Tag: property for rent

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Another big finance institution enters Build To Rent sector

Another big finance institution enters Build To Rent sector

Royal London Asset Management Property has acquired 500 flats in Bracknell and Slough, marking its first investment into the Build To Rent sector.

They will be managed by the business’ newly launched residential property management platform, ProperTies Living.

The creation of ProperTies Living will enable Royal London Asset Management Property – part of the UK’s largest mutual life, pensions and investment company, – to maintain control of all aspects of the operation.

Royal London Asset Management Property is targeting a portfolio of 8,000 BTR units, prioritising suburban and commuter markets in what it calls “the UK’s largest cities, mid-sized regional cities and district centres.”

Whilst initial investments have focussed on blocks of flats, the strategy will also seek to deploy into family housing. The firs acquisitions are of a 349-flat site in Bracknell and a 151-flat building in Slough.

Aspire, a nine-storey apartment block on Herschel Street, Slough, was completed in spring 2024. Close to the high street and railway station, it features EPC ratings of B and above, with sustainable design elements including electric heating, air source heat pump hot water, LED lighting, and EV charging points.

Located close to the centre of Bracknell, The Beeches is scheduled for completion in the second quarter of 2027. The property will consist of 349 units across seven blocks, ranging from four to 16 storeys. Residents will pay for a 24/7 concierge, gym, amenity spaces, work-from-home areas, and a lounge, all set within a landscaped estate. To enhance construction efficiency, an offsite-manufactured panel wall system will be used. The development is targeting EPC ratings of A and B, along with BREEAM Excellent certification.

A spokesperson for Royal London Asset Management Property says: “We aim to generate long-term income for our pension customers by investing in future-proof, resilient assets across sectors. As the Build-to-Rent market strengthens and demand for high-quality homes in UK cities grows, now is the right time for us to enter the sector.

“The launch of our vertically integrated residential management business, ProperTies Living, is crucial to our movement into the residential sector. In keeping with our commitment to being a responsible investor, it will allow us to be closer to our occupiers, understanding their needs and ensuring that our product provides a high standard of living for generations to come.”

Original Post: https://www.landlordtoday.co.uk

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10 Tips for a Successful Rental Home Search in London

How Much Can I Borrow for a Home Loan 2

Finding a rental property in London can feel like a daunting task, especially if you’re new to the city or unfamiliar with the process. London’s vibrant rental market offers a variety of homes, ranging from modern apartments to traditional houses, all set against the backdrop of one of the world’s most dynamic cities. However, to secure the ideal rental property that suits both your budget and lifestyle, it’s essential to have a strategy in place.

In this guide, we’ll share essential tips to help you streamline your rental home search in London. Whether you’re a first-time renter or a seasoned tenant, these tips will help you navigate London’s rental market with confidence.

1. Start Your Search Early

The London rental market moves quickly, with desirable properties often being snapped up in a matter of days. Starting your rental home search early gives you more time to explore different neighbourhoods, compare prices, and arrange viewings. Aim to begin your search at least 6-8 weeks before your intended move-in date. This allows you to get a good sense of what’s available within your budget and avoid the pressure of making hasty decisions.

Ready to start your home search? Browse through Homesearch Properties today to explore current listings in London and book a viewing.

2. Determine Your Budget

Before diving into your search, it’s crucial to have a clear understanding of your budget. London is known for its high living costs, and rental prices vary significantly depending on the neighbourhood and type of property. Take into account not just the rent itself, but also other monthly expenses such as utility bills, council tax, internet, and transportation costs.

When setting your budget, consider setting aside at least 10% of your income for unexpected costs, like repairs or increases in rent. In general, it’s advised not to spend more than 30-40% of your monthly income on rent to ensure you have enough for other living expenses.

Need help finding a property within your budget? Use our advanced search filters on the Homesearch Properties  website to customise your search.

3. Choose the Right Neighbourhood

London is a vast city with a variety of neighbourhoods, each offering its own unique character, amenities, and pricing. Choosing the right area is just as important as choosing the right property. Consider factors like proximity to work, public transport links, schools (if you have children), and local amenities such as supermarkets, parks, and cafes.

