Why reliable rental payment data is key to unlocking your new home
- 1st May 2018
- Renting Property News
Mortgage providers increasingly preferring rental payment data provided by recognised ARLA Propertymark agents
Tenants considering moving onto the property ladder take note. Although your rental payment history is not routinely included in your credit scores or taken into account by mortgage lenders, that’s changing. And mortgage providers are increasingly preferring rental payment data that is provided via a recognised ARLA Propertymark agent, as opposed to private landlords or pop-up property letting websites, whose data is considered undependable by lenders.
That’s because ARLA Propertymark Protected agents are regulated to demonstrate transparency and commitment to quality standards. Since there is currently no mandatory regulatory regime for the property industry, this voluntary accreditation provides mortgage providers with the assurance they need that rental payment data is accurate and reliable.
Without such data, first time buyers may face higher borrowing costs or find it harder to get their applications approved.
Indeed, it’s such an important issue that in the recent Budget the Government announced a new £2 million Prize Fund called the Rent Recognition Challenge, designed to encourage new apps to be developed to enable tenants to record and share payment data with lenders.
Until this happens (and even when it does) using an ARLA Propertymark Protected agent is the best way to make sure your regular rental payments count when you come to apply for a mortgage.
Stephen Ludlow, Chairman at ludlowthompson, says: “This is yet another reason to use an ARLA Propertymark agent.”
“Being able to evidence your payment history is certainly something to think about to ensure you are in the best possible position to proceed when the time is right for home-buying – As the number of first time buyers is picking up all professionals interacting with them have an obligation to educate and inform. This initiative is one such step and with the pending GDPR regulations coming into force later this month, ARLA Propertymark Agents will have a legitimate interest for retaining tenants data which will undoubtedly assist them going forwards, and for years to come."
“In such a climate, competition for the best properties is likely to be strong and agility is likely to be key to securing the home you want.”
Here is a selection of recent reviews of ludlowthompson from tenant customers on the allAgents website:
“We have had a very positive experience with ludlowthompson. Staff are helpful, friendly and easily contactable. This was our first time letting a property, and Hannah made the process less stressful and easy.” – Joanna Grace, East Dulwich
“Great agency with clean properties. Professional and helpful, great agents and would recommend to anyone looking for a nice property for a reasonable price.” – Joyce, Finsbury Park
Being able to evidence your payment history is certainly something to think about to ensure you are in the best possible position to proceed when the time is right
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