The ‘Accidental’ Landlord

Though it sounds like a title for a new art-house French film or a thrilling new novel, ‘accidental’ landlords are becoming more and more common over the United Kingdom and, whether you’re thinking of becoming an ‘accidental’ landlord or are already a landlord by choice, it’s a new phenomenon that’s worth looking out for.

What is an accidental landlord?

Accidental landlords are people who have been trying to sell a particular property for some time without much success. In these circumstances some people choose to let out their property rather than sit and wait for the right buyer. The term ‘accidental’ landlord comes from the fact that letting isn’t really the landlord’s first choice and in an ideal world they would prefer to sell.

What are the benefits?

Letting out a property your trying to sell, firstly, allows you to move out of a property without leaving it unoccupied and having to worry about things like Unoccupied Property Insurance. It brings in a little income which can be used to offset a second mortgage and it can be a good opportunity to wait for property prices, or at least the market, to improve slightly.

Does it matter to me?

If this sounds like your situation then becoming an accidental landlord can be very beneficial, but all the same risks apply to accidental landlords as to ordinary landlords. However, the influx of this type of let on the market means that there might be a few new properties available for tenants looking around in your local area. On a small scale this might help to drive prices down locally, but more importantly it might be the beginning of more national trends in the property market where we see a more continental model of letting.

From whichever angle you look at it, the increase of ‘accidental’ landlords is an interesting development in the property market and perhaps a sign of things to come and a structural change in the property market. The real effects, though, are unlikely to be seen for a bit of time, but keep in the know about changes like this – it can only help your property business become more successful.