Rent on Time guarantees landlords their rental payments on the day the rent is due, even if the tenant makes a late payment or defaults. The cost to landlords is 6% of rent guaranteed and a one off £100 administration fee per property.
Previously the scheme was only sold to landlords directly but will now be available via mortgage brokers, IFA’s, and insurance brokers, as well.
Brokers will earn commission worth 1% of the rental income guaranteed on every property they introduce. With average rent hitting £686 a month, a broker introducing 50 buy to let properties could earn £4,116 commission a year.
Rent on Time’s launch to the intermediary market follows an initial trial with Mortgages for Business.