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Em Morley

Home sellers warned not to miss out on stamp duty holiday deadline

Published On: September 22, 2020 at 9:58 am

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Categories: Property News

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‘Biggest package of tax cuts in generations’ includes Stamp Duty cut

NAEA Propertymark recommends sellers market their properties before 26th September to meet the stamp duty holiday deadline of 31st March.

Mark Hayward, Chief Executive, NAEA Propertymark comments: “With housing market activity excelling following the Chancellor’s announcement of a stamp duty holiday, we expect the market to remain busy into the new year.

“Following all social distancing measures and making sure everything is in order will help maximise your chances of completing ahead of 31st March.”

NAEA Propertymark provides the following tips for selling your home:

1. Show you are serious from the get-go 

Show house hunters that you’re serious about the sale by reading up on and adhering strictly to all social distancing measures. Rearrange any cluttered furniture to prevent viewers from needing to touch too much and ensure social distancing measures are followed in line with Government and Propertymark advice. This includes vacating your property whilst viewings are taking place in order to minimise your contact with those not in your household.

2. Photos and virtual viewings 

When buyers are looking at properties online or within an agency, they make their minds up in seconds. That’s why having the very best photography of your home is vital. The right photos, especially with house hunters currently more apprehensive to book in a physical viewing, could mean higher offers and a quicker sale. Most agents routinely use professional photographers or appreciate the value in investing in the latest technology, so it’s a good idea to have great photos which truly reflect the property to reduce unnecessary visits from buyers who aren’t serious. 

3. Realistic asking price 

The temptation to overprice as you know buyers will be saving on stamp duty is bound to backfire and lose you valuable time on the market. The majority of house viewings happen in the first 20 to 30 days of the listing, with virtual viewings currently taking place even sooner. If you then decide to reduce your initial asking price, the number of views will drop after the initial buzz, so don’t risk your house being stigmatised by an unrealistic asking price from the start. 

4. Choosing an estate agent 

When it comes to choosing an agent to sell your home, it helps to make a shortlist of possible agents. Once you have a shortlist of three or four possible agents, give them a call and ask them to provide a valuation for your property. This is a chance for you to check their communication skills, professionalism and knowledge. Don’t be afraid to ask questions, and make sure to gather as much information as possible – you’re going to need it when it comes to making a decision about who you want to sell your home. 

NAEA Propertymark state that their agents follow best practice, meet all requirements of the profession and work to industry standards. Their estate agents hold Professional Indemnity Insurance and if they are holding monies are required to be covered by Client Money Protection to give you peace of mind throughout the sale of your property.

5. Paperwork

Ask your estate agent about the Propertymark Sales Protocol Toolkit, which will save you money, reduce the length of time you wait to move, minimise the risk of the sale falling through and remove many of the problems that so often occur in a property sale. This contains a Property Information Questionnaire that needs to be completed before your house is ‘sale ready’. Alongside this, you will also need copies of all relevant paperwork, including:

  • A copy of the lease (if the property is leasehold)
  • Documentation related to the freehold (if it’s a freehold property)
  • FENSA certificates for replacement windows
  • Your Energy Performance Certificate (EPC)
  • Relevant building restrictions
  • Building regulation certificate when alterations have taken place
  • A Gas Safety certificate for a new boiler

Automated tenant check-ins an important step for student lettings success

Published On: September 21, 2020 at 8:24 am

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Categories: Lettings News

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Automated tenant check-ins

Inventory service provider No Letting Go says letting agents operating in the student letting market should encourage landlords and tenants to give more attention to the inventory and check-in process.

It says that with many students returning to university accommodation for the first time since March, a well-executed inventory can help to protect landlords’ properties and students’ tenancy deposits.

The check-in process documents the condition and contents of a property at the start of a tenancy. It can also be used to confirm smoke and carbon monoxide alarm installation, carry out legionella risk assessments and ensure properties comply with key elements of the Housing Health & Safety Rating System (HHSRS).

Nick Lyons, Founder and CEO of No Letting Go, comments: “Although the student experience will be very different this year, the rental process will be largely the same.

“Landlords and agents need to make sure a thorough inventory and check-in process is carried out, while tenants need to assess the documentation carefully and only sign it off when they are happy.”

