local authority is to investigate whether its tenants are abusing the opportunities presented by Airbnb and other short-let internet platforms to make illegal income from subletting their accommodation – offences which may be likely to invalidate any Airbnb insurance, landlord or home insurance which might have been arranged.

Letting Agent Today on the 30^th of July reported that Belfast City Council has launched the investigation following a 40% increase in lettings in Northern Ireland inspired by these online platforms and in response to concerns about the impact on the housing stock in the Province.

Landlord fined £14,500 for unlicensed HMO

Wychavon District Council in Worcestershire has handed down fines totalling £14,500 to the landlord of an HMO who was illegally letting the premises without the necessary licence, reported Landlord Today on the 29^th of July.

Not only was the HMO unlicensed, but the landlord had also allowed it to become overcrowded – as the home to eleven individuals – the fire alarms barely worked, there were no fire doors, the kitchen had no oven and the general layout of the property was poor.

Property and all things related to it are rarely out of the news. Here are just a few of the current news stories you may be interested in …

Energy theft – pulling the plug

According to a report by UK Power, every year sees an estimated 25,000 incidents of energy theft and a further 3,300 cases of theft and attempted theft of gas.

Not only does that cost the UK economy some £500 million annually – which works out to be at least £20 for every individual a year – it also results in two fatalities and 36 injuries.

In an article on the 6^th of June, the Association of Residential Letting Agents (ARLA) drew attention to the temptation of some tenants – and even some landlords – to try their hand at this dangerous and costly method of stealing energy. The ARLA urges anyone who suspects a tenant or neighbour of energy theft to report their suspicions to Crime Stoppers’ dedicated energy safe reporting hotline.

Those guilty of this crime face the prospect of up to five years in prison and a fine of £2,000.

Property prices set to rise by 4.8% over the next six months

Landlords and buy to let property investors benefit from rising house prices – in terms of both the potential for increased rental income and capital gains. So, it comes as good news that the majority of homeowners (81%) expect to see an average 4.8% increase in the value of their property during the course of this year.

The good news was reported by Landlord Today on the 11^th of June.

New plan wants landlords’ to pay renters’ council tax

Amid the present party political upheavals and prospects of a general election, the Labour Party is unveiling what it brands as radical changes likely to have a major impact on buy to let landlords.

In support of the party’s intention to reintroduce rent controls, the emerging manifesto also includes plans to make landlords pay council tax on behalf of their tenants.

By relieving tenants of the need to pay council tax, landlords would instead be required to pay a new “progressive property tax” in respect of their tenants and buy to let business, according to a synopsis of the plans published in Property Industry Eye on the 5^th of June.

£83m – the cost of the Tenant Fee Ban?

We have previously discussed some of the likely impacts of the radical changes introduced by the Tenant Fees Act, which came into full force on the 1^st of June and made it illegal for landlords or their agents to charge tenants fees for any but a very few services. The Act applies to tenancies in England, but similar legislation is being implemented in Wales (and already exists in Scotland).

Where various fees previously charged to tenants in some cases amounted to as much as £800 per tenancy, the total cost to landlords in lost revenue is likely to top £83 million, said Money Week on the 3^rd of June.

Most of us know that these lovely insects are absolutely essential to the maintenance of our environment.

Bees are important

In fact, some experts estimate that roughly one mouthful in every three consumed by human beings consists of food that directly or indirectly, originally needed to be pollinated.

As a result, it is the cause of some distress that bee populations in the UK have been in decline over recent years. The exact reasons for that are hotly disputed but there is some evidence that things such as pesticides and the destruction of the natural habitat have been major contributory factors.

So, it’s in all of our interests to do more to help by attracting bees to our gardens. Not only will that lead to better pollination of your own plants but it will also play a part in improving our overall natural world.

What bees need to thrive

There is no great mystery here. To prosper, bees require:

• a food source – meaning nectar and pollen provided by flowers;
• water;
• for many species, a nest.

Anything you can do to provide those things might encourage bees into your garden.

Plants

Almost any flowering plants will be extremely useful for bees. Some though are richer in pollen and nectar than others. So, if you can, consider:

• selecting plants that are known to be highly attractive to pollinating insects. The Royal Horticultural Society’s website has a list of over 3000 plants tagged as such;
• try to leave at least one part of your garden for a traditional herbaceous border with plants such as lavender and poppies. Bees love foraging in slightly more unkempt flowerbeds;
• do not use pesticides on or near your flowering plants. In fact, avoid them totally if at all possible, researching and using natural methods instead.

