Rental arrears have fallen to their lowest level for over two years as 39% of landlords have reported instances of arrears in the last 12 months, a fall of 9% year on year and at similar levels from Q1 2010, according to the National Landlords Association (NLA). Void periods in private-residential property have also decreased by 5% since the previous quarter to 33%. Carolyn Uphill, Chairman of the NLA, said: “It is positive to see reductions in arrears and voids. This demonstrates that long term, enduring tenancies are on the rise as it is in every landlords’ business interest to maintain good, long lasting tenancies and avoid voids. “However, it is worrying that void periods often come as a surprise to landlords. Whilst voids represent more of a problem in the North than in the South, where demand is far higher, it is imperative that empty properties are filled quickly, following any necessary maintenance and improvements.” Void periods appear to be at their highest in the North East of England where 60% of landlords have experienced empty periods in the last three months and the lowest in the South West of England where only 20% of landlords have experienced voids over the same time frame. Landlords are covering the financial impact of voids using various means with 33% using rent from other properties, 10% using their other income or salary and 9% using funds from their savings. back to top 4 UK house prices increased again in July UK house prices increased by 0.8% in July 2013 compared to the previous month according to the Nationwide House Price Index. This is the third consecutive month house prices have increased to bring them 3.9% higher than they were in July 2012. Gardner, Nationwides Chief Economist, said: “House prices are currently around 12% higher than the lows seen in the midst of the financial crisis, though they are still around 10% below the all time highs recorded in late 2007. “Signs of a modest improvement in wider economic conditions and further modest gains in employment are likely to be lifting buyer sentiment. An improvement in the availability and a reduction in the cost of credit, partly as a result of policy measures such as the Funding for Lending and Help to Buy schemes, are also boosting the demand for homes. “At the same time, the supply side of the market remains fairly constrained. Building activity is still subdued – in Q1 housing completions in England were down 8% compared to the same period of 2012 and around 40% below the average number of quarterly completions in 2007. The fact that rental growth has been consistently outstripping wage growth reinforces the notion that housing more generally remains in relative short supply.” The average UK house price is now £170,825.