Landlords are being advised to earmark almost a quarter of their rental income each year to cover the cost of repairs and maintenance, according to new research from Adiuvo.
The analysis, which examined the 10 most common maintenance tasks faced by UK landlords, found that a typical annual maintenance fund should total £3,832 per property. This represents 23.6% of the average annual rental income of £16,248, based on a monthly rent of £1,354.
Adiuvo factored in both regular and less frequent maintenance requirements to arrive at this figure. Routine annual inspections, such as checking electrics (£691), heating systems (£680) and plumbing (£632), form the bulk of the costs.
Less frequent but essential replacements – including boilers (£286 per year, averaged across a two-and-a-half-year lifecycle) and walls (£251 per year) – were also incorporated.
SIGNIFICANT EXPENSES
The research also accounted for rarer but significant expenses, including roof maintenance (£313), kitchen white goods (£279), carpeting (£262), windows (£234) and locks or security systems (£203).
By budgeting for these costs each year, landlords can ensure that they are prepared for unexpected issues without facing sudden large bills.
The timing of the report coincides with the passage of the Renters’ Rights Bill, which is expected to increase landlords’ responsibilities for property upkeep and safety.
Adiuvo warns that failing to maintain properties properly could not only impact tenant satisfaction but also result in regulatory action under the new legislation.
INVESTMENT PROTECTION
Colin Stokes, founder and managing director of Adiuvo, says: “Property upkeep isn’t optional – it’s an essential part of protecting your investment and keeping tenants safe.
“Our research shows landlords should set aside nearly a quarter of annual rental income to cover repairs.
“Acting promptly prevents small issues from becoming far more costly.”