Water

This is one of the easiest things to put in place.

If you have a pond or other large water display in your garden then that will be fine. If not, you can easily pick up something for a small amount of money at your local garden centre – it can be a very modest affair and doesn’t have to try and replicate the fountains at Versailles!

You could, if you wish, go for an entirely DIY solution, making a tiny birdbath or other water source from old receptacles that bees can use.

Nests

Many species of bee make nests though some, called “solitary bees”, typically don’t and will simply lay their eggs underground.

However, you can assist by providing a nest ready for their easy occupation.

There are a number of ways of doing this but one of the simplest is by bundling some bamboo or other tubes loosely together and then making sure they are protected from the rain and the worst of the elements. They should also be located close to plenty of flowering plants.

You can find some excellent advice online as to how to go about this.

Don’t be too disappointed if this doesn’t work, as bees can be unpredictable about where they build their nests. It’s also important that you attend to hygiene and the cleaning of the nests at the end of the season.

Even so, for a very limited amount of effort and virtually zero cost, you may help encourage bees into your garden by offering them accommodation.

Conclusion

We all know the downside of human intervention when it causes the destruction of natural habitats. However, there are also vast numbers of examples around the world, where humans are assisting to maintain and restore the environment. These, unfortunately, don’t always receive the same publicity.

You can make your own contribution to this story though by taking some of the above steps. Good luck and enjoy your bees!

The beauty of staying in a holiday home is that it is – or should be – a home-from-home for your guests. One way of making sure your visitors feel as comfortable as possible is to create a “Welcome” folder. Not only does this make for a more pleasant experience for your guests, but it saves you the late night phone calls asking you “How do I turn the heating on?” etc.

Not only that, but a happy, comfortable guest is more likely to return to your property at a later date!

So, what you should include in yours? Here is a brief overview to get you started …

1. Emergency contact numbers

• contact details for the property in an emergency – such as the keyholder’s details;
• some of your guests may be from overseas and therefore not aware of the UK emergency numbers so include 999 for the Police, Ambulance or Fire Service emergencies; and
• NHS 111 Helpline (or NHS DirectWales on 0845 46 47 for parts of Wales not covered by the 11 service) for non life threatening emergencies;
• details of local medical facilities – such as the nearest GP surgery and Hospital A and E;
• if pets are allowed at your property, then include details of both local and emergency vets.

2. Your holiday let

These details should include:

• your house rules;
• where fire safety equipment is such as fire blankets and extinguishers;
• where the stopcock is;
• instructions on how to use appliances / turn the heating on and off etc. (we’d suggest writing out your own instructions or photocopying the relevant parts of any instruction manuals to stop the originals getting lost or dirty);
• what day the waste is collected and where the bin should be placed;
• how to operate security in the property (such as alarms or window locks).

3. The area

This part of your folder should help your guests get to know where everything is – and how to get there!

• local transport information – the nearest bus and train routes, ferry ports, airports and so on;
• nearest supermarkets, shops, pharmacies, restaurants, post office and cinema;
• things to do in the area – this could be a whole section in itself!

It may also be nice to include a section with takeaway menus, too!

Finally …

Hopefully the above have given you some ideas as to what to include in your Welcome folder. If possible, try and send the pertinent bits – such as the house rules, transport links and places to eat and visit, in an email before they arrive.

This email can also include details of where to collect the keys from and any front door security code (if relevant). You can also send an inventory, too, so your guests know exactly what they are getting in terms of bed linens and towels etc.

Most importantly, send your guests directions on how to get your property via car, rail, and from the North, South, East or West of the country. If your property is a little off the beaten track, then make sure your directions are very precise. And don’t forget to include your full postcode!

Also, while not part of your folder, a Guest Book where visitors can leave their comments adds a nice touch to the whole holiday experience.

Do you own buy to let property or are you looking to invest in one? Then the following snippets of news are relevant and might sooner or later have an impact on your business.

The Tenant Fees Act

June 1^st 2019 saw the Tenant Fees Act come in to force which bans landlords and their agents from charging a wide range of fees to their tenants.

An article by Property Wire on the 3^rd of June revealed that the total savings to tenants are estimated to be £240 million in England alone.

