Landlords rushing to sell as mortgage costs soar above tenants’ rent

admin    Uncategorized     agents

Private landlords across the UK have found themselves in hot water, and it’s no surprise that many are rushing to sell their property portfolios.

A recent article by the BBC reported that private landlords had expressed critical concerns that their rents won’t cover the cost of mortgage payments

View Full Article: Landlords rushing to sell as mortgage costs soar above tenants’ rent

Major portal launches national ‘rent passport’ initiative for tenants and agents

admin    Uncategorized     agents

One of the UK’s big property portals has launched an initiative to enable renters to become ‘rent ready’ as they hunt for homes.

OnTheMarket.com, which is a competitor with Rightmove and Zoopla, has now fully integrated Canopy’s RentPassport service into its platform.

The concept, which has been tried before, it to encourage tenants to become ‘pre-qualified’ before or during their house-hunting and help letting agents, and their landlord clients, determine who are the best-qualified tenants.

Rightmove tried it in 2019 but ended the service in 2020, and only a few months ago the Government decided a national ‘rental passport’ system would be too complicated to launch and that it would be better left to the private sector.

Pre-qualification

Now, when tenants enquire online about a property via OnTheMarket listed by agents signed up to Canopy, they are now prompted to create a RentPassport.

This enables them to share important information such as income, credit history and rent payments to qualify them as a serious applicant or set up their passport via the portal’s MyPlace platform.

Jason Tebb, OnTheMarket’s CEO (pictured), says: “Giving movers the opportunity to add this extra layer of pre-qualification to their enquiries will help our agents identify their strongest leads, while also helping our consumers get best prepared to secure their next rental property.

“We remain committed to differentiating our offering with fresh solutions for agents and we are proud to be enhancing the moving process for our renters.”

Chris Hutchinson, Canopy’s CEO, adds: “Our partnership is uniquely placed to launch a true pre-qualification offering that enables agents to focus their time on their strongest leads and allows renters to see how they look to the property industry, empowering them to put their best foot forward.”

View Full Article: Major portal launches national ‘rent passport’ initiative for tenants and agents

Deposit still held after tenancy has ended?

admin    Uncategorized     agents

Hello, a deposit is still being held by a registered scheme more than six years after a tenancy has ended. The tenant ended the tenancy early and they agreed I could keep the deposit and I have this on video.

View Full Article: Deposit still held after tenancy has ended?

BLOG: Hit or miss – how will the long-awaited Renters’ Reform Bill be received?

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In the first in a series of blogs for LandlordZONE on rental reform, Sean Hooker, Head of Redress at the Property Redress Scheme, shares his thoughts on yet another delay to the Renter’s Reform Bill and whether the sector could still have a chance to steer the process.

Long and winding road

Does anyone remember the Aesop fable, “The boy who cried wolf?” Well, I am beginning to feel this is me when it comes to the Government’s announcements of reforms in the rental sector.

The banner, “Coming Soon” is now well worn and in the last few weeks we have been confronted by contradictory statements by ministers on what season we should expect the Bill to finally roll off the press.

We knew the proposed legislation was promised this parliamentary session, but as this has been extended till next autumn this led to speculation that the pressures on the parliamentary timetable could delay the introduction of the legislation further.

This was hinted at by the current minister, tasked with delivery of the Bill, Rachel Mclean, who took over the portfolio from Felicity Buchan in an internal job swap in DLUHC.

This did not stop head honcho Gove telling Laura Kuenssberg at the end of March that everything was on track for a D-Day of a couple of months.

Mayday Mayday!

Easter has come and gone, the crescent moon has been spotted over Mecca, so Eid Mubarak and now we enter the merry month of May with the lesser spotted Renter’s Reform Bill still nowhere to be seen.

With three bank holidays this month, one of course for the King’s Coronation, this would always mean very little time to dot the Is and cross the Ts, if the legislation is to start wending through the parliamentary process. So it was always tentative that the timetable would be met. 

And then hope!

A confirmation came that the Bill will be laid the week after the King’s Coronation. Of course, off the back of this, it was all hands to the pump. Teams were lined up to start looking at the publication in minute forensic detail, blogs, podcasts and webinars planned and spokespersons briefed to be available.

Hopes dashed

The week before the Coronation Goodlord published my latest blog in which I asked, where was the Renter’s Reform Bill? Then as explained above, within a couple of days the Government announces that it is due the week after, so we change the blog to reflect that.

