Analysis from property upkeep answer supplier, Assist me Repair, reveals that upkeep within the rented sector within the UK totals an enormous £30 billion a 12 months.
Throughout the UK, there are a complete of 29.7 million properties and nearly half of those (48%) are rental properties – that’s 10.6 million rental properties.
Of that 10.6 million, the cut up between personal and social enterprises is roughly 50/50, with some 5.6m privately rented properties versus 5m socially rented properties – that means they’re owned by housing associations and native councils.
The final rule of thumb is that the price of sustaining a property every year sits at roughly 1% of the property’s worth. With the present common home value hitting £278,436, this implies annual upkeep prices complete £2,784 per property for personal and social landlords and administration firms.
Apply this to complete rental inventory and the present annual upkeep value for the UK rental market is £29.7 billion a 12 months: £15.6 billion for personal inventory and £14.1 billion for social inventory.
On a regional stage, London is dwelling to by far the most important rental market and, in consequence, has the biggest annual rental upkeep invoice at £9.7 billion.
Within the South East, annual rental market upkeep prices complete £4.8 billion, with the East of England (£3.1bn), the South West (£2.7bn) and the North West (£2.4bn) additionally dwelling to a number of the largest annual upkeep payments within the UK rental market.
Founding father of Assist me Repair, Ettan Bazil, commented:
“Ongoing upkeep is usually a sizeable outgoing with regards to managing a rental property, but it surely’s additionally a necessity and ensures that the lodging supplied to non-public and social residents is match for goal and above board.
Not solely is the financial complete monumental, however the effort and time that’s being spent finishing these works can be a full-time dedication, significantly for administration firms who’re answerable for numerous rental properties.
For social housing particularly, that is time and useful resource that might in any other case be put to higher use, so it’s fortunate that we stay in an age the place expertise is disrupting old school upkeep strategies.
By permitting landlords and property managers the power to seek the advice of, assess and advise residents on their upkeep points by way of a educated skilled, however in a digital capability first, we’ve been capable of dramatically cut back pointless expenditure and labour hours, halving annual upkeep prices within the course of.
Utilized to the social sector alone, that’s a saving of £7bn per 12 months ought to this method be adopted on a sector broad foundation, elevating resident residing requirements within the course of, not sacrificing them.”