That total saving is further estimated to be worth up to £70 per tenant household.

The Act also imposes a cap on the amount landlords may charge tenants as a security deposit against breakages and damage – the deposit must be no more than the equivalent of 5 weeks rent if the annual rental is less than £50,000.

How to Rent guide and Form 6A updated

Following on from the new Act above, where neither landlords nor their letting agents may now charge fees to their tenants – except for a few closely prescribed reasons – the official How to Rent guide has been updated accordingly.

The up to date version of the guide must be given to any new tenants you take on or any tenancy that is renewed.

Critically, the guide makes clear that no landlord may issue so-called Section 21 (or “no-fault”) eviction notices where fees have been illegally charged and the tenant has not been refunded any monies they have paid. The relevant Form 6A has been updated to this effect and must be used in any Section 21 proceedings with effect from the 1^st of June.

In a posting by the Association of Residential Letting Agents (ARLA) dated the 31^st of May reminds landlords that, together with the current version of the How to Rent guide, every tenant must be given up to date copies of:

• the annual gas safety certificate;
• the relevant Energy Performance Certificate (EPC) – unless it is a room in a House of Multiple Occupation (HMO);
• the required information about the protection of the tenant’s deposit – under the terms of the Tenancy Deposit Protection scheme; and
• if the let property is licensed, a copy of that licence.

Axing Section 21 leaves landlords “powerless” says the National Landlords Association

Landlords will be powerless to prevent or control antisocial behaviour (ASB) by their tenants if the current provisions for Section 21 “no-fault” evictions are abandoned – says the National Landlords Association (NLA).

If the provisions are scrapped, landlords will be left with no teeth in tackling antisocial behaviour such as drug dealing and abuse, prostitution and tenants playing their music too loud all hours of the day and night.

Currently, landlords faced with tenants displaying ASB can issue a “no fault” Section 21 notice that enables them to repossess their property, typically within four months, and without having to put those affected through the ordeal of giving evidence in court.

In a posting dated the 4^th of June, Landlord Today revealed that a recent survey of landlords found that 14% of them had reported antisocial behaviour by their tenants in the past 12 months.

Best BTL hotspots to quickly recoup your investment

If you are intending to buy let property, it helps to know how quickly you are likely to recoup your investment.

The latest research published identifies those regions where any investment is likely to be recouped most quickly – how long your rental income might cover the initial purchase price of the property and any Stamp Duty:

• Scotland – 17.7 years;
• Northern Ireland – 18.9 years;
• England – 25 years; and
• Wales – 26.4 years.

It is not exactly uncommon to see the phrase ‘cheap landlord insurance’ liberally sprinkled around some buy to let home insurance advertisements. But does cheap landlord insurance really exist?

It depends on what your perception of what you consider is cheap – basically, what is cheap for one person may not prove to be cheap for another. This is because while one landlord may be looking to pay as little as possible for his or her let property insurance cover and will be satisfied with the lowest price, another landlord may want a very comprehensive policy with all the bells and whistles – and the one they choose may not necessarily be the cheapest policy, but cheap considering the cover offered.

Choosing the most suitable landlord insurance

Clearly if you compare a buy to let property insurance policy providing a relatively low level of cover and benefits to one that offers a far higher degree of these things, then you might expect to see that it is more lowly priced relative to the more sophisticated policy.

Yet if the policy providing broader cover is a good match to your requirements, then you may consider it to be ‘cheap at the price’.

Perhaps the most suitable way of finding cover that meets your needs and at a price that you find realistic is by comparing landlords insurance policies (or use our landlord insurance quote service for ease), and weighing up which one offers you the most suitable level of protection and at the lowest cost.

This is because buy to let insurance policies may differ in many areas including where some may offer the following benefits and features while others may not:

• cover for legal fees that arise from an insured risk – that may even include situations where you did not win the case (but typically this would not cover situations where you were taking legal action against tenants for eviction or the recovery of rent arrears);
• trace and access cover – this is cover that will allow you to recover the costs associated with a tradesperson’s explorations seeking to find the origin of a problem (up to pre-agreed limits);
• malicious damage by your tenants – such cover may not be typical on some buy to let property insurance;
• subsidence – once considered an essential part of all buildings insurance, today not all policies will provide it as standard and that may leave you very significantly exposed unless you opt to pay an additional fee;
• loss of rental income protection – you may suffer this surprisingly easily if your property is rendered un-rentable due to an insured risk (specified maximum limits may apply);
• full tenant flexibility – not all policies will offer the same degree of cover irrespective of the nature of the tenants that you have in your property, whereas others may not differentiate between private, student or DSS categories etc;
• the amount of voluntary excess offered – something that may help you reduce your premium. (For example, with our let property insurance, flexible voluntary excesses from £100 – £1000 are available, giving discounts of up to 40% off the premium).