I then wake up on the Wednesday, after rumours abounded the day before, to find the introduction has been postponed because of “procedural issues”. What this means, who knows!

Some commentators are saying that, due to concerns among back-benchers on the Government side, parts of the Bill are going back to the drawing board (it evidently did not get a good reception at the pre-screening) and meanwhile the opposition were having a field day.

Stand down the troops. But stay on high alert! Goodlord changed my blog once again. What a Hokey Cokey.

One last chance

So, we are now waiting for a new date for the Bill, and whilst I have been flummoxed on predictions every time previously, the First Reading of the Bill will take place very shortly.

It has to be because Parliament goes into recess and rises for Whitsun on 23 May, not returning until 5 June and thereafter it is the short summer session before the House rises again on 20 July.

I therefore believe the political pressure will be mounting to get the Bill out before the end of May and, given that the First Reading literally take a few minutes, start cracking on with the graft on the Bill when MPs return. Yes, we are close but still no cigar.

Subject to change

What I also know, however, from my communications with the civil servants (no spoilers), is that they are hopeful that as the “heavy lifting” has been done, cumulating with the White Paper, the subsequent round tables and other consultations, the passage of the Bill should be straight forward and not contentious, however we have heard that all before.

Even as recent as mid-April, the meetings with the stakeholders were still going on with leading industry figures still expressing concern. So, what the final director’s cut of the blockbuster will look like is still to be determined and of course that is before MPs get their hands on it.

We can also surmise that a good part of the proposals will not be fully fledged and therefore will be light on details within the Bill, with enabling powers granted to the Government to work on the changes further and introduce them later through secondary legislation.

There is even a suggestion that “helpful” amendments will be introduced during the legislative process, giving the department more time to firm up the proposals and put more flesh on the bones.

All that’s needed is the green light and for the Government to realise that, as American President Teddy Roosevelt wisely exclaimed, “Knowing what’s right, doesn’t mean much unless you do what’s right”.

View Full Article: BLOG: Hit or miss – how will the long-awaited Renters’ Reform Bill be received?

Short-term room rentals and damage deposits?

admin    Uncategorized     agents

Hello, I run a company that specialises in Airbnb holiday lets and short-term room rentals. Last year a lady contacted me and asked if she could rent a room on a monthly basis I took a damage deposit as she was only meant to be there short term.

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NEW: Number of landlords planning to sell up hits RECORD high, new poll finds

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The number of landlords planning to sell their rented properties has reached its highest level ever, according to new research.

BVA-BDRC, commissioned by the NRLA, found that during the first three months of this year a third of 700 private landlords in England and Wales that it polled said they planned to cut the number of properties they rent out, up from 20% a year ago.

By contrast, only 10% of landlords currently say they plan to increase the number of properties they rent out.

This looming ‘disinvestment’ comes despite demand being at a record high.

According to the research two thirds of landlords said demand for properties from prospective tenants was increasing, with the East of England recording the highest levels of demand.

Supply crisis

The NRLA warns that the supply crisis is set to deepen further without action by ministers and is calling for the Government to undertake a full review of the impact of tax rises on the sector and develop new, pro-growth policies.

This must include giving landlords the correct and fairest tools to evict when they have ‘good reason’ to end a tenancy such as anti-social behaviour or rent arrears, the NRLA says, pointing out that it takes on average approximately six months to evict tenants at the moment.

“Renters are bearing the brunt of the supply crisis. Without change, matters will only worsen over the coming year,” says NRLA chief Ben Beadle (pictured). 

“The Government needs to reverse its damaging tax hikes on the sector, which have discouraged the provision of the homes tenants desperately need.

“Moreover, responsible landlords need to have confidence that they can take back possession of their properties swiftly and effectively when they have good reason to when Section 21 ends.”                  

View Full Article: NEW: Number of landlords planning to sell up hits RECORD high, new poll finds

Could the solution to the housing crisis be our empty homes?

admin    Uncategorized     agents

The UK is going through a housing crisis, with landlords leaving the private rented sector in droves and many people unable to find a home.

But could the solution to alleviate the housing crisis be in offering England’s 250,000 empty houses and flats for rent?

View Full Article: Could the solution to the housing crisis be our empty homes?