The rate of growth in the number of tenants in severe arrears is slowing, but nevertheless rose by 1.6% in the third quarter of this year. There are now 99,000 tenants in arrears of two-months plus – the highest since 2008 and 15% more than last year.
The figures are from Templeton LPA, a specialist practice of LPA Receivers and part of LSL.
Tenants in severe arrears represent 2.5% of tenancies in England and Wales.
Although severe arrears cases climbed steadily last quarter, overall tenant arrears fell slightly in August, with 9% of all rent late or unpaid, the first improvement in this measure in three months.
Despite the steady growth in severe tenant arrears so far this year, there was a slight reduction in the number of tenants who faced eviction through court order on a quarterly basis.
In the second quarter of 2012, 25,422 tenants faced eviction notices, a quarterly fall of 6% compared to the previous quarter, reversing the previous 6% quarterly increase. However, evictions remain 8% higher on an annual basis.
The number of buy-to-let mortgages over three months in arrears fell by 7% to 22,000 by the end of the second quarter of 2012, compared with a previous quarterly fall of 4%. On an annual basis, cases of buy-to-let mortgages more than three months in arrears fell by 21%.
Allen Residential Lettings now have a focused rental team dealing with property management on a daily basis, thus enabling us to be able to inspect properties regularly, chase any arrears that may occur & generally offer a comprehensive management survice.
Our client arears are at the lowest level ‘ever’ and we are generally achieving longer lets with smaller arrears by choosing the correct tenants for you.
If you are interested in learning more about the manegement package we offer, please contact James Allen directly on 01761 412300 or email email@example.com