Over 20% of landlords take 4 months to find first tenants

Interesting new research has revealed that over one in five buy-to-let landlords have to wait more than four months before getting their first tenants into the property.

The study from Nottingham Building Society shows that 21% of new landlords had to wait four months or longer after completing their buy-to-let mortgage before they found paying tenants.

Obtaining tenants

Conducted by the HMLettings part of its business, the Nottingham’s research found that 53% of buy-to-let investors have tenants within two months of purchasing their first investment. However, many more are facing delays, putting pressure on their bank balance.

Further data from the report found that the average investor has to pay £2,000 on their initial property before they find suitable tenants. 35% said that they managed to spend less than £1,000.

62% of those questioned said that they had to redecorate or refurbish their property before letting them out. 28% said that this work took two weeks or longer.

More encouragingly, once tenants are in a property, it seems the pressure eases somewhat. 45% of landlords quizzed said that they had no void periods in the last 12 months.

Over 20% of landlords take 4 months to find first tenants

Support

The Nottingham feels that the research shows the need for support and advice throughout the process of getting a buy-to-let mortgage, then letting out the property.

Stephen Reade, Lettings Operation Manager at the Nottingham, noted: ‘Becoming a landlord remains attractive for thousands of people, but it is clear landlords need to think carefully before making the decision and also to plan ahead. Having to wait four months or more before getting tenants in can put a strain on finances and landlords need to ensure they have spare money to invest in their property over and above basic mortgage costs.’[1]

[1] http://www.propertyreporter.co.uk/landlords/1-in-5-landlords-experience-a-4-month-tenant-delay.html