In 2022 the UK Government released a Rental Reform white paper (see link) that looks to improve the quality of homes that tenants are renting. As a landlord surrounded by other similar minded landlords this paper does not worry me but I am pleased that it could help to bring the private rented sector more under control and ensure all tenants have a safe, clean and hygienic place to call home.
This should ensure that the tenant can live with peace of mind that their rent will be set for the next 12 months. This change will ensure that landlords price their properties careful at the start of a tenancy. Like any business you are offering a product (property) to a tenant at a price based on location, decor, amenities and demand but the market does change. It is key to price your rent so that you can make a profit and also absorb changes to the market such as the current fuel cost increase. But if there is a supply shortage it does not allow you to charge whatever a landlord likes - it must be realistic for the area.
Rent Tribunal.
They have had their powers reduced. Currently they can move the rent to bring it inline with the local rental market if a tenant asks for an assessment - many tenants are unaware if this service so it is underused. Under the changes the tenant can now have their rent assess at no risk or cost to them as the tribunal can only accept or reduce the rent- there is no risk of a rent increase so this takes away the tenants fear of a rent increase.
No section 21.
You can now only evict a tenant using a Section 8 following a court hearing (see the link for more information). This section notice is very frustrating for landlords as the tenant mist be 8 weeks in arrears at the time of serving the notice and at the time of the court hearing. The notice to tenants telling them that notice is to be served is now 4 weeks (increased from 2 weeks) which is very frustrating for those landlords who have good admin trails.
A big positive change for the landlord is that the tenant cannot pay off small amounts to bring the arrears below the eviction threshold. They have also stated the introduction of the landlord Ombudsman. This will replicate the ombudsman for estate and letting agents who ask the members to join a redress scheme. This will eradicate the rogue landlords from the industry, and remove their unsafe homes from the market. But we need the local authority to police this and with little personnel I am unsure how they can manage to inspect premises and enforce their power and notices. I hope that some landlords who do not follow the protocol sell up and leave the market, and those who remain continue to offer fair, secure and high quality home.
Tenants can use a contractual rolling agreement and use a 2 month notice period rather than a fix term.
Landlords must consider those with pets. There are often reasons why you should not accept pets but remember those who bring pets normally stay longer. You can ensure that your tenant deposit covers any pet damage, and you maybe surprised how little damage a pet causes. We have a pet in one BTL and the tenant had to get permission from the management company to have a pet, and to date the property has no pet damage - the children have done more damage!