Some popular areas for renting in London include:

  • East London: Trendy and increasingly popular with young professionals, areas like Shoreditch and Hackney offer a mix of vibrant nightlife, markets, and art galleries.
  • South London: Areas like Clapham and Brixton offer a diverse and lively atmosphere with great transport links into the city.
  • West London: Known for its more affluent vibe, neighbourhoods like Notting Hill and Kensington are ideal if you’re looking for picturesque streets and high-end boutiques.
  • North London: Camden and Islington offer a mixture of culture, nightlife, and excellent schools, making them popular with both young professionals and families.

Not sure which neighbourhood suits you best? Explore our detailed area guides on the Homesearch Properties London website to find the perfect location for your next rental home.

4. Know What to Look for During Viewings

When viewing properties, it’s important to keep an eye out for key details that could affect your living experience. While it’s easy to get caught up in the excitement of a new home, make sure to thoroughly inspect the following:

  • General Condition: Look for any signs of damp, mould, or structural issues. Check windows for drafts and make sure all appliances (such as ovens, fridges, and washing machines) are in working order.
  • Security: Check that all doors and windows have secure locks. If you’re viewing a flat, ask about the building’s security measures, such as a secure entry system or CCTV.
  • Heating and Water Systems: Make sure the heating system is in good condition and that there’s adequate insulation to keep the property warm during colder months. Additionally, check that the water pressure and heating work well, especially in older properties.
  • Noise Levels: London can be a busy city, so pay attention to noise levels both inside and outside the property. Ask the landlord or agent about any known noise issues, such as construction work or noisy neighbours.

Call to Action: Find your ideal rental home in London with peace of mind. Browse verified listings on Homesearch Properties  to schedule a viewing today.

5. Understand Your Legal Rights as a Tenant

Renting in London comes with certain legal protections. As a tenant, you have rights under the law, and it’s important to be aware of these when signing a tenancy agreement. Here are a few key points to keep in mind:

  • Tenancy Agreement: This contract outlines the terms of your rental, including rent amount, deposit, and length of tenancy. Make sure you read it carefully and understand all clauses before signing.
  • Deposit Protection: Your landlord is legally required to place your deposit in a government-backed tenancy deposit protection scheme. This ensures that your deposit is returned at the end of your tenancy, provided no damages or unpaid rent are due.
  • Repairs and Maintenance: Your landlord is responsible for maintaining the property in a habitable condition. If any essential repairs are needed (such as plumbing or electrical issues), it’s their responsibility to fix them.
  • Eviction Notice: Your landlord must give you proper notice if they wish to terminate your tenancy, typically two months for most assured shorthold tenancies.

Need more advice on renting? Visit our Homesearch Properties  blog for tenant resources and expert guidance.

6. Be Ready to Act Fast

As mentioned earlier, London’s rental market moves quickly. Once you find a property you like, it’s crucial to act fast. Have all necessary documents ready to submit to the landlord or letting agent, such as proof of income, references from previous landlords, and a copy of your passport or visa.

Some landlords or letting agencies may request a holding deposit to take the property off the market while your application is processed. This is typically equivalent to one week’s rent, and it’s refundable or deducted from your first month’s rent if your tenancy is finalised.

Get ahead of the competition! Register on Homesearch Properties London to receive instant alerts on new listings that match your preferences.

7. Use a Reputable Letting Agent

Navigating the London rental market can be overwhelming, especially if you’re unsure where to start. A reputable letting agent can simplify the process and provide you with access to properties that might not be listed on the open market. Agents also have experience dealing with landlords and can help you negotiate terms, making the rental process smoother for you.

When choosing a letting agent, ensure they are registered with a recognised professional body, such as ARLA Propertymark or the National Approved Letting Scheme (NALS). This provides peace of mind that the agent is adhering to high standards of professionalism.

Looking for trusted letting agents in London? Contact the team at Homesearch Properties today to get expert help with your rental home search.

8. Understand the Costs Involved

In addition to monthly rent, there are several upfront costs associated with renting a home in London that you need to budget for:

  • Holding Deposit: As mentioned earlier, this is usually equivalent to one week’s rent and is held while your tenancy agreement is being processed.
  • Security Deposit: This is usually capped at five weeks’ rent for most properties.
  • First Month’s Rent: Many landlords require the first month’s rent to be paid upfront.
  • Moving Costs: Factor in the costs of moving services, transportation, and any new furniture or appliances you might need.

Be sure to factor in these costs so you’re financially prepared to secure your new home.

Ready to take the next step? Explore available properties at Homesearch Properties and find your new rental home today.

