Landlords' revenues continue to fall

More than a quarter of residential landlords reported decreased or stagnated revenue during the third quarter of the year, new figures have shown.

Almost 25 per cent were found to either be making a loss or struggling to break even, according to the latest quarterly report from research agency Business Development Research Consultants (BDRC).

The figures showed that seven per cent of landlords suffered small losses and one per cent reported significant losses.

Despite the losses, 63 per cent of landlords are still proving reluctant to increase rental rates, said BDRC.

Over the last year only 27 per cent of landlords have increased rents, while 49 per cent have maintained rates and 19 per cent have decreased rent in order to secure tenancies.

More than one in five landlords said they base their rents on covering their costs, while 15 per cent said they try to undercut the local rate and six per cent said they charge whatever the Local Housing Allowance rate was.

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