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Free Online Maintenance and Repair Reporting Tool for Tenants Launches

Published On: October 20, 2016 at 9:29 am

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The National Landlords Code of Excellence Ltd (NLCE) has launched a free online maintenance and repair reporting tool for private tenants in a bid to tackle the age-old problem of maintenance/repair issues between landlords and tenants.

Maintenance in private rental properties is one of the most complex issues to define, particularly for tenants, and is one of the main causes of deposit disputes at the end of a tenancy. Research from deposit protection scheme My Deposits shows that while only 2% of disputes require a formal resolution service, property maintenance accounts for 42% of these cases.

The law

Furthermore, for new tenancies that start on or after 1st October 2015, the Deregulation Act 2015 rules that:

  • Letting agents and tenants must put repair requests and resulting actions in writing.
  • Repair requests do not need to be written in English.
Free Online Maintenance and Repair Reporting Tool for Tenants Launches

Free Online Maintenance and Repair Reporting Tool for Tenants Launches

These new measures were created to protect tenants from eviction when they raise a complaint about the condition of their home, called revenge or retaliatory evictions. Therefore, if a landlord or their letting agent fails to follow the correct procedure for managing repairs under this latest legislation, they could face penalties as well as being unable to evict tenants in the future.

Although the new legislation does not specifically mention what “in writing” constitutes, the courts are increasingly encouraging service of documents by electronic means.

With all of this in mind, the NLCE created its property maintenance and repair reporting tool for tenants.

In compliance with the law, the reporting tool also provides a translation service, which allows tenants to report an issue to their landlord in over 100 languages.

The NLCE works with councils, landlords and letting agents around the UK to ensure that the legal requirements of a landlord, to repair and maintain their property to housing standards criteria, are met in full.

How does it work?

This free tool allows tenants to notify their landlord of any problems they are having with their property. Once the report has been sent, the landlord cannot claim that they have never received a complaint from the tenant about a specific maintenance/repair issue.

With this facility, the landlord supplies the tenant with a plastic bank card-style NLCE tenancy emergency card, which can be acquired from the NLCE and contains the landlord’s name and contact details. The tenant can then use the information on the card to report problems to the landlord. This also helps landlords comply with their legal responsibility to provide their tenants with their contact details.

If the landlord fails to complete the work within a reasonable timeframe, the tenant can automatically raise the issue to the NLCE to make a formal complaint. This complaint will then be passed simultaneously to the relevant accreditation scheme and local council.

Once the complaint is upheld, the complaint procedure will formally begin. If the accreditation scheme cannot make the landlord conduct the works, the local authority will step in to issue an improvement notice, which forces them to complete the work within a specific timescale.

The primary objective of the maintenance and repair reporting tool is to create a paper trail between the landlord and tenant, to protect both parties in the event of a dispute.

The tool can be accessed here: https://www.landlordreferencing.co.uk/nlceuk/maintenance-issue/

Housing market stays steady post-Brexit

Published On: October 20, 2016 at 8:57 am

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Despite ongoing uncertainty surrounding the Brexit vote, Britain’s housing and economy markets have showed resilience.

Residential property price growth has slowed slightly, but former Chancellor George Osborne’s predictions of a fully blown crash have failed to materialise.

Lack of panic

There has also been a lack of panic amongst investment buyers looking to get rid of their properties, with stagnation continuing in the market.

Marc von Grundherr, Lettings Director at Benham & Reeves Residential Lettings, noted: ‘Rents have flat-lined across most of the capital. We are advising all our landlords not to ask for rental increases and if the tenant has been particular good then to even consider a slight decrease or some works to retain them and avert any void.’[1]

According to Benham & Reeves Residential Lettings, tenants are readily agreeing renewals.

Housing market stays steady post-Brexit

Housing market stays steady post-Brexit

Capital gains?

