As many as 2.4 million private renters could miss out on voting in the General Election, according to an analysis by Generation Rent.
Registration to vote closes at midnight tonight and Generation Rent is urging private renters to get involved. They have highlighted 96 seats in England where newly registered private renters could cast the deciding vote.
Because private renters move house more frequently than homeowners, just 58% are correctly registered. This is compared with 91% of homeowners, according to figures by the Electoral Commission.
Using census, English Housing Survey and Labour Force Survey data, Generation Rent estimates that there are at least 5.7m eligible voters living in private rented homes. There are around 3.3m registered voters and 2.4m yet to register at their current address.
Applying the calculations to Westminster constituencies, Generation Rent found 96 seats across England where the estimated number of unregistered private renters is larger than the 2017 majority. This only stresses the possibility that renters registering today and tomorrow could cast the deciding vote.
The following calculations show just how many private renters in certain constituencies are at risk of losing their vote:
Constituency
Region
Majority
unregistered private renter voters
Kensington
London
20
8819
Southampton, Itchen
South East
31
6367
Richmond Park
London
45
5117
Crewe and Nantwich
North West
48
4818
Newcastle-Under-Lyme
West Midlands
30
2478
Caitlin Wilkinson, Policy & Public Affairs Manager at Generation Rent, said: “The private rented sector is in desperate need of reform, but renters are statistically less likely to be registered to vote than homeowners. Many renters are on 12 month contracts, meaning they are much more likely to move house in a given year.
“In key marginals across the country, renters registering could decide the outcome of the seat. Renters need secure tenancies, affordable rents, and decent and safe homes.
“This election is an opportunity for renters to vote for a Government that will deliver that. If you rent privately, make sure you’re registered by midnight on Tuesday.”
Nick Ballard, National Organiser at ACORN said: “If you’re homeless, in insecure housing or in the PRS, you’re less likely to be on the electoral register. If you don’t vote, you don’t matter to most politicians.
“Though our Renters Vote campaign ACORN is registering private tenants, the vulnerably housed and homeless and turning them out on election day.
“Politicians cannot afford to ignore the demands of renters and the next government must ensure decent, dignified and affordable housing for all.”
Local authorities are calling for a ban on ‘For Sale’ and ‘To Let’ boards across the UK. As such, property portal Residential People has highlighted the benefits of digital marketing.
As well as potentially more bans, Residential People believes that many consumers are becoming increasingly disillusioned with advertising boards.
Distaste for boards continues to grow
Advertising boards may have been an effective market tool for many years, but they are arguably less effective in a modern property market. Consumer behaviour continues to shift towards digital solutions.
More local councils are also looking to ban boards in certain areas, following consumer complaints, according to Residential People.
Camden Council recently urged the government to back its request for a borough-wide Section 7 direction. This would see all boards banned unless planning consent is secured.
Boards have been described by the local authority as ‘clutter’ and ‘free advertising’. It has reported receiving over 1,000 complaints about boards from residents over the last five years.
Christopher May, Director of Residential People and its sister company Commercial People, says: “In areas where boards are banned, the decision for agents is already made and they can use the additional marketing budget to focus on innovative digital strategies.
“However, forward-thinking firms who are still able to erect boards should seriously think about reducing their use of boards.”
The power of digital marketing
Residential People argues that a digital-focused campaign can provide agents with a more rounded and effective marketing strategy.
According to the portal’s research, in 1997 when the UK’s first portal Propertyfinder was launched, only 7.39% of the UK’s population used the internet. When Rightmove launched in 2002, 56.48% of the population was using the internet. Fast forward to 2016 and 94.78% of the UK population use the internet.
The internet is also no longer just for the younger generations, with the proportion of 65-74 year-olds going online regularly rising from 52% in 2011 to 83% in 2019.
May comments: “Agents have an exponentially greater market of all demographics to target than ever before via portals and other online marketing methods, from first-time buyers and second-steppers to landlords and downsizers.
“Digital marketing allows agents to track results effectively and then shift spend, approach or messaging accordingly to get the most out of their budget.
“For Sale and To Let boards may be good for brand awareness, but unlike online marketing, boards less likely to generate leads beyond the local area.”
Online alternatives are more cost-effective
May explains: “Marketing your agency via videos, online brochures, featured property advertising and microsites can enhance your brand recognition and promote awareness of your available properties with the right audience.
