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 houses and virtually half of those (48%) are rental properties – that’s 10.6 million rental houses.
Of that 10.6 million, the break up between non-public and social enterprises is roughly 50/50, with some 5.6m privately rented properties versus 5m socially rented houses – which means they’re owned by housing associations and native councils.
The final rule of thumb is that the price of sustaining a property annually sits at roughly 1% of the property’s worth. With the present common home value hitting £278,436, this implies annual upkeep prices whole £2,784 per property for personal and social landlords and administration corporations.
Apply this to whole 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 residence to by far the most important rental market and, in consequence, has the most important annual rental upkeep invoice at £9.7 billion.
Within the South East, annual rental market upkeep prices whole £4.8 billion, with the East of England (£3.1bn), the South West (£2.7bn) and the North West (£2.4bn) additionally residence 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 generally is a sizeable outgoing in relation to managing a rental property, however it’s additionally a necessity and ensures that the lodging offered to non-public and social residents is match for function and above board.
Not solely is the financial whole huge, however the effort and time that’s being spent finishing these works can be a full-time dedication, notably for administration corporations who’re liable for a lot of rental houses.
For social housing specifically, that is time and useful resource that might in any other case be put to higher use, so it’s fortunate that we dwell in an age the place know-how is disrupting old style upkeep strategies.
By permitting landlords and property managers the flexibility to seek the advice of, assess and advise residents on their upkeep points through a skilled skilled, however in a digital capability first, we’ve been capable of dramatically scale 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 strategy be adopted on a sector vast foundation, elevating resident residing requirements within the course of, not sacrificing them.”