The bottom line may be simply that what is cheap landlord insurance for someone else may be neither cheap nor suitable for you. It may always be advisable to read the policy carefully and study its benefits thoroughly before starting to think about its pricing level.

We are confident that via our services, you will be find landlords insurance providing what we consider to be an excellent range of valuable cover at a cost-attractive price.

AEL has exceptional expertise, flexibility and experience in underwriting products and services for niche markets and is backed by a financial rating of  “A-” Excellent from A.M. Best. Their commitment to excellence, and entrepreneurial spirit makes them a partner for the long term.

AmTrust Europe Limited is a subsidiary of AmTrust Financial Services, Inc., a multinational property and casualty insurance company based in New York and is included in the FORTUNE 500® list of largest companies.

History and Ownership

Since establishing their first underwriting platforms in Dublin in 2003, AmTrust International (branding style of AmTrust Europe Limited) has grown to over 2000 employees in 38 locations and 25 countries, providing consistent, quality products and services in markets globally.

Through strategic acquisition and a keen focus on organic growth, AmTrust Financial Services, Inc. gross written premiums have grown almost 250 percent in five years, with the annual GWP now standing at over $2.5 billion.

Company Goals

To deliver outstanding insurance and risk solutions to our clients and partners around the world through innovation, niche expertise, and unparalleled service.

We set high standards in all areas of our performance. We deliver outstanding solutions, products and services to our agents, brokers, partners, customers, and communities. Our actions drive financial strength and stability.

We are nimble, responsive, service oriented, and entrepreneurial. We leverage technology to create value for our agents, brokers, partners, customers, employees and stockholders. We challenge traditional solutions and create new approach.

We act honestly, fairly and with high ethical standards. We question actions inconsistent with our values. We are trusted by our colleagues, customers and partners. We honour our promises and obligations.

Are you looking for cheap landlord insurance? As a landlord, you are no doubt aware of every expense that you have to meet as a property owner. So, in order to maximise your return on the property you may be looking for the cheapest policy that you can get.

But before we look at cheap landlord cover, let’s discuss why you may actually need landlord insurance.

Why do I need landlord insurance?

Being a responsible landlord typically involves thinking about landlord insurance (also known as let property insurance or buy to let insurance).

This is to protect two different sets of interests – yours (perhaps including those of your mortgage lender) and any tenants you may have.

Your interests

As a landlord, you probably have a great deal of capital tied up in your property.

Having the appropriate type of landlord insurance may make sense, unless you enjoy the prospect of putting that capital at risk.

There are three main components to think about when considering let property insurance:

• the building itself plus the fixtures and fittings;
• the contents – particularly important if your property is rented out furnished;
• third-party public liability insurance – to protect you should your tenants, their guests or a passer-by, be injured (or their property damaged) as a result of your property.

This cover is quite distinct from similar cover that may be provided by an owner-occupier home buildings and contents insurance policy and you cannot, therefore, use owner-occupier policies for a property that you’re renting out. We will discuss this in more detail later.

Rented-out properties have a different risk profile and landlord insurance is designed to cover that.

Now you understand what landlord insurance is, what do you need to know about cheap cover?

What does “cheap” mean?

This is not a trick question. The concept of something being “cheap” has different meanings to different people. For some, cheap landlord insurance is just a basic policy without the frills. For others, “cheap” landlord insurance policies may be ones to be avoided because they are not perceived to offer the most suitable cover.

In a nutshell, what you think is cheap landlord insurance may be completely different to what your neighbour or a contemporary considers is cheap. And what you define as a bargain insurance policy may not be the same for someone else. That said, there are landlord insurance policies available that offer comprehensive cover at an affordable cost.

It’s hard but it’s worth trying to focus on suitability rather than cheap when you’re thinking about landlords’ insurance.

There’s perhaps not much point in having exceptionally cheap let property insurance for landlords in terms of absolute cost if it also doesn’t provide you with the cover you need.