“Despite the growing influence of video marketing, our research of over 3,000 agency websites found that 7 out of 10 firms do not use video or promote a corporate YouTube channel.”
Residential People adds that the influence of social media platforms continues to grow for agents looking to engage with a large audience of consumers.
According to ‘Our World in Data’, two-thirds of 3.5 billion internet users worldwide are active on social media.
“Platforms such as Facebook, Twitter and Instagram are ripe for agents’ promotional campaigns and can help them to generate leads for a fraction of the cost of traditional advertising,” May adds.
“A holistic digital approach can help agents to be more targeted to specific areas and audiences, while also taking advantage of the millennial market which is made up of the buyers of today and the sellers and landlords of tomorrow,” he concludes.
A majority of private landlords say they are less confident about the market than they were three months ago, according to the Residential Landlords Association (RLA).
Figures highlighting the gap between the percentage of landlords planning on selling up and those planning to buy reflect this result. The aforementioned gap has increased sevenfold in the last two years from 4% to 21%.
There is one positive outcome for tenants to be mentioned: many landlords are now not increasing rents. The RLA has reported that two-thirds have frozen rents over the last year.
Confidence now seems to be at its lowest in London and Wales and highest in the West Midlands followed by the North East and Yorkshire and The Humber.
The figures, which are contained in the RLA’s latest Confidence Index, show that in the third quarter of 2019, 55.1% of private landlords were less confident about the market.
34% of landlords are planning to sell property over the next year. This is compared with 22% two years ago. Just 13% plan to purchase at least one property to rent out compared with 18% two years ago.
The main reason that has been provided by landlords for this drop in sector confidence is the recent tax changes. Many have stated that the fact that this has been adding to increased costs has led them to the conclusion that selling up is the best option.
David Smith, Policy Director for the RLA, said: “We warned the government that the tax increases they have imposed on landlords would be counter-productive and these figures show how right we were.
“All they are achieving is driving landlords to leave the market, damage investment and so making it more difficult for tenants to find somewhere suitable to live.
“Whoever is in government following the election needs to completely change the approach and start to support good landlords to encourage them to invest to meet the rising demand for rented housing.”
With the General Election approaching fast, the UK’s political parties are now releasing their manifestos.
The Conservatives have now pledged to follow through with plans to abolish ‘no fault’ evictions, and it is rumoured that we should expect their full manifesto this Sunday.
The party has also made the commitment to introduce Lifetime Rental Deposits to help renters reduce the costs when moving between properties.
David Smith, Policy Director for the Residential Landlords Association (RLA), commented: “We have long argued that deposits should be transferable. It will make renting cheaper and easier for tenants. It is vital though that the detail of the plans ensure that both landlords and tenants can have complete confidence in how the lifetime deposit will work.
“On the pledge by the Conservatives to end so called ‘no fault’ repossessions, we agree that the system needs to be reformed, but this needs to be done properly.
“Whilst any new system should protect tenants from the minority of landlords who abuse the current rights, it is important that good landlords can be confident that in circumstances such as tenant rent arrears or anti-social behaviour they can swiftly and easily regain possession of their property.
“We want to see comprehensive reform that works for both landlords and tenants. This should include setting up a dedicated housing court offering easy and inexpensive access to justice for both tenants and landlords.”
In response to the suggestion of lifetime rental deposits that can be transferred between homes, Dan Wilson Craw, Director of Generation Rent, says: “For many people renting from private landlords, your damage deposit is the closest thing you have to savings.
“We have been calling for tenants to be able to transfer this money between tenancies, which would make it much easier to move, and give tenants more control over their homes and lives.
“In addition, the £4.4bn of tenants’ cash currently protected could be used more productively than it is under the current system, with investment returns benefiting tenants. It is welcome to see support for our proposal and we want all parties to commit to reforming tenancy deposits in the next Parliament.”
General Election Manifestos: Landlords welcome plan for lifetime deposits for tenants
Dan Wilson Craw also commented on the plan for lifetime fixed-rate mortgages requiring deposits of 5%: “Parties that want to boost homeownership will find there is no easy answer. Longer-term fixed-rate mortgages are unlikely to increase access to homeownership dramatically, especially if rates are higher than those on shorter-term deals. Making it easier to get a mortgage with a small deposit risk pushing up house prices further.
“Boris Johnson recognises that renters struggle to save, but when around two-thirds have no savings at all, our priority should not be to help the minority escape renting but to bring down rents for everyone. That means investing in social housing.”
