Controversial Renters Reform Bill to be published next week – possibly

admin    Uncategorized     agents

The long-awaited Renters’ Reform Bill which could lead to a massive shake-up of the private rented sector (PRS) is set to be published next week.

However, there is no confirmed date and no mention of it in the Parliamentary timetable for next week.

View Full Article: Controversial Renters Reform Bill to be published next week – possibly

Airbnb returns to its roots with ‘Rooms’ but will initiative silence critics?

admin    Uncategorized     agents

Airbnb is going back to its roots by launching Airbnb Rooms, an updated version of its original aim to let guests stay in a room within someone else’s home.

The platform explains that in the current cost-of-living crisis, and years of being isolated, visitors are looking for “ways to connect with people and have authentic experiences”.

Founders Joe Gebbia and Brian Chesky (main pic) came up the idea of allowing people to rent out a spare room for the odd night or two after they charged three guests $80 each to sleep on airbeds in their San Francisco apartment in 2007. The concept has since grown to more than four million hosts across the world.

This year, Airbnb is expecting more than 300 million guest arrivals but it, along with the rest of the short-lets sector, has come under increasing scrutiny from communities, councillors and MPs – particularly in coastal resorts – who claim it is depriving residents of long-term rented accommodation. This move would seem to go some way to addressing that.

Host passport

The platform explains that every Airbnb Room will feature a Host Passport, which helps guests get to know their host before booking their stay, including a larger personal photo and background information.

It has created a rooms category with more than one million listings, showing whether the bathrooms are shared or private, if the bedroom door has a lock and whether people other than the host will be there during a stay.

“With Airbnb Rooms, we’re getting back to the idea that started it all – back to our founding ethos of sharing,” says Chesky.

“Airbnb Rooms are often more affordable than hotels, and they’re the most authentic way to experience a city.”

View Full Article: Airbnb returns to its roots with ‘Rooms’ but will initiative silence critics?

LATEST: Renters’ Reform Bill due next week after Coronation, says Gove

admin    Uncategorized     agents

The Renters’ Reform Bill is finally due to be published next week – four years after it was first discussed.

As predicted, the draft legislation will begin life a few days after the King’s coronation, Housing Secretary Michael Gove confirmed on Sky News this morning.

Gove said: “We’re introducing new legislation, it will be out next week and it will change the way in which the relationship between landlords and tenants work, providing tenants with new protection which should ensure that they’re better protected from arbitrary rent increases.”

Many in the sector are now bracing themselves in readiness for what the Bill could contain, and which is expected to a different name.

Crash helmets

Tenancy expert at PRS Mediation, Julie Ford, posted: “Crash helmets on people! We’ve got a good idea of what’s going to be in there, we’ve seen the consultation and Bill in its original form and seen the white paper but what it’s actually going to look like, who knows?

“We know Section 21 will be abolished and we need to get ready for that, but what else is going to be in there? We’ll have to wait and see.”

Fun week

NRLA chief executive Ben Beadle commented: “Secretary of State Michael Gove confirms that we will see the long awaited #rentersreform bill next week. A fun week ahead beckons!”

The government first announced its proposals in on ‘a new deal for renting: resetting the balance of rights and responsibilities between landlords and tenants’ back in 2019, followed by a White Paper last year.

After a protracted consultation, suggested measures are set to include abolishing Section 21, a property portal, requiring private rented properties to meet the Decent Homes Standard and establishing a new ombudsman covering private landlords.

Last month Michael Gove held a roundtable meeting with key representatives from the private rental sector to discuss the reforms, including the NRLA, Generation Rent, Shelter, the Local Government Association, and National Housing Federation.

View Full Article: LATEST: Renters’ Reform Bill due next week after Coronation, says Gove

BLOG: Can ‘guaranteed rent’ attract more landlords and fix the social housing crisis?

admin    Uncategorized     agents

As the largest accredited supplier of properties to local authorities in London and Essex, Leigh Young (pictured), Co-founder of the Elliot Leigh Guaranteed Rent Scheme, talks about how a shift in mindset could help some landlords navigate the current and future market challenges.

We have, like most other organisations in the buy-to-let sector, seen a significant shift in landlord sentiment over the last few years, with one of the biggest driving forces being fear.  