This means that when you are looking for let property insurance, perhaps the real issue you may need to consider is whether you are getting the cover you need at a price you find acceptable.

What does “cover” mean?

This is not a trick question either. The cover available from different providers may vary. Basically, if your let property is damaged by an insured risk, in the event of a successful claim, you can expect your insurer to pay for the repairs that are necessary (after you have paid the excess, which is the first part of a successful claim) – up to pre-agreed limits.

A typical list of insured perils may include:

• storm;
• explosion;
• damage caused from objects falling from aircrafts;
• flood (depending on where the property is located); and

Some insurers may offer a more extensive list of insured risks, and this is an issue that you may wish to check out in detail when you are comparing let property insurance quotes. For instance, some providers – such as ourselves – may offer malicious damage and cover for subsidence as standard, while others may not offer cover for these at all.

Are there any discounts available?

If you are looking for cheap landlord insurance then price is obviously important. So, you may wish to consider whether any discounts may be available. There may be discounts if you are insuring a portfolio of properties, as insurers may want to attract as much business as possible from you.

But with some providers there may also be a discount available if you install extra safety features (on top of those that your policy may oblige you to fit) to prevent theft and deter malicious activities.

In terms of the excess (this is the first amount of any successful claim that you are liable to pay), opting to pay a voluntary excess on top of the mandatory amount may also reduce the cost of your cover.

So, if you are looking for cheap landlord insurance, do bear all the above pointers in mind. That way you should be able to get suitable let property insurance at a price that suits your budget.

We’re all vulnerable to suggestions of a bargain and someone talking about cheap home insurance for landlords is likely to catch our ear.

Home insurance is cheaper than landlord insurance – can I use that instead?

Let’s think for a moment about the difference between home and your rented property.

If you have a home that is a separate dwelling entirely and exclusively lived in by you and your family, then you’ll typically need owner-occupier home buildings and contents insurance.

However, if your property is rented out then you’ll require buy to let insurance.

Sometimes complexities arise where landlords reside in the same property as their tenants. As a general rule, the property will require landlords’ insurance and you can’t simply extend any existing owner-occupier cover you have.

Holiday homes

Another area that sometimes misleads is that of holiday rentals.

Even if you only let you home out for a week or so here and there for holiday purposes, you are still a landlord and your home is being used for commercial purposes.

Once again, holiday home insurance would typically be required to protect your interests.

If you let out all or part of a property – whether for holiday home usage or as a long-term let, it is imperative you have the most appropriate, suitable property insurance. Failure to do so – for example, you have a home insurance policy to cover a property that is let – means that in the event of a claim, it could be rejected.

Not only that, but if your property is mortgaged, it is typically a condition of your mortgage agreement that you have appropriate buildings insurance at all times – if you have the incorrect type (as cited in our example above) then in theory, you are breaking the terms of your mortgage contract. This means your mortgage provider could ask that you pay the outstanding balance of your mortgage in one go.

Unoccupied properties

As a landlord, you may have to accept that your property is sometimes going to be unoccupied between rentals. Equally, you may have to keep it so for a period if you’re engaging in re-decoration, refurbishment or significant re-development.

This may also be the case shortly after you’ve purchased a buy-to-let basis and are waiting for various works to complete before you start renting it out.

Typically, buy to let insurance regards any property that has stood unoccupied for more than 30-45 consecutive days, to be empty.

In such cases, your existing insurance may become invalid. That is because insurance companies typically regard empty properties to constitute a higher risk than those that are occupied.

That arises from things such as burglars preferring them because there is less risk of interruption. It’s also possible that an initial small problem such as a minor leak in a pipe may become increasingly serious because there is nobody present to notice it.

For all these reasons, insurers typically require that you make special arrangements in such situations and that is called unoccupied property insurance.

You may need specific unoccupied property insurance if you are to stay protected in such circumstances. This may also apply to traditional owner-occupied policies.

Read our Guide to unoccupied property here.

Taking your time

With all these considerations, searching for suitable buy to let insurance may be typically a wiser approach than just looking for cheap home insurance for landlords. It’s an area that may prove critical to you in a crisis so getting it right is important.

If you have any doubt in your mind as to just what sort of cover you need, or you need help getting a landlord insurance quote, then we will always be happy to guide you as to what sort of cover would most suitable for your needs. Simply give us a call or drop us and email! We’d be delighted to help!