Generation Rent Campaigns Manager Georgie Laming has commented on the pledge to end Section 21 evictions: “For too long, renters have been scared to ask for essential repairs for fear of a revenge eviction. Today’s announcement that the Conservatives will honour their pledge to end unfair Section 21 evictions is a testament to the hard-fought campaign of thousands of renters across England.
“Both major parties have now committed to an end to section 21 so renters can look forward, whoever is elected, to more security of tenure – and calling their house a home.”
The Liberal Democrats released their manifesto on 20th November. As the National Landlords Association (NLA) has put it, this manifesto seems to include little positive for private landlords.
Caitlin Wilkinson, Policy Manager for Generation Rent, has commented on the Lib Dem pledge for three-year tenancies, mandatory landlord licensing, and tenancy deposit loans for young first-time renters: “Support for landlord licensing is welcome as this would help councils ensure that landlords meet basic standards and tenants enjoy decent homes.
“The introduction of three-year tenancies would help renters stay in their homes for longer, but would not protect them from unfair evictions outside fixed terms under Section 21 of the Housing Act 1988. Given that the party committed to ending Section 21 at its conference in September, its omission from the manifesto is surprising.
“The Help to Rent scheme will help some renters, but as this loan is only offered to first-time renters, its impact will be limited. More renters would benefit from a deposit passport scheme which allowed them to move deposits between landlords when moving home, avoiding upfront costs.”
Yesterday (21st November) Labour released its manifesto for the 2019 General Election.
David Smith, Policy Director for the Residential Landlords Association (RLA), has responded to the publication of Labour’s General Election manifesto. Smith comments: “Labour’s plans would hurt tenants. It wants longer tenancies, yet is proposing nothing to encourage and support good landlords to stay in the market long-term.
“Whilst enabling tenants to remain in their property is a good thing, it needs to be matched by a system that gives confidence that landlords can swiftly regain possession of their properties in legitimate circumstances such as tenant rent arrears or anti-social behaviour. Nothing in Labour’s plans provide that assurance.
“Its plans for rent controls linked to inflation are also nonsense. The Office for National Statistics has shown that rents are increasing by less than inflation.
“The Party has failed to heed the warning of the Labour Chair of Parliament’s Housing Committee who has previously warned that rising rents will only be addressed when more homes are built.
“The party’s former Housing Minister in Wales has also warned that rent controls serve only to reduce the quality of accommodation, choke off supply, and make it more difficult for tenants to find the homes to rent they need.
“We need to focus on providing more homes of every kind, including for private rent. Labour’s plans will fail to achieve this.”
General Election Manifestos: Labour would leave landlords worse off
Joseph Daniels, founder of modular developer Project Etopia, has also commented on Labour’s manifesto: “By going after landbanking developers and focusing on the crucial element of land supply, Labour has really shown they are determined to look properly at the real causes behind periodic declines in housebuilding.
“This is what the industry needs, far more than housebuilding pledges that lack any real roadmap for how they will be delivered, which is what we’ve seen from parties in the past.
“Talk is often cheap and the industry is crying out for meaningful change to allow developers to unlock land and bring it forward for development. If this is achieved the country could see a real turning point in public policy to help solve the housing crisis.
“These pledges have to be balanced with the commitment to cut carbon emissions and the Liberal Democrats’ proposal that all homes should meet the Passivhaus standard shows the major parties are becoming more creative when it comes to housing policy.
“A requirement to build to the Passivhaus standard would set a world-leading benchmark for housebuilding in Britain and send a strong message to developers about how quickly they need to make their construction process more carbon neutral.”
Milton Rodosthenous, Director of online auction service LetsBid Property, comments: “The housing sections of the election manifestos from the Labour Party and the Liberal Democrats lack focus on reforming the homebuying and selling process which is crucial to helping people to move home, get on the property ladder or downsize.
“In recent months there have been some good ideas from the Ministry of Housing, Communities and Local Government, including introducing reservation agreements and regulating property agents. It would be disappointing to see these initiatives fall by the wayside after the general election.
“The manifestos’ focus on providing affordable homes is welcome, however, the emphasis on housebuilding targets is perhaps misguided as these targets have been missed by numerous administrations over many years.
“The supply of homes is of course an issue which needs addressing, but it is not the only factor which could stimulate the housing market and make homeownership more seamless and attainable.