According to No Letting Go, a fully electronic check-in process can also save time and money for letting agents and landlords, while also appealing to modern renters.

Lyons says: “Thanks to technology, the days of tenants needing to physically attend check-in are long gone.

“Most student renters are likely to want to carry out as much of the rental process as possible from their smartphones, so being able to view and sign-off an inventory online has become increasingly popular.”

By using an electronic check-in process, tenants can make comments and add their own photos before agreeing to the inventory report.

It also allows agents and landlords to automate the chasing of signatures, saving time on administration. 

Since the property market reopened in mid-May, No Letting Go has provided its services with a ‘no contact’ policy in place to help prevent the spread of Covid-19.

Lyons explains: “We still all need to do our bit to prevent the spread of the virus, which is why we’re limiting contact through automation and electronic signatures.

“We have been offering this service for a number of years as it is the most efficient way to complete a comprehensive inventory check-in which suits all parties.

“As students return to a new university landscape, it’s important they feel safe and secure with the opportunity to limit contact with others when finalising their tenancies.

“However, it’s vital that the process is still carried out professionally and thoroughly so that tenants are aware of how they must return the property to the landlord, reducing the chances of deposit disputes at the end of a tenancy,” he adds.

Lyons concludes: “It’s important that agents and landlords continue to reassure renters that they won’t be disadvantaged by not attending a check-in at the start of the tenancy, mid-term inspections and check-outs at the end of their tenancy if they are carried out by an independent third party.

“The check-in, mid-term inspection, and check-out process can now all be carried out with zero contact while still maintaining independence and protecting tenants and landlords.”

Sadiq Khan makes request for two-year rent freeze in London

Published On: September 18, 2020 at 8:21 am

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Categories: Lettings News

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Tenant applications for London rentals double in last six months

Sadiq Khan, Mayor of London, has written to Robert Jenrick, the Secretary of State for Housing, Communities and Local Government, to request powers to implement a two-year rent freeze to help prevent COVID-19 evictions.

This freeze would be introduced as an emergency measure. It would mean that private Landlords could reduce rents in London but not increase them.

Recent research from the Greater London Authority (GLA) and YouGov has revealed half a million London tenants are potentially facing eviction.

Mayor of London, Sadiq Khan, has commented: “More than ever, COVID-19 means that many of London’s private renters are facing a really uncertain future. More likely to be in lower-paid and insecure work, the end of the furlough scheme means even more renters in the capital are now at risk of pay cuts or losing their job.

“Yet at every stage of this pandemic, renters have been treated as an afterthought by the Government, with protection measures only ever rushed out at the last minute.

“This uncertainty is causing unnecessary anxiety and stress. I’m today calling on ministers to give me the powers to stop rents rising in the capital for as long as this virus is with us, to give London’s 2.2 million renters more financial security. If Berlin can freeze rents for five years, there’s no reason London shouldn’t be able to freeze rents for two years in these extraordinary times.

“Without an operational vaccine, the economic fallout of COVID-19 will continue for months into the future. A rent freeze is only one part of a package of measures renters urgently need from Government to ensure no one is forced out onto the streets as a result of this pandemic.” 

Alicia Kennedy, Director at Generation Rent, comments: “Evictions have been paused, but that hasn’t stopped some London landlords from raising the rent, which can force a tenant to leave their home.

“At Generation Rent we’ve heard from tenants who have been hit with a rent increase after telling their landlord that their income has been affected by the pandemic. Unwanted moves can leave struggling tenants with nowhere else to go and contribute to the spread of coronavirus. 

“With the economy in recession and coronavirus cases on the rise, landlords should not be permitted to raise rents and force a tenant into an unwanted move.

“We’re delighted that the Mayor has adopted Generation Rent’s proposal for a freeze on rents to ensure tenants are able to stay safely in their homes for the duration of this crisis.”

Timothy Douglas, Policy and Campaigns Manager, ARLA Propertymark, comments: “Government has provided protection to tenants through the stay on evictions and the job retention scheme, while landlords have fallen outside of government support.

“It is important to be proportionate to all involved in the sector – tenants, agents, and landlords – as the economy struggles to recover in this period. 