9. Consider Short-Term vs Long-Term Tenancies

London’s rental market offers a range of tenancy options, and it’s worth considering what’s best for your situation. Short-term tenancies are great if you’re only staying in the city for a few months, whereas long-term tenancies offer more stability. Make sure the tenancy length works for you, and don’t be afraid to negotiate if you prefer a longer or shorter contract.

Whether you’re looking for a short-term or long-term rental, Homesearch Properties  has a range of flexible options to suit your needs.

10. Stay Organised

Finally, staying organised throughout the home search process is key. Keep track of properties you’ve viewed, the pros and cons of each, and any important deadlines for securing your new home. This will help you stay on top of your rental home search and ensure that you don’t miss out on your ideal property.

Simplify your rental home search in London with Homesearch Properties. Save your favourite listings, set up alerts, and get expert advice to make your next move stress-free.

Renting in London doesn’t have to be overwhelming. By following these tips and working with a trusted letting agent, you can make your rental home search as smooth as possible. Whether you’re looking for a modern flat in the heart of the city or a cosy home in a quiet suburb, your ideal property is out there waiting for you. Start your journey with Homesearch Properties and find the perfect home today.

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How the Renters’ Rights Bill differs from the Renters (Reform) Bill

How the Renters’ Rights Bill differs from the Renters (Reform) Bill

Is the Renters’ Rights Bill much different from the Renters (Reform) Bill, on whose shoulders it stands?

In this blog post, I compare the new Renters’ Rights Bill and the Renters (Reform) Bill in a user-friendly side-by-side table to make it easy to see what is new, what has changed and what has gone. I then expand on the differences between the two Bills in the text, to explain what it means for landlords.

This analysis of the Renters’ Rights Bill is one of the first, if not the first, to be published. I’m happy for people to take inspiration from my analysis for their own content, provided they properly credit my efforts with a backlink 😊

At a glance: Renters’ Rights Bill versus Renters (Reform) Bill

Side-by-side comparison of Renters’ Rights Bill with Renters (Reform) Bill

Although the Renters’ Rights Bill is very similar to the Renters (Reform) Bill, there are some significant differences.

This table compares the key provisions side-by-side to show how the Renters’ Rights Bill compares and contrasts with the Renters (Reform) Bill to make it easier to spot the differences at a glance. I go into the detail in the rest of the blog post.

 

Key provisions Renters (Reform) Bill Renters’ Rights Bill
Abolition of Section 21 Yes Yes
Lord Chancellor’s assessment of county court eviction process before Section 21 abolished for existing tenancies Yes No
Abolition of fixed term tenancies Yes Yes
Minimum 6 month tenancy Yes No – tenant can terminate with 2 months’ notice at any time
Abolition of Assured Shorthold Tenancies, conversion to Assured Tenancies Yes Yes
Rent increase only by Section 13 notice Yes Yes
Change to power of First-tier Tribunal to determine new rent No Yes – FTT cannot increase rent higher than proposed rent
Right for tenant to request consent to keep pet Yes Yes – shorter timelines for response from landlord
No bans on children or benefit claimants Yes Yes
Requirement for advertising to state proposed rent No Yes – new provision
Ban on inciting / encouraging / accepting offer for higher rent No Yes – new provision
Remedying hazards (Awaab’s Law) No Yes – new provisions extend it to private rented sector
Landlord Redress Scheme (Ombudsman) Yes Yes
PRS Database (Property Portal) Yes Yes
New offences for Rent Repayment Orders Yes Yes – PLUS additional offences
Increase of Rent Repayment Order maximum from 12 to 24 months’ rent Yes Yes
Closing the “AST Trap” for long leases Yes Yes
Decent Homes Standard for PRS Yes Yes
Notice periods for Section 8 Reduced Increased
New Mandatory Ground 1A (sale of property) Yes – after 6 months Yes – after 1 year
New Mandatory Ground 4A for student accommodation Yes – tenants are full-time students Yes, but only for HMOs
New Mandatory Ground 8A for serious repeated rent arrears Yes No
Wider wording for Discretionary Ground 14 for anti-social behaviour Yes No

What’s new in Renters’ Rights Bill – not in Renters (Reform) Bill?

