Mar

The Government has pledged its commitment to lifetime rental deposits in a new document that vows to improve the housing market.

admin

Plans to introduce a new lifetime
tenancy deposit are outlined in Planning
for the Future with a pledge to support good landlords who can, “continue
to provide the homes the country needs”. It adds: “Ensuring renters are treated
fairly through the Renters’ Reform Bill – we will improve security for tenants
by abolishing the use of ‘no fault evictions’ so that tenants can put down
roots in their communities and plan for their long-term future.”

The Ministry of Housing,
Communities & Local Government document says it wants to deliver a rental
system that is fit for the modern day – one that protects tenants and supports
landlords. This will start with a planning white paper in the spring to
modernise the planning system.

Although there are no details yet on how it would work, ARLA Propertymark says a lifetime deposit is likely to be welcomed by both tenants and landlords, while The Residential Landlords Association has long called for such a change, arguing: “It would be easier for all involved if a tenant’s deposit could follow them from property to property, with the tenant making up any shortfall caused by deductions.” ARLA believes that under the proposed system, a tenant’s deposit would follow them around from property to property, with the tenant liable to make up any shortcomings as a result of deductions.

One potential downside is how quickly any possible shortfall could be made up without affecting either the outgoing or incoming landlord – something the Tenancy Deposit Protection Reform Working Group was set up to explore.

©1999 – Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® – The Government has pledged its commitment to lifetime rental deposits in a new document that vows to improve the housing market. | LandlordZONE.

View Full Article: The Government has pledged its commitment to lifetime rental deposits in a new document that vows to improve the housing market.