There are certainly some hot topics up for discussion, but as quality Landlords this should not be of great alarm. Finding great tenants is half the battle to owning Buy-To-Let property, and having your property managed well should mean a stress free and worthwhile investment.
The Government has been discussing this subject since the 2019 Manifesto Commitment. The Renters Reform Bill aims to allow tenants to challenge Landlords about maintenance concerns without the fear of being evicted. The ‘no fault’ evictions will be scrapped – essentially which allows Landlords to serve notice on a tenant without legally being obliged to give a reason for it. Landlords have been promised greater powers to fast track evictions in cases where their tenants are persistently in arrears, or where there are repeated complaints about tenant anti-social behaviour. The process will need some attention to be effective.
As part of this major reform, it will now be illegal to refuse tenants with children, pet owners and those who claim benefits to help assist with payment of rent. This doesn’t have to be a negative thing at all! Again, for quality Landlords it is matching the property with the best tenants! Being a pet owner myself, I have no qualms about pets in properties – unless of course the pet doesn’t match the property. You aren’t going to own a horse and try to rent a top floor flat!
Other key factors to note in the reform bill include that the notice period required to increase rent will increase to two months, and that all tenancies will become a rolling monthly periodic agreement, and that the required notice a tenant must give a landlord to end a tenancy will increase from one month to two months. A proposed ratings portal will be set up for tenants to rate their landlords, and private Landlords will need to register with a property redress scheme. The ‘Decent Homes Standards’ will be introduced to the private rental sector.
If you’re a landlord, a simple way to conclude on this bill is that if you need your property back to sell or live in it, you’ll still have this right of possession, and in certain scenarios benefit from stronger rights. If you have trouble tenants, you will benefit from having more power, and if you have great tenants who pay the rent, and look after your property, then why would you want to move them on anyway? The finer details will be released in due course, so that we can become more familiar with the changes, and keep you fully informed throughout.
It will be interesting to see what comes of it from the Government. If you require reassurance on any of these changes, please reach out to me at the Guildford branch, or if you’re a Landlord anywhere else, please reach out to your local branch.
Watch this space.
Branch Director – Guildford
Our take at Propertynest Guildford:
Quality Landlords + Quality Property + Good Tenants +
Excellent Property Management = A No Brainer