News

Over eight out of ten homes now selling at discount on asking price, says NAEA

June 26, 2019

From Property Eye The large majority of homes sold during May failed to make their asking price, says the NAEA. Its members reported that 81% of properties sold last month were for below the listed price, suggesting an increasingly widespread buyer’s market. NAEA Propertymark’s latest housing report  shows that the number of applicants registered per estate agent branch was up on a monthly basis – 16% between April and May – but down 13% annually, from 351 last May to …

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Lack of lettings supply pushes rental growth to record highs

April 18, 2019

From Property Industry Eye Tenants will still need to stump up a deposit ranging from £630 to £2,415 once the fees ban comes in, Rightmove has warned. The portal has analysed its rental listings data for the first quarter of 2019 to assess the impact of a five-week deposit cap that will accompany the tenant fees ban once introduced in June. Based on a five-week deposit cap, Rightmove has calculated that the cheapest deposits will be in the north-east at £630 per …

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How landlords can comply with licensing schemes

From ARLA PropertyMark The Private Rental Sector (PRS) is undergoing a revolution. Key to this sector are Houses in Multiple Occupation (HMOs): properties with 3 or more people, forming 2 or more households. HMOs often have the potential to generate higher yields for landlords than standard single dwellings and as such attract investors into the sector. They can also offer more affordable accommodation to tenants than single bed flats or studios thereby serving an important role in the PRS. There …

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Government consult on extending AML rules to lettings

From ARLA PropertyMark On 15 April 2019, the UK Government launched a consultation on extending the anti-money laundering rules to cover letting agents as set out in the Fifth Money Laundering Directive (5MLD). Under 5MLD, the scope of obliged entities within the property sector is expanded to include the letting agency sector for high value transactions with a monthly rent of 10,000 Euros or more. Why is this happening? The 5MLD, which was passed in June 2018 makes amendments to …

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Government plans to abolish Section 21

From ARLA PropertyMark The UK Government has announced plans to consult on new legislation to abolish Section 21 evictions – so called ‘no-fault’ evictions in England. This will effectively create open-ended tenancies, and lead to what the Government believe will be more effective means of getting their property back when they genuinely need to do so. Under the UK Government’s proposals, landlords will have to provide a concrete, evidenced reason already specified in law for bringing tenancies to an end. …

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Ability for landlords to reclaim properties ‘crucial to whole lettings industry’

March 28, 2019

From Property Industry Eye High profile landlord Fergus Wilson says that Section 21 – the ability of the landlord to reclaim possession of their property without having to state a reason – underpins the entire letting industry. Political factions oppose the so-called no-fault eviction, which has already been banned in Scotland. The Labour party says it will abolish it in England. Wilson, who has put the final part of his property portfolio on the market and is retiring from the …

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Tenants with pets facing rent hikes after fee ban as landlords look to claw back losses

March 27, 2019

From Property Industry Eye An agent is warning that having a pet could hike rents for tenants by as much as 3-4% per week once the fee ban is introduced in June. Its warning comes after the agent recorded a 25% increase in tenants letting with pets over the past five years. Lucy Morton, head of residential agency at JLL, said landlords and agents have typically charged a higher deposit to cover any damage and additional cleaning needed from having …

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Deposit scheme releases inventories guidance to avoid checkout disputes after tenant fee ban

From Property Industry Eye The Tenancy Deposit Scheme (TDS) has teamed up with Propertymark and the Association of Independent Inventory Clerks to compile guidance on the check-in and check-out process for tenants. TDS said its guide provides clarity regarding deposit deductions and disputes for agents and landlords who may have previously relied on outside bodies completing reports for them on the basis that the tenant would be covering some of the costs for the checks, which will no longer be …

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Continue to carry out Right to Rent checks

March 20, 2019

From ARLA In a letter from Rt Hon Caroline Nokes MP, Minister of State for Immigration, to ARLA Propertymark dated 15 March 2019 the Government has confirmed that there are no immediate changes to the operation of the Right to Rent policy and landlords and letting agents are still obliged to conduct checks as required in legislation. The letter was sent following the High Court’s judgment that the Right to Rent Scheme, introduced by the Immigration Act 2014 is incompatible with …

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HOMES ACT: ARE YOU READY TO COMPLY?

March 19, 2019

From the Association of Residential Letting Agents Tomorrow, the Homes (Fitness for Human Habitation) Act 2018 comes into force in England. Originally introduced by Karen Buck MP, ARLA Propertymark supported the legislation during its passage through Parliament. All social and private sector landlords or agents acting on their behalf will now be required to ensure that a property and its common areas are fit for human habitation at the beginning of the tenancy and throughout the duration of the tenancy. If …

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