Most noticeably, rent prices in prime central London have slipped for the second successive quarter. There has been an oversupply in rental properties in Belgravia, Chelsea and Knightsbridge, which is having a negative impact on rental values in the area.

von Grundherr continued by saying: ‘Prime central London arguably has the best value properties in the capital at the moment. And transformed pockets of North West London such as Colindale continue to offer excellent returns for investors who go in there early.’[1]

‘If you look at most of the Heat Map, rents have stayed the same over the past quarter. We’re in a period of uncertainty and fortunately, our landlords are listening to our advice when we tell them not to be greedy and simply value the tenants they have,’ he added.[1]

[1] http://www.propertyreporter.co.uk/landlords/rental-market-stagnant-after-brexit.html

 

10 New Build Investor Hotspots in London

Published On: October 20, 2016 at 8:42 am

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If you’re looking to invest in the capital’s post-Brexit property market, you must put location first. With this in mind, Portico has put together a list of 10 new build investor hotspots in London.

The London estate agent points out that new build locations have been specifically created with today’s tenant in mind, so they are usually based near great transport links in a desirable or up-and-coming area.

For landlords, this means that these new build investor hotspots offer good prospects for high rental yields and strong capital growth.

If you are looking to invest in London’s property market, here are Portico’s ten new build investor hotspots:

  1. Croydon 

This metropolitan area is soon to benefit from a £5.25 billion regeneration programme, which promises to transform the town centre. Westfield also has plans to build a luxury shopping centre in the area, which will likely push up house prices, as seen previously in the boroughs of Hammersmith & Fulham and Newham. Tenants will also be attracted to the 14-minute journey into Victoria, making this south London borough an easy choice for renters on a budget.

  1. Nine Elms, Battersea

Another location that’s benefitting from a multi-billion pound investment scheme is Nine Elms. Named the “next big luxury area”, it will soon be home to a new Tube station, a revamped high street and the American Embassy, which will drive more international workers to the area.

  1. Canary Wharf 

Canary Wharf is one of the most established new build investor hotspots that have sprung up over the last ten years, and has become extremely popular with young professionals working in the business district. It also has one of the capital’s most sophisticated travel hubs, including the DLR, Tube and Thames Clipper river bus services. Furthermore, when Crossrail is fully operational in 2018, the line will provide direct connections to Heathrow Airport and a number of east-west locations – further enticing tenants and investors to London’s financial centre.

  1. 10 New Build Investor Hotspots in London

    10 New Build Investor Hotspots in London

    Bermondsey

Bermondsey has also undergone a positive revival, this time as a result of the regeneration of London Bridge, which has attracted large businesses, such as News Corp, to the area. It is also a foodie hotspot, attracting young professionals and business types to its central location, trendy amenities and contemporary, luxury accommodation.

  1. King’s Cross 

Once an industrial wasteland known for its underground night life, King’s Cross is now a thriving cultural and business community, home to some of the biggest companies in the world, as well as a string of new restaurants and bars, a huge Waitrose in Granary Square and the art installation Pond Club. Google is also currently spending £1 billion on a London headquarters in this trendy location, which will no doubt attract a wave of professionals and continue pushing up house prices.

  1. Aldgate 

Property prices have soared in east London over the past few years, thanks to the impact of the Olympic Games and the resulting gentrification. Aldgate is currently growing in popularity. It is close to fashionable neighbourhoods, such as Shoreditch, and is within walking distance of the City, making it an ideal spot for young professionals.

  1. Bromley by Bow 

Also within close proximity of the Queen Elizabeth Olympic Park, Bromley by Bow offers affordable accommodation, good transport links into central London and an up-and-coming, trendy atmosphere. There is a low supply of luxury rental homes in the area, which means that landlords here tend to generate healthy returns, as well as good prospects for capital growth.

  1. Dalston

Investors have been queuing up to get their hands on the developments dominating Dalston’s skyline since Boris Johnson re-opened the Overground station, Dalston Junction, in 2010. The line takes residents into Highbury & Islington Rail in under five minutes. The area is ruled by young renters and arty types, who are attracted to the trendy eateries, cool rooftop bars and London Fields to the east.

  1. Stratford 

Although house price growth here has outperformed most of London over the last few years, Stratford still remains affordable for both buyers and tenants, making the area an extremely popular place to live. The near completion of Crossrail will no doubt drive further price rises in this part of east London, giving Stratford the most growth potential of any London location over the coming years.