Whilst the Renters’ Rights Bill is largely similar to the Renters (Reform) Bill, the Renters’ Rights Bill has a number of provisions that were not in the Renters (Reform) Bill or which differ that Bill. Most were trailed in Labour’s 2024 King’s Speech and were proposed by Labour as amendments at the Report Stage of the Renters (Reform) Bill:

1. Ban on encouraging or inviting rental bidding, or accepting higher rent

It’s no surprise that the new Bill contains wording that prohibits “rental bidding”, ie inviting or encouraging applicants to offer to pay rent that’s higher than the amount in the listing.

However, the Bill goes a little further in that it also stops landlords from accepting an offer from an applicant to “pay an amount of rent under the proposed letting that exceeds the stated rent”.

This means that even if a tenant offers to pay more than the stated rent, without any encouragement, the landlord won’t be able to accept it.

The prevention of rental bidding was mentioned in the King’s Speech, and Matthew Pennycook tabled an amendment to this effect at the Report Stage of the Renters (Reform) Bill.

The Bill gives the local authority the power to impose a fine of up to £7,000 if they are satisfied “on the balance of probabilities” that the landlord or agent breached this obligation.

2. Requirement for advertising to state proposed rent

There is a new obligation for landlords and letting agents to state the proposed rent when advertising the property for let. This is needed for the ban on rental bidding.

That said, there’s no requirement to state the rent on a “To Let” board outside of a property.

3. Changes to the Section 13 rent process

As expected, the Bill changes the powers of the First-tier Tribunal under Section 14 of the Housing Act 1988.

As the Guidance explains: “Currently, tenants face the risk that the Tribunal may increase rent beyond what the landlord initially proposed – we will end this, so tenants never pay more than what the landlord asked for”.

This means that if a tenant challenges a rent increase in a Section 13 notice at the First-tier Tribunal, if the market rent is higher than the rent in the s13 notice, the tribunal will not be able to increase the rent to the market rent, as is the case now.

This was referred to in the King’s Speech, and Matthew Pennycook tabled an amendment to the Renters (Reform) Bill with a similar effect at the Report Stage.

There are a couple of new details in the Bill. As the Guidance explains, the Bill will “end the practice of backdating rent increases – with the new rent instead applying from the date of the Tribunal determination”.

Also, the First-tier Tribunal will be able to delay the implementation of the rent increase by up to two months: “in cases of undue hardship, we will give the Tribunal the power to defer rent increases by up to a further 2 months”.

This will undoubtedly increase the number of appeals to the First-tier Tribunal, as tenants will have nothing to lose, and the start date of the higher rent will be delayed.

Related Post: The new rules about rent in the Renters’ Rights Bill

4. Remedying hazards (Awaab’s Law)

Again, this addition comes as no surprise because it was specifically mentioned in the King’s Speech.

“Awaab’s Law” is an amendment to Section 10A of the Landlord and Tenant Act 1985 which was introduced by Section 42 Social Housing (Regulation) Act 2023 to require social housing providers to remedy hazards within a certain timeframe. The law was introduced after the death of Awaab Ishak in 2020 caused by the inhalation of mould in his parents’ social housing flat.

There is no detail in the Bill about how Awaab’s Law will be implemented for the private rented sector.

However, the Guidance states: “We recognise that there are differences between the private and social rented sectors. We will carefully consider how best to apply Awaab’s Law to the private rented sector in a way that is fair, proportionate and effective for both tenants and landlords, and will consult on this. We will set out further detail on our plans in due course”.

Related Post: Awaab’s Law and other new social housing laws

5. Additional offences for Rent Repayment Orders

The Bill adds the following extra offences to the list in Section 40 Housing and Planning Act 2016, for which the First-tier Tribunal can impose a Rent Repayment Order, over an above those in the Renters (Reform) Bill:

  • Knowingly or recklessly mis-using a possession ground
  • Breach of restriction on letting or marketing a property
  • Tenancy reform: continuing breaches

Related Post: The new Rent Repayment Order rules in the Renters’ Rights Bill

What’s missing from Renters’ Rights Bill that was in Renters (Reform) Bill?

The Labour government has omitted from the Renters’ Rights Bill the following four key provisions that were in the Renters (Reform) Bill:

1. No minimum 6 month tenancy

One of the amendments to the Renters (Reform) Bill at the Report Stage was that tenants needed to wait 4 months before serving 2 months’ notice to quit, instead of serving 2 months’ notice at any time. This effectively created a minimum tenancy period of 6 months.

Jacob Young explained the reason for this in the Report Stage debate of the Reform Bill: “The change ensures that landlords are able to recover the costs of replacing tenants and will prevent tenants from using PRS properties as short-term or holiday lets”.

