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How to make residential lettings more resilient during recessions


The UK is experiencing its first recession in 11 years due to the Coronavirus restrictions and the property market certainly won’t emerge unscathed.

Between April and June of this year, the economy shrunk by 20.4% compared to the first three months of the year, as household spending fell with shops forced to close and factory and construction output halted.

Despite the news that house prices have been increasing - likely due to a cut in stamp duty and transactions rebounding since Covid-19 restrictions have been loosened - experts are warning that this will be short-lived. Considering the furlough and mortgage deferral schemes both come to an end in three months, it’s just around the corner.


There are currently 9.6 million people availing of the Furlough Scheme which ends in 3 months.

There are currently 9.6 million people availing of the scheme. While new research by the Institute for Public Policy Research think tank shows that withdrawing the scheme will cause unemployment levels that haven’t been seen since the Great Depression of the 1930s.


With high rates of unemployment, landlords are going to see more and more tenants going into arrears. Mitigate these risks with affordability checks


The rental market has always been a safer place to hedge your bets than the housing one but with high rates of unemployment landlords are going to see more and more tenants going into arrears. For agencies, there will be a lot more administrative work involved in chasing these payments.


With less cash coming in and more paperwork, it is important for landlords and agencies to future-proof.


Fail to prepare, prepare to fail.

With less cash coming in and more paperwork, it will be important for landlords and agencies to future-proof their business by coming up with a definitive plan of action. Especially when the impact of the current contraction will be felt until 2023, according to some experts.



Affordability checks are a reliable tool for landlords and estate agents to ensure future tenants are not at risk of defaulting on their rental payments

CubicLease conducts accompanied and unaccompanied viewings of properties. We take the associated paperwork and management of viewings off the hands of busy landlord and estate agents, which is extremely beneficial for a business trying to navigate an economic recession.

Once a landlord or estate agent joins us, we take care of the process from listing your property to getting your new tenant to sign the lease. We also vet potential tenants, through our seamless affordability checks.


Affordability checks are a reliable tool for landlords and estate agents to ensure future tenants are not at risk of defaulting on their rental payments. They exist in the mortgage and car financing market but are not implemented in the rental market where referencing checks are the norm. Even though, rent is typically 1.25x higher than mortgages per month.


Our technology instantly highlights tenants who are on furlough schemes, allowing our clients to better plan by tailoring properties within their affordability brackets.

The CubicLease property app has integrated with all the major UK banks and challengers, thanks to open banking regulations, to carry out these reliable affordability checks. This means we instantly vet prospective tenants for our clients.

Our technology instantly highlights tenants who are on furlough schemes, allowing our clients to better plan by tailoring properties within an affordability bracket and saves landlords and estate agents money in the short term too.



We offer UNLIMITED affordability and reference checks per property and not per prospect for £8.

When you factor in all the associated costs, viewing to let ratio, etc, viewing costs easily exceeding an average of £210 per property before its let. Within seconds of a prospective tenant signing up to view your property on our platform, CubicLease carries out the affordability and reference checks to ensure your time and money is well spent. Receive UNLIMITED checks, and never miss a pre-qualified prospect again for £8 per property and NOT per reference.


During a recession, this technology helps our clients weather the storm and mitigate rent arrears. Less paperwork, less work, avoid stress. Agencies can future-proof their business and stay ahead of their competition.

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Cubic Lease Limited is a registered company in England, Reg. No. 12243866.
Registered address: Fifth Floor, 63-66 Hatton Garden, London, United Kingdom, EC1N 8LE.

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