“It is therefore vital that the situation is not worsened through any measures on landlords as a kneejerk reaction to the conditions created by Coronavirus.

“The vast majority of landlords are supporting good tenants to stay in their properties but a mandatory rent freeze would serve to deter investment in the private rented sector at exactly the time when more is being asked of landlords.”

Sadiq Khan has also asked for a wider package of support to renters, including:

  • Tenant grants to help them stay in their homes and clear arrears.
  • Expanding access to welfare, including scrapping the Benefit Cap uprating Local Housing Allowance to median market rents, and making additional discretionary housing payments to cover shortfalls and extending eligibility to all renters, including those not currently entitled.
  • Scrapping Section 21 evictions, and restricting access to Section 8 evictions until the above welfare changes have been made.

Will the eviction ban in England and Wales end on 20th September?

Published On: September 17, 2020 at 8:22 am

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Categories: Law News

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Landlords welcome plans to tackle unruly tenants

The ban on evictions in England and Wales is due to end on Sunday 20th September. The National Residential Landlords Association (NRLA) points out that at this point it will have been six months since landlords were last able to:

  • Take action against those tenants committing anti-social behaviour and causing misery for fellow tenants and neighbours.
  • Take action against those perpetrating acts of domestic violence. 
  • Address situations where tenants were building rent arrears prior to lockdown that have nothing to do with COVID-19.
  • Regain possession of their homes where they have rented them out whilst working elsewhere, such as those in the military.

For these reasons, it believes that it is important the courts open again to hear the most recent cases under the new rules that will provide protection for tenants affected by COVID-19.

The NRLA provides the following summary of these new rules:

Protections for tenants affected by COVID-19

Existing claims

When the courts start hearing claims for repossession again, a landlord with a claim already in progress will have to provide a ‘re-activation notice’ informing the court (and the tenant) in writing. If they don’t, the case will remain dormant.

They will have to provide a ‘re-activation notice’ informing the court (and the tenant) in writing. If they don’t, the case will remain dormant.

They will also have to provide a ‘re-activation notice’ informing the court (and the tenant) in writing. If they don’t, the case will remain dormant.

Alongside this, the Government has introduced rules that mean in most cases landlords will be required to provide six months’ notice to a tenant where they want to repossess a property. This will include all Section 21 repossessions. The exemptions will be the following situations:

  • Tenant anti-social behaviour (4 weeks’ notice).
  • Perpetrators of domestic violence (2 to 4 weeks’ notice).
  • The tenant provides false statements to landlords (2 to 4 weeks’ notice).
  • The tenant has accumulated 6 months’ of rent arrears (4 weeks’ notice).
  • Breach of immigration rules ‘Right to Rent’ (now 3 months’ notice).

However, there is still the problem of those who rent their own homes our whilst working elsewhere, such as those in the military. They will still have to provide six months’ notice, despite not necessarily being in a position to know if they will need their home back this far in advance. The NRLA is calling on the Government to address this anomaly. 

Chris Norris, Policy Director for the National Residential Landlords Association, comments: “The Government needs to keep its word and ensure that urgent repossession cases can be heard again after the 20th September. 

“We need the courts to deal with cases where tenants are committing anti-social behaviour or where there are long-standing rent arrears that have nothing to do with the pandemic. 

“Over the last six months landlords have been powerless to take any action against those who cause misery for fellow tenants and neighbours. This has to end.”

The NRLA has provided the following case studies:

Colin

  • Colin is a private sector tenant who has spoken to the NRLA about the anti-social behaviour he and his partner have faced at the hands of tenants living in the flat above him.  He has been required to shield due to a condition whereby his immune system attacks itself.
  • He has spoken of the tenants above him playing loud music, singing, swearing, and banging the floor late at night. When Colin has asked them to turn the music down they began to bang on and spit at his windows.
  • He spoke in June of being horrified at the prospect of the repossession ban being extended and the landlord being unable to take any action against his neighbours. All the police told Colin was to move out for a few days to see if the behaviour settled.

