A rent that no longer falls is often enough to unbalance the landlord’s entire budget. Real estate loan, charges, property tax: unpaid debt quickly becomes a real cash flow problem. for many owners, a unpaid quickly becomes a real cash flow problem.
Even before handing over the keys, the question of protection must therefore be anticipated. Between the unpaid rent guarantee (GLI), the Visale guarantee and the joint guaranteenot all solutions are equal. Some primarily protect the lessor against unpaid debts, others mainly facilitate access to housing for tenants without a traditional guarantor.
For many professionals, the unpaid rent guarantee (GLI) remains the most protective solution for a private landlord. This insurance covers unpaid rent and, depending on the contracts, certain procedural costs or rental damage.
“Today, the GLI often remains the safest solution. The owner has real contractual coverage with an insurer, which avoids having to manage an unpaid debt or a procedure alone”explains Adrien Pulain, real estate agent in the Nice region.
Its main obstacle remains its cost: on average between 2.5% and 5% of the annual rent including chargesdepending on the contracts and insurers. But above all, the insurer often imposes strict criteria: permanent tenant outside the trial period, regular income, limited rate of effort, often with the requirement of an income equivalent to approximately 3 times the rent amount.
Another point often ignored: protection is not automatic. Some contracts provide for deductibles, compensation ceilings or exclusions. An incomplete tenant file, a late declaration or poorly verified supporting documents may be enough to block support.
“Many owners think they are covered automatically, but if the file has not been validated correctly or if the deadlines are not respected, the insurance may refuse to compensate”warns Adrien Pulain.
Visale And joint guarantee : useful but more supervised alternatives
Another solution increasingly used: the guarantee Visaleoffered free of charge by Action Logement. She covers unpaid rent for certain profiles, particularly young workers, employees on professional mobility, students or work-study students.
Free, it attracts many landlords, but remains strictly regulated: age, professional status and amount of rent must respect the criteria set by Action Logement. There joint guaranteeit relies on someone close to the tenant, often a parent, who undertakes to pay in the event of default. A formula still common on small spaces or student rentals. ” There joint guarantee remains useful, especially on small areas, but it depends entirely on the actual solvency of the guarantor. If he encounters difficulties himself, it can quickly become complicated”underlines Adrien Pulain.
In fact, the guarantor must also present solid income, often around 3 to 4 times the rent amount. And if the latter refuses to pay, the owner must sometimes initiate legal proceedings. “A joint guarantee reassures on paper, but if the guarantor disputes or does not pay, it is not instant security”he adds.
Please note: some guarantees cannot be combined
Not all protections can be added together. An owner generally cannot subscribe to a GLI and at the same time request a joint guaranteeexcept in certain specific cases such as rental to a student or apprentice. “Many people think they can have it all, but that’s not the case. You must choose the appropriate protection from the start, otherwise you may end up with an ineffective or contested guarantee”underlines Adrien Pulain.
The first real protection remains the selection of the tenant
The reflex of many owners is to look for the best guarantee without sufficiently looking at the quality of the tenant file. However, for professionals,The first safety remains the upstream selection. “The first mistake is wanting to go too quickly. No guarantee replaces a good analysis of the tenant file. It is necessary to verify income, professional stability and the overall consistency of the file”insists the real estate agent. The best protection often remains a good tenant file, supplemented by a suitable guarantee.