In the same debate, Matthew Pennycook criticised the clause for the following reason: “the proposed six-month initial period will not only trap large numbers of tenants in unsafe and unsuitable properties, but put at risk the coherence of the tenancy regime that is at the heart of the Bill”.

The Renters’ Rights Bill does not create a minimum period and renters can serve a notice to quit straight away, even on day one of the tenancy. In the parts of the country where Airbnb is popular, this will create concern for landlords.

The Explanatory Notes to the Rights Bill (para 176) say that the “default period of notice required is not less than two months before the end of a period of the tenancy”. A landlord can agree to a shorter period, either in the tenancy agreement or in a separate document”.

It also calls into question the business model of letting agents that charge a large up front sum of, say, one month’s rent for a tenant find. I foresee that even more landlords will use online letting agents and bypass high street agents.

2. No new Mandatory Ground 8A for serious repeated rent arrears

The new Mandatory Ground 8A for serious rent arrears in the Renters (Reform) Bill is not in the Renters’ Rights Bill.

This is not surprising. Labour criticised this provision during the passage of the Renters (Reform) Bill through parliament. Matthew Pennycook said in Committee that the case for the new Ground 8A was “threadbare” and “could lead to a great many vulnerable tenants being evicted. It is a punitive and draconian measure that will cause great hardship”.

He added that it had been incorporated into the Bill “purely at the behest of those voices in the landlord lobby who have been forced to accept, but are by no means happy about, the wider reforms contained in this legislation [the Renters (Reform) Bill].”

3. No wider wording for Discretionary Ground 14 for anti-social behaviour

The Renters (Reform) Bill included a slight change to Ground 14 to include tenant behaviours that are “capable of causing” nuisance or annoyance. At present, landlords need to show that behaviour was “likely to cause” a nuisance or annoyance.

When the Renters (Reform) Bill was in Committee, Matthew Pennycook said of the change to Ground 14: “the range of behaviours that might be interpreted as falling within the definition of ‘capable of causing nuisance or annoyance’ is so expansive that even families with high-spirited children renting privately might fall foul of it”.

This change to Ground 14 is not in the Renters’ Rights Bill.

4. No Lord Chancellor’s assessment before implementation of s21 abolition

When the Renters (Reform) Bill was at the Report Stage, the then Junior Housing Minister, Jacob Young, introduced a new clause that required the Lord Chancellor to assess the operation of the county court possession order process and enforcement before the abolition of Section 21 would apply to existing tenancies.

The then government had introduced this clause after concerns from Conservative backbenchers that the country courts would not be ready for the influx of applications for orders for possession under Section 8.

Matthew Pennycook criticised the new clause when the Bill was debated at the Report Stage on the grounds there was no timescale, no metrics, no obligations and nothing to compel the government to take measures “to make the courts ready for the new system”.

He added that they had “heard extensive evidence in Committee about the fact that the system is essentially working fairly well and is recovering well from covid”.

Unsurprisingly, there is no Lord Chancellor’s assessment in the Renters’ Rights Bill.

The government press release states “the Bill will abolish Section 21 evictions for both new and existing tenancies at the same time, giving all private renters immediate security and assurance”.

Which provisions are different in the Renters’ Rights Bill?

Here are the provisions that were in the Renters (Reform) Bill, but the detail of which has been changed in the Renters’ Rights Bill.

1. Longer notice periods for landlords using Section 8 possession procedure

The Renters’ Rights Bill has longer notice periods than the Renters (Reform) Bill for some Section 8 grounds for possession.

Here are some examples of the longer notice periods:

  • Ground 1 (occupation by landlord or family): 4 months from date of service of notice, instead of 2 months, and it cannot take effect in the first 12 months of a tenancy instead of 6 months in the Renters (Reform) Bill.
  • Ground 1A (sale of property): 4 months from date of service of notice, instead of 2 months, and it cannot take effect in the first 12 months of a tenancy, instead of 6 months in the Renters (Reform) Bill.
  • Ground 4A (student HMOs for occupation by full-time students): 4 months from date of service of notice, instead of 2 months
  • Ground 6 (redevelopment by landlord): 4 months from date of service of notice, instead of 2 months

On the other hand, the notice period for Ground 8 (serious rent arrears) is unchanged, remaining at 4 weeks from date of service of notice.

