Landlords 'placing tenants under greater scrutiny'

News Category: Industry News

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Landlords seeking tenants for expensive properties are becoming increasingly exacting in their scrutiny of prospective tenants, according to a property agent.

Knight Frank told the Financial Times that letting agents are looking to perform thorough financial background checks on those inquiring about London flats amid rising fears of rent defaults or renegotiations.

Among the measures now being taken by landlords are extensively researching the net worth of tenants' savings and investments, as well as seeking out employers for guarantees of their job security.

David Mumby, manager of Knight Frank's Chelsea office, said: "This is a pretty radical change. We are doing much more thorough checks as putting tenants through a reference company is simply not enough any more."

Last month, the National Landlords Association (NLA) called on the government to provide greater financial support to assist struggling landlords after NLA statistics revealed that 44 per cent of landlords have experienced problems with rental arrears in the last six months.

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