Phil Young

  • Phil Young retired from his job as an IT director last year due to ill health as he is recovering from cancer. 
  • He became a landlord to help to boost his income when he retired and took over as the landlord of three flats in February this year. One tenant was inherited from the previous landlord of the property.
  • Despite the tenant continuing to receive Universal Credit during the pandemic and having not been affected financially by the coronavirus, Phil says between February and July, the tenant did not pay anything in rent and has now built £3,500 in rent arrears.
  • Phil met with the tenant to discuss the arrears, and they came up with an agreed payment plan.  At that point, he had felt hopeful that the tenant would stick to the plan, having not heard anything from them to suggest they would not.
  • When the time came for the tenant to pay the agreed rent, they again did not pay and gave no reason why. Phil served notice on the tenant in May as communication had stopped, and despite his best efforts to come to an agreement, this was ignored. 
  • Phil did try to arrange for direct payments of Universal Credit to be made to him, but he says the tenant refused permission for this to happen, stating that they would be moving out of the property in July. This did not happen, and the tenant continued to live at the property not paying rent.
  • Phil has since been able to get one payment of Universal Credit for August’s rent, but is still owed thousands of pounds and says he doesn’t know if this will ever be paid back to him.
  • Applying for a buy-to-let mortgage holiday is not an option as the flat is in a commercial block. Phil says he relies on receiving the income for his own livelihood. He says he is “not wealthy, I am a first-time landlord trying to make a meagre living” and that he feels that landlords have “all been tarnished with the same brush”. He worries it could be well into next year before he is able to gain possession of the property due to the repossessions ban. 

Emma

  • Emma Burton, her husband, and children are now trapped in France, living with Emma’s parents, as a result of being unable to reclaim possession of their home which they rented out whilst working abroad in 2019. 
  • The tenant stopped paying the rent in December 2019. They have a four-year-old son who has a rare metabolic disorder and needs medication and a special diet. As non-residents, they can’t get this from the French health system. 
  • They cannot regain possession of their property until at least December before the courts see it as a priority case and in reality, it is likely to be several months after that.
  • The story can be read in full at: https://www.liverpoolecho.co.uk/news/liverpool-news/eviction-ban-leaves-family-left-18822038.

Gas Safety Week – Five tips for landlords from Ideal Heating

Published On: September 16, 2020 at 8:13 am

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Gas Safety Week

This week is the 10th anniversary of Gas Safety Week. During September every year, the Gas Safe Register works to raise awareness of gas safety in homes.

Just Landlords, the specialist landlord insurance provider, has updated its guide for landlords and tenants in order to help spread awareness across the UK.

Boiler supplier Ideal Heating has also provided the following five tips to help avoid unwanted breakdowns:

1. Get annual checks by a Gas Safe registered engineer 

  • Your gas appliances need a safety check every year – failing to correctly maintain your appliance could lead to serious problems including carbon monoxide poisoning
  • When having your service done, only use Gas Safe Registered engineers. This includes when installing any appliances too. Make sure you insist on seeing their Gas Safe ID card
  • This responsibility falls to landlords for appliances that are provided by you. Keep track of your Gas Safety Records and ensure gas appliances, fittings and chimneys are safe (in line with the Gas Safety Regulations 1998). If tenants have their own gas appliances in the rented property it is their responsibility to ensure that they are regularly maintained and serviced
  • Always ensure that your Gas Safe engineer has a copy of the manufacturer’s instructions and services your appliance in accordance with these. Your appliance manufacturer will be able to help if you don’t have a copy

2. Never block the ventilation around your appliance 

  • A lack of ventilation around appliances, whether indoors or outdoors can lead to a build-up on carbon monoxide
  • Ensure any gas appliances have good ventilation and are used in the intended way

3. Get a carbon monoxide detector and test it regularly

  • Make sure you have a working carbon monoxide and smoke detectors in your property/ies. Early warnings can save lives!
  • It’s also important to be aware of the signs of carbon monoxide poisoning. Encourage your tenants to know the symptoms which include, headaches, dizziness, nausea, tiredness, and breathlessness. (Think about whether symptoms improve when you leave the house – are others in the home suffering similar symptoms?)

