Minister reveals more details of looming PRS reforms during scrutiny session

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The government has vowed that the court process for possessions will be efficient and swift when it refines the much-expected PRS reforms.

Giving evidence to the Levelling Up, Housing and Communities committee on its White Paper, newbie Housing Minister Felicity Buchan (pictured) said it was working on proper guidance around dealing with anti-social behaviour that included local authorities and the police.

“We need to be in a position when someone’s committing ASB there’s an efficient way to remove them,” she said.

“We’re working with the judiciary and the Ministry of Justice to introduce reforms to make the possession process as efficient as it can be for landlords while protecting tenants’ rights.”

Housing court dismissed

While dismissing the idea of a housing court, she insisted that mediation would be a sensible route to follow, despite many of the MPs on the committee questioning whether this would be appropriate when dealing with potentially greater numbers of tenants challenging rent rises at tribunals, putting more strain on the courts.

On the proposed property portal, Buchan said there would be a small registration fee, while Charlotte Spencer, DLUHC director PRS and leasehold, revealed that it didn’t expect local authorities to inspect every single property.

“We would probably be relying on a degree of self-certification, then a random sample of inspections,” she said.

Selective armoury

Spencer added that selective licensing would still be needed as part of the tools in local authorities’ armoury but that it was keen to minimise requirements for duplication in the portal.

Committee chairman Clive Betts (pictured) said it was very sceptical that the justice system would deliver on the department’s intentions and challenged the minister over why affordability wasn’t addressed in the White Paper.

He also asked when the Bill was likely to be introduced. Buchan again dodged the question but insisted: “It’s a key priority of government – there’s a desire to get on with it.”

The committee’s report will be published early in the new year.

Watch the session in full.

View Full Article: Minister reveals more details of looming PRS reforms during scrutiny session

Leading landlords warn Government’s over periodic tenancy plans

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Landlords in Cornwall have warned that students will suffer a shrinking pool of accommodation unless the government allows them to have 10 or 12-month tenancy agreements.

In its response to the government’s White Paper on fairer renting, Cornwall Residential Landlords Association says a change to two-month periodic tenancies will leave them uncertain whether tenants will actually vacate.

Chairman Ruth Clarke (pictured) explains that the cost of halls of residence attached to colleges and universities are frequently more than equivalent properties in the private rented sector.

“Making tenancies more difficult may force landlords to leave this specialist market, discriminating against the vulnerable and those from ethnic minorities who may be less likely to be able to afford to continue with their education,” she says.

The group adds that tenants fear the proposed changes will leave them less secure, especially those who have transgressed in the past and have had to leave their home or face the costs of court fees when the landlord obtained a possession order.

Read more about the white paper.

Clarke tells the inquiry that when a landlord can’t obtain possession in time for new students to move into a property at the beginning of the academic year, they could switch to either letting to family groups or holiday lets.

“There is currently not an option for a landlord to revert back to the shared occupation without first obtaining fresh Article 4 planning permission,” she adds.

“We ask that conditions surrounding Article 4 be reviewed and flexibility be built into the planning system.”

Other landlord groups have previously warned that students will pay higher rents as landlords exit the sector if the proposal is introduced. This has already happened in Scotland where similar rules were brought in recently.

View Full Article: Leading landlords warn Government’s over periodic tenancy plans

Immigrant requirements to rent?

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Hello, Apologies for this rambling query.

Background: My daughter has landed a permanent job at Cambridge University and is about to immigrate to the UK (we are South African). She is a director and shareholder of our small BTL company registered in the UK.

View Full Article: Immigrant requirements to rent?

NEW: More students failing referencing as cost-of-living crisis hits sector

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The number of students who passed referencing dropped from 50% to 40% this autumn and is likely to fall even further, due partly to the growing cost-of-living crisis, according to a leading rent guarantee firm.

As demand for university places and a lack of suitable homes puts the student accommodation sector under intense pressure, it reports that the tsunami of students meant many needed last-minute support to find somewhere to live.

“Given the current economic pressures, a higher number of applicants are failing referencing and require a suitable guarantor to progress their rental arrangements,” says Graham Hayward, chief operating officer of Housing Hand.

He adds that the number of UK students applying for rental guarantors has almost matched the number applying from overseas. However, of those international students, a higher proportion was from outside Europe as the impact of Brexit makes itself felt.

Accommodation providers have stepped up to help students find places, reports Housing Hand, which has seen a 25% rise in custom arrangements across purpose-built student accommodation, build-to-rent homes and HMOs.

Lack of supply

“Many universities are seeking ways to support their students, particularly where a lack of supply in the local accommodation market may exclude many if they were required to pay full accommodation costs up front,” says James Maguire (pictured), its head of sales and business development.

“Additionally, universities are now seeking the inclusion of their own halls of residence in bespoke rental guarantor arrangements with Housing Hand to help level the playing field for those who would otherwise struggle to find an affordable home.”

View Full Article: NEW: More students failing referencing as cost-of-living crisis hits sector

House prices continue to fall as market cools

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The average house price in the UK fell by -0.4% in October – the third price drop in four months, Halifax data reveals.

Prices fell by -0.1% in September and the annual rate of growth has now fallen to +8.3%

View Full Article: House prices continue to fall as market cools