The financial rewards of letting your home or a flat can, at first sight,appear to be outweighed by all the regulations you need to comply with and by the various risks and costs involved.
However, this is not necessarily the case: a good knowledge of what you are doing,
good management and a good insurance package will take care of most eventualities.
There is no law which says you must carry insurance as a landlord, or as a tenant, but it would be foolish not to protect yourself from the financial loss associated with the risks. If you have a mortgage your lender will almost certainly insist that the property is properly insured.
- If you are letting your property your mortgage company will want to know about it and may insist on certain conditions, such as appropriate lettings policies indeed some financial institutions will in fact increase the rate of interest charged to you if you change their security from principal private residence to a rented property.
- Don’t forget, it’s easy to obtain insurance cover by not disclosing all the material facts (such as the fact that you are letting the property) but, in effect, you are not insured. If anything happens the insurance company will investigate and will almost certainly refuse to pay out.
- Landlord’s policies for residential letting are now very competitive and there is little difference in cost from normal household policies.
- The cost is a deductible expense for tax.
For peace of mind and for your best policy use the quotation button above, and see what value is in store for you.
Apartment Insurance
