Top 5 Guaranteed Rent myths – BUSTED!

November 26, 2013

All over the social web, we see landlords talking about our Guaranteed Rent schemes and we thought we would set the record straight about some of the myths we hear.

Myth 1.   They put any person in your property.

False. Northwood carry the financial risk of your property whether there is a void period and even if there is ever a need for legal action. Therefore we are super careful about which tenants we put in your property.  Our tenant vetting procedures are second to none.

Myth 2.  There is no Guaranteed Rent for LHA tenants.

False.  In certain circumstances, we will guarantee the rent of an LHA tenant.

Myth 3.  You get less money through Guaranteed Rent

False again!  When you take into account lettings agent commissions, fees, and void periods, our Guaranteed Rent can actually deliver a greater net profit than a full market rent. Landlords are often distracted by the headline rental value, not the rent that they actually bank at the end of the year.

Myth 4.  Northwood just take out a Rent Guarantee Insurance and factor the difference.

Again, this is false.  Northwood do not involve any third party in our scheme.  Our agents bear the full financial risk and they are only able to do this because they know their areas inside out, and have the expertise to find a suitable tenant for your property.

If you need clarification about the difference between Guaranteed Rent and Rent Guarantee Insurance, please watch this short video:

Myth 5.  It sounds too good to be true.

It isn’t too good to be true!  We can certainly understand this sentiment.  However, Northwood agents are able to offer Guaranteed Rent because they know their area so well.  They also manage multiple properties, meaning that they are able to spread their risk across many properties, not just yours.

In a recent review on All Agents website, Johnny commented on the Northwood service, awarding our Beverley office 4 out 5:

“I used Northwood Beverley for around 18 months and was signed up to the Platinum scheme. This presented good value for money and it compared very well with valuations from other agents who for the same money were not able to offer the financial guarantees that Northwood could. The property was well looked after throughout and I had no issues at all with rent payments. I would happily use Northwood again”.

Another review on the same website, posted on the 18th November 2013, said:

I have been using Northwood Warrington’s service since they opened and I couldn’t be any happier. They have assisted me in everyway possible way and have really taken extra care of my property. I must say that all of the staff are extremley friendly, I am always offered good advice and a cup of tea when i have to go into the office (it is nice to see good old customer services still exsist some where!). I would highly recommend Northwood Warrington’s service, especially the guaranteed rent which has saved me a fortune on legal fees – as well as my sanity. Thank you Northwood and I look forward to may more working years together“.

Northwood’s Guaranteed Rent Scheme is the most trusted in the U.K. with over 15,000 landlords opting for it for complete peace of mind.

It was set up specifically to serve the needs of busy landlords who want a complete “let and forget” solution.

Make 2014 the year that you never worry about another missing rent payment again!

Northwood is one of the largest and most recognised lettings agents in the U.K. and the leading supplier of Guaranteed Rent to give landlords complete peace of mind.

Find us on Twitter @northwoodUK or visit our YouTube Channel.

 

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