LATEST: Welsh Government consults on even tighter eviction rules for landlords

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The Welsh government has launched a consultation into plans to extend the notice period landlords must give for converted contracts after 1st December.

Section 173 notices replace Section 21 notices when the Renting Homes Wales Act comes into force and, from December, landlords will need to give new tenants at least six months’ notice.

They won’t be able to serve the notice in the first six months of the agreement and can only serve it if the agreement is outside the fixed term.

However, for those tenancies that began before 1st December and then convert into occupation contracts, landlords can serve two months’ notice.

Once the initial converted contract ends and it is replaced by a new fixed term agreement or a periodic agreement, the notice period becomes six months. It means that landlords would have access to the shorter notice period for as long as the tenants remain in place.

Time limited

The new consultation – which closes on 24^th October – proposes that landlords would only have access to the two-month notice until 31st May 2023.

The NRLA is encouraging members to respond and is also calling for full regulations relating to the Act to be published in full so that landlords get as much time as possible to prepare.

It heralds a large-scale change to the entire property rental market in Wales, including extended no-fault notice periods, extended succession rights, joint contracts, and changes to landlords’ rights around abandoned properties.

Read more about the six-month rules.

View Full Article: LATEST: Welsh Government consults on even tighter eviction rules for landlords

Economic Crisis – What’s Next For Property?

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With interest rates spiralling, the pound sterling plunging and recession looming, what does this all mean for property investors & property prices?

Stay tuned to find out in this Mini Budget Property Update.

Please click on the video below:

View Full Article: Economic Crisis – What’s Next For Property?

Bank of England steps in to calm markets

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The Bank of England has revealed that it is launching a bond-buying programme in a bid to prevent ‘material risk’ to the UK’s financial stability.

The bank says it is going to restore ‘orderly market conditions’ and buy as many long-dated government bonds as needed from today until 14 October.

View Full Article: Bank of England steps in to calm markets

At last! New housing minister is former landlord who backs private rented sector

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Former landlord Andrew Stephenson should hopefully have a good grasp of the sector’s pressing issues in his new role as minister tasked with overseeing the PRS.

The Under Secretary of State at the Department for Levelling Up, Housing and Communities was renting out a property in Wilmslow between 2010 until 2016, reporting a rental income of at least £10,000 a year, while his voting record suggests he is pro-landlord.

Stephenson has consistently voted for phasing out secure tenancies for life, for charging a market rent to high earners renting a council home and against restrictions on fees charged to tenants by letting agents, as well as reducing Capital Gains Tax.

Rogue landlords

It also appears that he’s keen to banish rotten apples and provide new homes; in 2017, he quizzed the then Communities Secretary Sajid Javid, asking: “What steps is your department taking to promote responsible letting and deal with rogue landlords?”

Earlier this year, he supported Boris Johnson’s plan to use publicly owned brownfield land for new homes, offering them to first-time buyers and key workers. He explained: “It is putting more people in the position to buy and ensuring people are incentivised to save for a deposit no matter their financial situation – including housing association tenants, which I’ve long been pushing for.”

Stephenson has held a number of roles in the government, including stints as a minister for transport and in the Foreign and Commonwealth Office.

He tweeted that he was looking forward to working with new boss Simon Clarke, who in turn tweeted that he couldn’t be more delighted that Stephenson was joining the ministerial team. “One of the most reliable, effective people in Parliament with a great track record of delivery.”

View Full Article: At last! New housing minister is former landlord who backs private rented sector

Ground rent increases on leasehold apartment?

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Dear All, I purchased an apartment in 2011 and it has ground rent charges of £500 p.a. for the apartment and £250 p.a. for the car parking space (which is in a separate building to the apartment).

In my lease it indicates that the ground rent is reviewed every 10 years and a variable factor (it is complicated how they calculate it) is applied to determine the ground rent for the next 10 years.

View Full Article: Ground rent increases on leasehold apartment?

Do I still pay stamp duty?

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Hi, I’m just at the tail end of purchasing another property to add to my portfolio. The price of the property is £140,000.

With the changes made by the government last week in the mini budget will I still pay stamp duty?

View Full Article: Do I still pay stamp duty?

Rising interest rates are squeezing landlord profits

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Rising interest rates are eroding the profitability of buy-to-let for mortgaged landlords and they are increasingly having to buy properties in higher yielding parts of the country, one survey suggests.

According to Hamptons, that charge is being led by London landlords who are looking further afield in search of profits.

View Full Article: Rising interest rates are squeezing landlord profits