New research has exposed the growing financial pressure being placed on landlords and letting agents, as it shows the areas that are experiencing the greatest impact.
The top areas where courts are averaging losses of over £10,000 have been revealed. London sees landlords facing the highest loss on average with £27,436 per possession case. Landlord Today says this is “driven by average wait times of 12 months.”
Losses in the main seven court areas
In seven court areas, reports show that possession delays are pushing average landlord losses above £10,000 per case.
With London proving to have the highest losses of over £27k, the other six court areas are all around London and the South East: Croydon (£19,124), Romford (£17,046), Uxbridge (£14,968), Kingston upon Thames (£13,513), Chelmsford (£13,513) and Watford (£12,890).
What does the data show?
According to Landlord Today, “The data shows that delays remain inconsistent across the country.
“Teesside and Croydon each recorded average delays of eight months, while Chester, Northampton and Peterborough all averaged seven months.
“This regional variation between courts means costs and timescales vary significantly by location, making it harder for landlords and letting professionals to plan with confidence.”
Worrying for landlords
Despite there being some early signs of improvements in parts of the system, Will Eastman, director at Legal for Lettings, says: “The overall picture remains deeply worrying for landlords.
“In many courts, it can still take the best part of a year to regain possession.
“These delays aren’t just an administrative inconvenience, they represent months of lost income and uncertainty, which the latest figures make very clear.”
Renters’ Rights Act
With landlords already facing long waits before the Renters’ Rights Act has come into full force, it is expected that delays are going to increase further after the implementation in May.
Find out more
To view the full report by Let Alliance, here.