Fears over how the changes already brought in will financially impact them, such as the Tenant Fees Act and cuts to mortgage interest relief, and worries about the impending changes such as scrapping of Section 21 and implementation of minimum EPC requirements.

When we started Elliot Leigh 20 years ago, it was with the view of alleviating fear for landlords. As landlords ourselves, we could see the impact of void periods, refurbishment cost and rent arrears.

Elliot [Altman] had a property in Tower Hamlets, but since it was let to students, he would only receive income for 10 months of the year, then have a two-month void period, as well as the repair costs. W

hen he offered it vacant to a local authority, he was suddenly able to guarantee his income for 52 weeks of the year and eradicate the ‘fear’. This was the start of Elliot Leigh.

Fixed rent

Our scheme was set up to guarantee landlords a fixed amount of rent each month, regardless of whether their property is occupied or not, reducing the financial risk by offering assurance of a regular income stream, and avoiding the possibility of rent arrears.

The properties, being let to local authorities but fully managed by us, attracted landlords who wanted to avoid the hassle of finding and managing tenants, as well as the risk of rental arrears or void periods.

Today, the complexities around being a landlord present a host of new, and frankly justified, fears, which go beyond voids and rent arrears.

That includes compliance, finding reliable tenants, access, legislation, eviction, financial balancing…the list goes on.

We’ve seen some landlords deciding the industry is no longer for them, but we’ve also spoken to landlords who want to evolve in order to remain as landlords. However, they can see that incoming legislation, in particular the abolition of Section 21, may reduce their security and choice.

Eradicated

But despite the impending changes, the buy-to-let market will not be eradicated. There are millions of people who rely on it for housing – in the social sector alone there are over 1.2 million households waiting for a property and nearly 100,000 households living in temporary accommodation.

Even with ambitious building plans, we are years away from being able to significantly reduce that number. Ultimately, each landlord’s circumstances, why they became a landlord, their risk tolerance, their financial position today and aspirations going forward are individual, but in my view, despite the challenges, there is still opportunity.

Desperate need

Local authorities are in desperate need of more properties from private landlords in order to address the shortage of housing in their areas.

They are responsible for ensuring that there is an adequate supply of affordable housing for their residents, and right now most are failing, causing a chronic housing crisis.  One of the key ways they can change this is by working with private landlords to provide suitable properties.

Many landlords are considering existing the market over fears that new legislation will make it harder for them to evict tenants, leaving them trapped.  

We know that some private landlords are reluctant to work with local authorities because they’re worried about regulation, bureaucracy, or the perceived risk of renting to tenants who may have difficulty paying rent or may cause damage to their property, but local authorities are keen to alleviate landlords’ concerns and attract them back to the social sector.  

Mitigate risks

Guaranteed rent as a way to mitigate the potential risks associated with the abolition of Section 21 could be one aspect which draws landlords back in.

It will require cooperation and collaboration between various stakeholders, including local authorities, private landlords, housing associations, and tenants.

But by working together, it’s possible to address the shortage of affordable housing, offer a greater pool of safe, secure housing, as well as provide landlords with a solution which enables them to be hands-off with a stable income stream, without concerns over incoming legislation.

View Full Article: BLOG: Can ‘guaranteed rent’ attract more landlords and fix the social housing crisis?

An open letter to Sadiq Khan and his plans for a rent freeze

admin    Uncategorized     agents

Calls by London Mayor Sadiq Khan for a rent freeze in the capital have led one resident to pen an open letter in the hope of a response.

Rob Thomas is a mortgage market researcher, and he was prompted to write to the mayor after reading on Property118 that Mr Khan had signed a letter urging a rent freeze ‘because landlords can afford it’

View Full Article: An open letter to Sadiq Khan and his plans for a rent freeze

Government plan to remove HMO license rules for housing asylum seekers

admin    Uncategorized     agents

Critics are lining up to condemn a government plan to remove the HMO licencing regulations for landlords who will house asylum seekers.

Housing and refugee charities have condemned the move as ‘shameful’ and an ‘assault on human rights’.

View Full Article: Government plan to remove HMO license rules for housing asylum seekers