Here we are at another Landlord Law Newsround where we find no shortage of housing news this week.
Compliance changing how properties are managed
As the burden of compliance continues to grow within the PRS there have been significant changes in how landlords are now managing their properties.
- 65% have changed their management structure over the last two years
- 27% have stopped using a letting agent
- 26% have started using a letting agent
- 12% have switched between agents
- 22% of landlords want more control
- 14% switched due to cost of letting fees
August, the property management platform that did the research, also claims that those that do use an agent, 58% pay 11% of rent or more, and one in ten pay more than 15%. Chief Executive Richard Samuel said
We believe the market is splitting. Compliance is pushing some landlords towards agents and pushing others to take control and use better software tools and in-house teams.
The survey also reports that Making Tax Digital will cost landlords from two to four working days a year.
PRS database information could be shared to other bodies
Housing Minister Matthew Pennycook has told Parliament this week that they have not ruled out sharing information submitted onto the PRS database with other official bodies such as HMRC and local authorities to support their statutory positions.
He clarified this by adding that any sharing will be proportionate and within the data protection rights.
As exact details still need to be agreed, any sharing arrangements will be included in future legislation after the first rollout has completed.
Empty Dwelling Management Order – Myth dispelled
Despite what is published in the mainstream media, councils cannot just take over a property automatically if it has been empty for six months.
Landlords need to be aware that in order for that to happen a council will have to apply to the First Tier Tribunal (Property Chamber) for authorisation.
The new rules, which have reduced the qualifying vacancy period down from two years to six months, also mean that a council will have to prove to the tribunal that the property has been empty for six months and that there is no prospect of it being occupied some time soon.
Also, they will have to show all the evidence that they have made reasonable efforts to contact the owner or landlord and what their intentions are for the property.
Propertymark says
Reaching six months of vacancy does not automatically trigger an order. Tribunal scrutiny remains, as does the requirement for councils to notify the owner in writing at least three months before applying, or to have made all reasonable efforts to do so.
Snippets
Is it still worth it? Landlords keep only £39.75 of every £100 rent
Eight in ten landlords report lettings as profitable
Free damp and mould portal launched
Tenants spent more of their income on rent in October
Leaseholders gain right to scrutinise service charges
Councils use new powers to demand landlord information
Newsround will be back again next week. In the meantime, check out our FREE Daily Tips service.
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