“For example, neither manifesto mentions stamp duty and how it could be reformed to create a less stagnant and fairer market.
“In the short-term, the government must focus on resolving Brexit so confidence in the housing market and economy can be rebuilt.
“In the long-term, there will need to be a concerted effort to address housing supply issues, make the moving process more efficient and to embrace technology and alternative buying and selling options such as the Modern Method of Auction.
“We now await the Conservative Party’s election manifesto with anticipation to see how Boris Johnson’s party is pledging to improve the housing market.”
In response to Labour plans to produce 100,000 new council homes a year, Generation Rent Policy Manager Caitlin Wilkinson comments: “Labour’s commitment to building 100,000 council homes a year would help address years of chronic under-supply. We need large-scale public investment in building high-quality council or social homes to ensure that everyone has access to a secure and affordable home.
“The growth of the private rented sector is a direct consequence of the failure of successive governments to build social housing. 11 million people in England rent privately, often paying high rents in return for poor conditions and with no security.
“Building genuinely affordable council and social housing would ensure that high-quality housing is available for those on lower incomes, as well as meeting overall demand, which would reduce rents for those in the private sector.”
Caitlin Wilkinson has also commented on Labour plans for open-ended tenancies, rent caps and new minimum standards: “Abolishing Section 21 and introducing open-ended tenancies will cut homelessness and give renters the security they need to plan for their future.
“Both main parties have now committed to ending unfair evictions under Section 21, meaning renters will be able to look forward to a secure home in the next Parliament.
“Capping rents will go some way towards ensuring that renting is genuinely affordable for those on low incomes, but over the long term we need measures to sustainably bring rents down to around 30% of median local incomes.
“For too long, renters have suffered substandard and dangerous conditions, and the party’s proposed national licensing scheme will help councils take action against criminal landlords who fail to meet basic standards and let out unsafe homes.”
Do you visit your property regularly? Regular visits can help to protect landlords and letting agents from the growing risk of subletting scams, according to No Letting Go.
The inventory provider service has stated that a professionally compiled inventory and commitment to the check-out process can also help to provide financial cover in the event of property damage.
Subletting scams are on the rise
No Letting Go has noticed a rise in the number of subletting scams in recent months. In particular, fraudsters have been using short-term let platforms to rent out their landlord’s properties without permission.
The agent undertook further research, uncovering that this was a long-running subletting scam. There were over 70 reviews of the property left on Airbnb over the course of the tenancy.
The tenants were eventually evicted but not before they had cost the landlord a significant amount of stress and money in repairing the damage done to the property.
Nick Lyons, CEO and Founder of No Letting Go comments: “The growth of the short-term lets market heightens the risk of unlawful subletting as the available technology makes it easy for tenants to let properties quickly and easily without the knowledge of landlords and letting agents.
“If you don’t put the right steps in place, subletting could be taking place in your rental property for a long period before you are able to take any action.”
What problems can subletting pose?
When a tenant sublets a property unlawfully, this can create serious issues for landlords. It causes a heightened risk of property damage and abnormal levels of wear and tear. Illegal subletting could also invalidate a landlord’s insurance policy.
Subletting can also breach licensing schemes and a number of health and safety regulations which could cause a further headache for landlords and agents.
Lyons explains: “Subletting could cost landlords thousands of pounds of a long period of time. As well as the repair and maintenance costs to consider, there is also the increased chance of costly void periods while the property is being brought back to a lettable condition.
“What’s more, if you are forced to evict a tenant due to subletting, it could be costly and time-consuming to repossess the property through the courts. This issue could be further exacerbated by the government’s plans to scrap the Section 21 evictions process.”
How can property visits and inventories reduce risk?
The risk of subletting will never completely disappear and it has become easier for tenants to let properties with the rise of short-let platforms. However, there are steps that agents and landlords can take to minimise chances of falling victim to such a scam.
Lyon says: “Regular property visits and inspections can help to identify the tell-tale signs of subletting such as additional rubbish and the presence of people not named on the tenancy agreement.
“By scheduling regular visits, you will discourage tenants from subletting and in the event that they are carrying out unlawful activity, you can bring a stop to it as soon as possible.”
“Professional inventories and carrying out the check-out process properly can also offer additional protection.”
“If tenants have been subletting a property, the presence of an inventory can provide the required evidence for landlords to recoup some of the property damage and maintenance costs from the tenant’s security deposit.”
