What Happens If My Social Housing Property Gets Damaged?

Property Damage: Who’s Responsible in Social Housing Investments?

Property maintenance and repair responsibilities are crucial considerations for investors in social housing. With Bailey Capital, the type of lease on your property determines who is responsible for covering repair costs. Here’s how we structure leases to ensure clarity and protect your investment.

Understanding Your Lease: Full vs. Internal Repairing and Insuring Leases

1. Fully Repairing and Insuring Lease (FRI)

With a fully repairing and insuring lease, the housing provider managing the tenants assumes full responsibility for all property maintenance. From minor repairs to major fixes, the property management team covers the costs, so you won’t need to worry about any repair expenses. This setup is ideal for investors who prefer a hands-off approach, knowing that upkeep costs are managed by professionals.

2. Internally Repairing and Insuring Lease (IRI)

In some cases, an internally repairing and insuring lease may be used. With this lease, the housing provider manages the internal repairs, but as the property owner, you may be responsible for maintaining the roof and exterior. This lease type still allows you to benefit from a lower maintenance burden while having clarity about any potential responsibilities.

Why Bailey Capital’s Lease Structures Matter

Clear Responsibilities for a Stress-Free Investment

At Bailey Capital, we prioritise transparency. By outlining each party’s responsibilities in the lease, we help ensure that you understand and feel confident in your investment. Whether your lease is fully or internally repairing, we guide you through each detail so you can invest with peace of mind.

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