What is a Guaranteed Rent Scheme and Is It Right for You?
November 2, 2024
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TL;DR
Guaranteed rent helps landlords with empty properties by replacing uncertain letting income with a fixed monthly rental arrangement. Instead of worrying about voids, arrears, repairs and day-to-day property problems, suitable landlords can lease their property to Citywide Housing under a 3 to 5 year commercial lease.
For landlords with empty houses, flats or blocks, this can create a more stable, hands-off way to earn rental income.
What’s in This Article:
- Why empty properties create financial pressure for landlords
- How Guaranteed rent reduces void period risk
- Why empty houses and flats may suit a commercial lease
- What landlords should prepare before handing over a property
- Why Citywide Housing offers a hands-off route for suitable landlords
Introduction
Empty properties cost landlords money every month. When a house, flat or block sits vacant, the landlord may still face mortgage payments, insurance, council tax, repairs and compliance costs without rental income coming in. Guaranteed rent can help suitable landlords turn an empty property into a fixed monthly income through a long-term commercial lease.
For many landlords, the problem is not just finding a tenant. It is finding a reliable structure that removes uncertainty.
That is where Citywide Housing can help.
Why Empty Properties Create Financial Pressure for Landlords
An empty property may look like an asset, but without income, it can quickly become a liability.
Landlords often face costs such as:
- Mortgage payments
- Buildings insurance
- Council tax liability
- Security checks
- Repairs and maintenance
- Utility standing charges
- Compliance work
- Lost rental income
According to GOV.UK dwelling stock estimates, England had 754,264 vacant dwellings on 6 October 2025, with 303,185 classed as long-term vacant dwellings.
External source:
https://www.gov.uk/government/statistics/dwelling-stock-estimates-in-england-2025/dwelling-stock-estimates-england-31-march-2025
This shows that empty homes remain a serious issue across the property market. For landlords, the longer a property stays empty, the more income is lost.
In our experience, many landlords do not want to leave properties vacant. They simply want the right long-term solution, especially when they are tired of repeated tenant changes, repairs, arrears and void periods.
How Guaranteed rent Reduces Void Period Risk
Guaranteed rent gives landlords more certainty because the rent is agreed in advance and paid monthly under the lease arrangement.
Instead of depending on standard tenant demand, viewings, applications and renewals, landlords can benefit from a more structured agreement.
With Citywide Housing, suitable landlords can receive:
- Guaranteed Rent
- Market rents paid
- No voids
- No arrears
- No repairs
- No tenant issues
- 3 to 5 year commercial leases
This is especially useful for landlords who own properties that are currently empty or becoming difficult to manage.
The NRLA notes that void periods can disrupt financial planning and create stress for landlords. For landlords who rely on rental income to cover mortgage payments or other commitments, even a short void can create pressure.
External source:
https://www.nrla.org.uk/news/five-property-concerns-for-landlords-to-prepare-for-in-2025
A guaranteed rent scheme is designed to reduce this uncertainty. Rather than waiting for the next tenant, landlords can move towards a fixed rental structure.
Guaranteed rent and fixed monthly income
Guaranteed rent matters because it helps landlords plan ahead.
With a standard letting arrangement, income can change because of:
- Empty periods between tenants
- Late rent
- Arrears
- Repair deductions
- Tenant turnover
- Unexpected maintenance issues
With a commercial lease through Citywide Housing, the landlord agrees the rental income before signing. This gives the landlord a clearer view of future cash flow.
For landlords who want less involvement and more predictable income, this can be a practical alternative to standard letting.
Why Empty Houses and Flats May Suit a Commercial Lease
Not every landlord owns an HMO. Many landlords have family houses, single lets, blocks of flats, converted properties or empty units that could be suitable for a long-term lease.
Citywide Housing considers different property types, including:
- Family houses
- Flats
- Blocks of flats
- Larger residential properties
- Suitable empty properties
- Properties that can be brought up to the required standard
A commercial lease can be attractive because it gives the landlord a longer agreement than many standard residential letting arrangements.
Citywide Housing usually works with 3 to 5 year commercial leases, with longer extensions possible where suitable.
This can help landlords who want:
- Less frequent reletting
- Fewer day-to-day problems
- More predictable rent
- A hands-off property arrangement
- Long-term security
- Reduced exposure to void periods
For a landlord with an empty property, the key question is simple:
Can this property be turned into a reliable income-producing asset without the usual letting stress?
If the property is suitable, a guaranteed rent scheme may provide that route.
What Landlords Should Prepare Before Handing Over a Property
Before a property can be accepted, it needs to meet the right standard.
Landlords should expect checks around compliance, safety and condition. This protects the landlord, the property and the long-term lease arrangement.
Common requirements may include:
- Valid gas safety certificate, where applicable
- Valid electrical certificate
- Energy Performance Certificate
- Buildings insurance
- Fire safety requirements, where applicable
- General property condition review
- Repairs needed before handover
GOV.UK explains that landlords are usually responsible for key repairs, including structure, exterior, heating, hot water, sanitary fittings, gas appliances and electrical wiring.
External source:
https://www.gov.uk/private-renting/repairs
This is why preparing the property properly matters. A property that is safe, compliant and ready for use is more likely to move through the assessment and handover process smoothly.
In our experience, some landlords delay taking action because they think the property needs too much work. However, a property assessment can help identify what is needed before a lease can be agreed.
Why Citywide Housing Offers a Hands-Off Route for Suitable Landlords
Citywide Housing works with landlords who want fixed rental income without the usual day-to-day stress of standard letting.
This is not just about filling an empty property. It is about creating a more stable rental structure.
Landlords choose Citywide Housing because they want to avoid:
- Void periods
- Rent arrears
- Repair headaches
- Tenant-related stress
- Repeated reletting
- Uncertain income
- Short-term rental instability
With Citywide Housing, suitable landlords can hand over their property under a commercial lease and receive guaranteed rent for the agreed term.
This can be particularly useful for landlords who:
- Have an empty property
- Are tired of managing rental problems
- Want to step back from day-to-day involvement
- Own a house, flat or block that may suit long-term leasing
- Want steady monthly income
- Prefer a 3 to 5 year commercial lease
The main benefit is peace of mind.
You know what rent is due. You know the lease term. You reduce uncertainty. You remove the stress of voids, arrears, repairs and tenant issues.
Conclusion
An empty property can quickly become expensive if it is not producing income. Mortgage payments, council tax, insurance, repairs and compliance costs can continue even when no rent is coming in.
Guaranteed rent gives suitable landlords a more secure alternative. With Citywide Housing, landlords can benefit from fixed rental income, no voids, no arrears, no repairs, no tenant issues and a 3 to 5 year commercial lease.
If you have an empty property, family house, flat or block of flats, speak to the Citywide Housing team to arrange a free property assessment.
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