  1. Hayes

Crossrail will arrive at Hayes & Harlington station in 2018, which will be key in pulling in tenants and homebuyers looking for affordable homes and access into central London. As well as good transport links, Hayes also offers healthy rental yields, great schools and easy access to the M4, M25 and Heathrow Airport.

Portico reminds landlords that you must ensure all property acquisitions meet your requirements and to take professional, independent advice when considering investment potential.

Proposed licensing scheme won’t work, claims ARLA

Published On: October 19, 2016 at 1:42 pm

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Yesterday, the Government announced plans to introduce a mandatory licensing scheme for landlords of multi-let accommodation. This is in an attempt to clamp down on rogues and introduce standards in the sector.

However, the Association of Residential Letting Agents believes this scheme is destined for failure.

Rules

The new rules, to be introduced next year, were outlined in a consultation published yesterday by the Department for Communities and Local Government. They propose to apply these licensing rules to all shared properties in England with five or more people from two or more households. In addition, the rules will apply to flats attached to business premises.

According to housing and planning minister Gavin Barwell, the rules will make sure that, ‘everyone has somewhere safe and secure to live.’[1]

He continued by saying: ‘These measures will give councils the powers they need to tackle poor-quality rental homes in their area. By driving out rogue landlords that flout the rules out of business, we are raising standards and giving tenants the protection they need.’[1]

Landlords failing to comply with the licence could face potential fines or even a criminal prosecution.

Proposed licensing scheme won't work, claims ARLA

Proposed licensing scheme won’t work, claims ARLA

Lack of enforcement

However, David Cox, managing director of ARLA, said that, ‘landlord licensing doesn’t work.’

Continuing, Mr Cox said: ‘Councils already have a wide variety of powers to prosecute for poor property conditions and bad management practices; with penalties ranging from fines to seizure of property and even imprisonment. But Councils don’t have the resources to undertake effective enforcement action. Imposing more burdens on councils will not mean improved standards and better conditions for tenants; it will merely mean more laws that are not being enforced.’[1]

Responding to Mr Barwell’s comments that rules for minimum room sizes will also apply to shared properties, Cox said this could have, ‘unintended consequences.’

‘Some people are happy to take small rooms to keep their costs down. If these rooms are no longer available, where are people supposed to live? What’s more, if a small room in a property can no longer be let out, the costs of that room will be spread across the other tenants living in the property; pushing up their rents. A habitable room is essential but a one-size-fits-all policy doesn’t always work,’ he concluded.[1]

[1] https://www.landlordtoday.co.uk/breaking-news/2016/10/tighter-licensing-requirements-for-hmos-wont-improve-standards-for-tenants–arla

Landlords, Protect Yourself When Hiring a Tradesperson

Published On: October 19, 2016 at 11:03 am

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Landlords, you can now protect yourself when hiring a tradesperson to conduct work on your property by using home services marketplace Plentific’s new Guarantee.

The innovative Plentific Guarantee is the first of its kind, and gives landlords and homeowners added security when booking trade professionals through the website.

The latest addition to the marketplace’s offering promises work of the highest quality from pre-screened professionals, giving property owners the confidence that their project will be completed to a high standard. Customers entitled to the Plentific Guarantee are assured 100% satisfaction when booking a verified tradesperson.

Landlords, Protect Yourself When Hiring a Tradesperson

Landlords, Protect Yourself When Hiring a Tradesperson

The new policy covers all services advertised on Plentific, from architects to builders. Any verified trade professional booked through Plentific can offer the guarantee, regardless of the size of the project.

The Co-Founder of Plentific, Cem Savas, says: “This Guarantee is the next step in Plentific’s mission of connecting homeowners with reliable home services professionals. It adds a newfound level of trust which did not exist before today.

“Our homeowners can now use Plentific with the knowledge that they will only receive the best of services and will be fully covered in the event that things do not go according to plan. The introduction of this Guarantee can only attract more homeowners and trade professionals to Plentific, and we will respond by continuing to support both sides of the marketplace, whilst providing the best service possible. We want to find and recommend the UK’s best and most reliable trade professionals and, consequently, remove all common fears when hiring a pro.”

