rent insurance

[westbourne]

Do most landlords take rent gurantee insurance? I am only a small landlord and dont but it seems to me that I should ask my tenants to take out and cover this insurance themselves to cover the event they can't pay!

Does anyone else agree?

[vinvin]

i think you might fall into the unfair contract trap here.

The norm is the landlords take out the rent guarantee insurance, and not always but sometimes tenants take out contents cover which covers damage to your property.

Depends if you do the referencing yourself, or your agent does it. If you feel uncomfortable as to their suitability, do a credit check, or dont have them.

At the end of the day, if your tenant was earning 100k plus per year, would you worry, or would you worry more is your tenant was earning only 20k.....would you ask the former for insurance, i doubt it. However, both have the chance of loosing their jobs.

I managed over 400 properties and not one landlord took out insurance. Lots have small print. You might well find that some agents offer as part of their package in referencing, six months guarantee of rent. If you do it yourself your on your own.

Sadly despite what some landlords think, and especially the new novice ones, the renting game, is not all win win.

Sometimes you win sometimes you loose. But overall mostly you will win. The vast majority of tenants are good payers.

[Reg]

It's not a good idea to ask your tenants to pay for rent insurance against them not paying you. If you did that you'd basically be saying to them that you don't trust them, not the best way of starting a fruitfull relationship with your tenant.

Regarding rent insurance, I personally don't have it. But it is an individual choice, comprehensive tenant checks will greatly reduce the chance of a nightmare tenant.

In my opinion rent insurance policies work out expensive in the fact that you pay the premium in the first instance, then if you have to make a claim you get charged by the rent insurance company a further month's rent. So unless the tenant is a complete nightmare then it aint really worth it. Many letting agents offer this insurance for "free", but of course this isn't the case, they simply ramp their costs in advance.

[web2dude]

It's not a good idea to ask your tenants to pay for rent insurance against them not paying you. If you did that you'd basically be saying to them that you don't trust them, not the best way of starting a fruitfull relationship with your tenant.

Regarding rent insurance, I personally don't have it. But it is an individual choice, comprehensive tenant checks will greatly reduce the chance of a nightmare tenant.

In my opinion rent insurance policies work out expensive in the fact that you pay the premium in the first instance, then if you have to make a claim you get charged by the rent insurance company a further month's rent. So unless the tenant is a complete nightmare then it aint really worth it. Many letting agents offer this insurance for "free", but of course this isn't the case, they simply ramp their costs in advance.

There are various rental insurance schemes available with deposit holding schemes. Have a look online by searching under'deposit protection schemes' and try getting an all in one deal?