Friday 24 October 2008

Landlords 'will remove tenants despite credit crunch'

Landlords will still remove tenants that fall behind with payments despite the economic slowdown, an industry insider has claimed.

Chairman of the Residential Landlords Association (RLA) Lee Dribben has denied that the credit crunch may be causing those with buy to let mortgages to let unsuitable tenants stay.

"A landlord wouldn't want to lose a tenant if rent was being paid, but if no rent is paid, why would the landlord want the tenant to remain?" he said.

However, he did warn buy to let investors that the process of cancelling a tenancy can be long and drawn out.

"The vast majority of tenancies are ended by tenants," he noted.

Meanwhile, figures from the Association of Residential Letting Agents showed that there had been an increase of around 20 per cent in the amount of new tenants over the three months leading up to September.

Average rents stood at £387 per week for houses and £253 for flats.