4. Test your CO alarm regularly and check that it is still within the expiry date printed on the alarm

  • Encourage your tenants to check appliances for warning signs! If appliances have a pilot light, do you have to relight it? If so you should get your appliance checked 
  • If you see yellow, lazy flames on your gas hob, rather than the usual blue ones, your hob needs to be checked immediately
  • Any staining or excessive soot build up on or around appliances might also signal problems
  • Is your appliance performing differently to normal or displaying fault lights or codes? Time for a Gas Safe registered engineer to check it
  • Check when you last had your gas appliance serviced and ensure you regularly have it maintained
  • All other fuel-burning appliances (e.g log burning stoves) should also be checked and maintained by qualified engineers

You can find further advice on the Gas Safe Register website: www.gassaferegister.co.uk/help-and-advice.

Chris Jessop, Customer Services Director Ideal Heating, comments: “Many people do not take gas safety seriously enough. Neglecting to follow guidance on checks and maintenance can be life-threatening and so initiatives like Gas Safety Week are massively important in helping protect people, homes, and workplaces.

“At Ideal Heating, we place huge importance into making sure staff are fully trained and up to date on the latest best practise. The safety of our customers is paramount and we work closely with Gas Safe Register in support of their initiatives throughout our normal working practices every day.”

Problems with gas in a home can cause serious health issues concern which might even be a threat to life. Getting your appliances checked regularly can help to prevent this.

You can enter your postcode here to see reported gas threats in your area: www.staygassafe.co.uk/.

Student accommodation check-in guidelines from The DPS

Published On: September 15, 2020 at 8:22 am

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Student accommodation check-in

An updated list of guidelines from The Deposit Protection Service (DPS) has been released to support students, landlords, and letting agents.

These guidelines for check-in reports have been put together to help when arranging accommodation moves during the coronavirus pandemic. It encourages all involved to follow Government rules aimed at reducing the spread of the virus.

Matt Trevett, Managing Director at The DPS, said: “Some students may not know what to expect when moving during the pandemic, and many landlords and agents are still adjusting to how public health measures affect setting up new tenancies.

“This guidance, which takes into account latest government advice on moving, will help ensure a safe and efficient move in line with the regulations, as well as help avoid disputes at the end of a tenancy.”

These are the nine student accommodation check-in guidelines provided by The DPS:

1. Understand government restrictions on moving 

Members of only two households can enter a property at any one time in England. Students form a ‘household’ when they move into a property together, which means physical check-ins with either a landlord or letting agent can take place. Separate guidance exists in Wales and Scotland.

2. If possible, reduce the number of tenants attending the check-in

If tenants are undertaking a joint tenancy for the property, they are acting as a single party, so only one needs to attend the check-in. If each student has a separate tenancy for their individual room, everyone should attend as well as receive and sign their own inventory.

3. Perform a check-in when the house is empty

If possible, it is best to perform a check-in when the property is empty to reduce the risk of the virus transferring from the belongings of existing tenants to visitors.

4. Electronic check-ins are also permitted 

If a non-physical check-in is preferable, landlords or agents can prepare the report in advance and then pass it to the relevant tenants via email or post, along with any photographs.

5. Stick to the facts

The check-in information should be thorough, factual, and accurately describe the condition of the carpets, walls, furniture, and garden. It should note items’ age, wear, and existing damage. Using a third-party inventory service to record the condition of furniture and fixtures can also help prevent disputes at the end of a tenancy. 

6. Take photos of the property

Good quality, colour photos, along with the check-in report, provide the best evidence during any dispute. Date-stamped images taken on or close to the check-in date are optimal. Tenants who want to take their own photographs should agree with the landlord or agent a suitable time to enter the property.

7. Tenants should study the draft report and send back written amendments within seven days

If tenants don’t amend a draft check-in report within seven days of receiving it in person, via post or by email, the landlord or agent can assume the tenants agree with it.

8. Put conversations about the property’s condition in writing 

Tenants, landlords, and agents who speak about the property’s condition should also follow up by post or email in order to keep a record and remove doubt should anyone need to refer to their conversations at a later date.

9. The tenants’ agreement is vital 

Landlords, agents, and tenants should hold onto the final, agreed version of the report as well as any email trail or postal receipts relating to it. A landlord who can’t get a digital or physical signature from a tenant should ask them for an email or text confirming their agreement – and keep a copy.