Welcome to our Landlord Law Newsround let’s see what has been in the housing news this week for landlords.
Welsh government supports ‘rent compensation’ scheme
Welsh housing secretary, Jayne Bryant has come out in support of a tenant compensation scheme which would see tenants being able to retain their last two months’ rent if they are handed a no-fault eviction.
Letting agents and Propertymark have ‘concerns’ and say this would be ‘counter productive’ as the Renting Homes (Wales)Act 2016 which was recently enacted already provides tenants with six months’ protection from evictions, and risks thwarting the supply of rental homes and will undoubtedly bring rises to rent increases.
The Welsh Government says it is open to all feedback and will address this proposal again in April of this year. Watch this space.
Rent repayment order reduced on rent arrears
A Landlord was facing a £16,860 rent repayment order from her tenants for failing to license her HMO. However, the First Tier Property Tribunal reduced it to £5,055 as the tenants owed more than £17,000 in rent arrears.
The tenants claimed that the landlord, Gloria Nolte had shut off the power supply, verbally abused them and changed the locks, amongst other claims. However the judge said despite all this, the substantial arrears incurred by the tenant was ‘very poor conduct on their part’ and added
If the respondent did change the locks before the bailiffs were involved, this was probably borne out of desperation. A tenancy is a contract that both sides are expected to comply with. Neither side behaved properly in this case.
You can read more and the full decision in full here.
Rise in tenants planning to move by this summer
The tenant app Tlyfe claims there will be a very large increase in demand for rental properties as up to 60% of tenants are planning to move over the first half of this year, 13% of which plan to move straight away.
Reasons for moving vary from their current property having issues (21%) needing a bigger home (16%) and being unable to afford their current rent (14%). Renters also claim that they will not wait for the Renters Rights Bill to become law before moving.
Adam Piggott chief executive of OpenBrix supports their thinking due to the lack of supply, moving now could actually improve their chances.
However, he maintains that many tenants are just not ‘rent ready’, and not adequately prepared. 51% do not have enough deposit saved and 30% do not have the correct paperwork in place.
He says
At the absolute least, you need to have your documentation in order, be proactive in contacting agents in your desired area and have a deposit accumulated to ensure you can act immediately.
Letting agent given higher than normal HMO fine
Waltham Forest Council fined a letting agent, Marble Properties, a higher than normal fine (£12,000) for not having an HMO licence on a property that it was manging. The council said that as they specialised in property management they should know better and therefore deserve a higher fine.
The agency appealed the fine and the First Tier Tribunal agreed and reduced it to £8000.00. However, Waltham Forest Council appealed that decision and the Upper Tribunal over turned it again it was restored back to £12,000.
A Spokesperson for the council said that their website is ‘abundantly clear’ on the criteria for licensing an HMO and added
Waltham Forest will continue to take a robust approach where there is evidence that landlords and agents have failed to meet their legal obligations.
Snippets
Landlords horror discovery after issuing tenant with Section 21
Landlord slams tenant group’s ‘childish’ social post
Rogue landlord fails to maintain HMO and ends up in court
44% of landlords support the introduction of rent controls – claim
Renters Rights Bill concerns highlighted by accreditation service in letter
One in 20 landlords is ignorant of their property’s EPC rating
Almost 40 firms banned from installing UK insulation amid botched jobs outcry
See also our Quick News Updates on Landlord Law
Newsround will be back again next week