Deposit alternative specialist Flatfair has reported a “bumper month” of business with build to rent (BTR) sector landlords.
According to Flatfair, July was a record month for no-deposit plans from the company’s BTR partners, with 80% more plans sold than the same month last year.
The deposit alternative option is offered at approximately 77% of live BTR units and their customers include Greystar, Native Residential and Urbanbubble.
Flatfair offers free protection of up to ten weeks’ worth of damages and/or rent arrears for landlords and if the amount owed exceeds this, Flatfair pays the landlords upfront while recovering the debts itself.
Flatfair CEO Gary Wright said: “Understandably, landlords feel they are living in uncertain times. Local authority licensing is on the increase and the Renters’ Rights Bill is just around the corner.
“It’s not surprising that the bigger providers are looking at the rental landscape and seeking out as much protection as they can for their investments.”
Wright believes that smaller, private landlords should follow the lead of the corporate providers in covering themselves.
“A month on after the election, we can clearly see the direction of travel – that is very tenant-focused and landlords will be bound to be feeling pressure,” he said.
“The BTR sector – as a group of very large landlords – are absolutely committed to this product and see the value of it and we firmly believe that agents and smaller landlords would feel the benefit if they followed suit.
“They are the lifeblood of the private rented sector and they should feel that their businesses are safe and secure.”