The Guarantee includes legal cover for contractor related events and covers legal fees of up to £50,000. Insurance underpinning the Plentific Guarantee has been developed in partnership with The Home Insurer, which is authorised and regulated by the Financial Conduct Authority.

Paula Higgins, of the HomeOwners Alliance, comments on the service: “This is fantastic news for consumers. Whilst some websites offer basic verification on the trade professionals they list, homeowners have no one to turn to if they aren’t happy with the standard of the work. The Plentific Guarantee offers consumers a newfound level of protection, should anything go wrong.”

The Guarantee has been introduced at a time when demand for home services professionals is continuing to grow, with fears of cowboy tradespeople also rising. This policy protects landlords and homeowners from the nightmare of dealing with a substandard job.

If you decide to use Plentific to look for a tradesperson, look for the gold tick with “Verified by Plentific”. This logo indicates that the selected professional has passed the comprehensive background check and can offer the Plentific Guarantee.

As the only online transactional home services marketplace, Plentific also offers a secure payment platform for booking a professional. All funds are recorded and covered by the Guarantee for additional protection.

If you are unsatisfied with the quality of the work produced by a verified professional, the Plentific Guarantee covers four key costs: the deposit, pre and post completion of the project, and any legal fees. These safeguards ensure that you have nothing to worry about.

At a time when landlords are facing higher taxes and additional regulation, it is more important than ever to protect any funds you are spending on improvements to your property.

New rental listings slide in September

Published On: October 19, 2016 at 9:56 am

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A concerning new report from crowdfunding platform Property Partner has revealed that around four in ten large UK towns and cities in Britain saw a fall in buy-to-let listings in September.

The investigation looked at rental listings in 89 locations, analysing the number of properties listed between 1st-28th September, then compared to figures recorded in August.

Falls

Research from the platform showed that 36 towns and cities saw a decrease in rental supply during September. Of these, 29 also saw a fall during August.

Grimsby saw the largest drop in new rental listings in the last month, seeing a decline of 26%. Oxford (-24.4%), Canterbury (-23.9%) and Brighton (-18.7%) also saw significant falls. This said, no region was unaffected by a shortage of supply.

London saw new rental listings rise by 1.43% in the last month, showing a significant rise from August, when supply fell by 16.4%. Other large British cities, Manchester and Birmingham, saw new listings slide by 13.04% and 13.69% respectively.

Worrying

Dan Gandesha, CEO of Property Partner, observed: ‘You’d expect a seasonal drop off in the number of new buy-to-let properties coming onto the market during August but September has also proved worryingly slow. We’ll have to wait until next month to determine whether this is just a short-term problem or something to be increasingly concerned about.’[1]

‘The new stamp duty hike in April for buy-to-let and second homes saw a rush by landlords to beat the deadline with a subsequent rise in stock levels. But now that the dust has settled, we’re seeing some significant declines in new listings, particularly surprising after the Summer. Earlier this month, the Royal Institution of Chartered Surveyors (RICS) warned of a critical rental shortage. Traditional landlords have been given a proverbial cold bath with recent tax change announcements. The hike in the stamp duty surcharge in April has certainly discouraged landlords from increasing their rental portfolios,’ he continued.[1]

New rental listings slide in September

New rental listings slide in September

Hassle

Mr Gandesha wonders if many landlords will continue in their role past next year. He notes: ‘Alongside tougher lending criteria and cuts to mortgage interest tax relief starting next year, many landlords will be now doubting if it’s worth the hassle, particularly in the South East. Profits have been hit hard and those landlords that decide to stick with it, may just be forced to push up rents – not a promising prospect for tenants.’[1]

‘Like RICs, we believe Britain should be building more homes across all tenure types. Over the past decade, more and more people have moved away from home ownership and become long-term renters. It’s time for the new government to make build-to-rent a key priority, encouraging the private sector to build properties for residential letting with incentives for institutional and ‘professional’ landlords,’ he concluded.[1]

[1] http://www.propertyreporter.co.uk/landlords/september-sees-further-rental-supply-problems.html