2. New Mandatory Ground 1A cannot take effect until 12 months into tenancy, instead of 6 months

Landlords will be happy that the new Mandatory Ground 1A in the Renters (Reform) Bill (which allowed landlords to obtain possession where they intended to sell) is also in the Renters’ Rights Bill.

However, whereas the notice could take effect at the 6 month stage of a tenancy under the Renters (Reform) Bill, the relevant date when the notice expires will need to be at least 12 months into the tenancy. The 12 months will start from the beginning of the tenancy, even if that’s before Royal Assent of the Bill or when it comes into effect. In other words the clocks won’t restart when the new regime comes into force.

Landlords will need to give 4 months’ notice instead of the 2 months in the Renters (Reform) Bill, as mentioned above.

There are tough rules to make sure landlords genuinely do want to sell. They won’t be able to re-market or re-let the property for 12 months from the date the notice is served until the date the notice expires, or from the date they serve the particulars of claim if they serve a possession claim.

This has teeth as landlords may be fined up to £7,000 by the local authority if they break these rules.

3. New Mandatory Ground 4A restricted to students in HMOs

The original version of Mandatory Ground 4A (student accommodation for occupation by students) in the Renters (Reform) Bill was limited to HMOs. This restriction was lifted in the Report Stage so that it would apply to all full-time students, and not just those living in an HMO.

The Renters’ Rights Bill limits Ground 4A to full-time students in an HMO, as per the original draft of the Renters (Reform) Bill. In other words, if a full-time student rents a property by themselves or with another full-time student, the landlord won’t be able to use Ground 4A. Equally, if even one of the students in the HMO is part-time (for instance, doing a part-time Masters or PhD, which is very common), this new ground won’t be available.

4. Change to Mandatory Ground 8 (serious rent arrears)

The Bill changes Ground 8 so that the rent arrears need to be three months, up from two months, both at the time the notice is served and at the hearing. The notice is 4 weeks, an increase from the 2 weeks at present.

There had been some speculation that this would become a discretionary ground or subject to a hardship test, but this is not the case.

5. Longer notice period for Section 13 rent increase

At present, a landlord can increase rent using a Section 13 notice on Form 4, giving at least one month’s notice to start at the beginning of a new rent period.

The Renters’ Rights Bill increases the notice period from one month to two months, and it won’t come into effect until a determination by the First-tier Tribunal, if the tenant chooses to challenge the increase.

Related Post: The new rules about rent in the Renters’ Rights Bill

6. Shorter time limits for landlords to approve pets

Instead of allowing landlords the 42 days to consider requests for consent to keep pets that was in the Renters’ (Reform) Bill, the time limit has been reduced to 28 days in the Renters’ Rights Bill.

Is there a new “hardship” test for Section 8 mandatory grounds for possession in the Renters’ Rights Bill?

No. During August, the Daily Telegraph claimed that ministers were “considering bringing in French-style ‘hardship tests’ that would have to be carried out before landlords could evict tenants, effectively banning evictions in cases where renters were found to be worse off”. The Telegraph did not quote a government source in the article.

Whilst we do not know if ministers were considering hardship tests, they are not in the Renters’ Rights Bill.

This means that for Mandatory Grounds, the courts will continue to have no choice but order possession where landlords can prove they satisfy the requirements of the relevant ground.

Related Post: How to evict tenants and obtain possession under Section 8

Are there rent controls in the Renters’ Rights Bill?

No. Landlords are free to increase their rent to whatever level they believe is appropriate. However, they will need to use the process in Section 13, and the First-tier Tribunal will continue to have the power to reduce any proposed rent if it is above the open market value for a similar property in that area.

The Ministry of Housing, Communities and Local Government confirmed in a press release on 15 August that it had “no plans whatsoever to devolve rent control powers”.

When will the Renters’ Rights Bill come into effect?

Unlike the Renters (Reform) Bill, the Renters’ Rights Bill will abolish Section 21 in one go “as quickly as possible”, with a single date, and not with the two-tier system in the Renters (Reform) Bill. In other words, a “big bang” date where all tenancy agreements will move to the new system on the same day.

Matthew Pennycook told the BBC on 11 September they hoped the Bill would “make very quick progress through the House of Commons and that we have that new tenancy system in place within the first half or around summer next year.” In other words, the Renters’ Rights Bill is likely to come into effect by the summer of 2025 at the latest.

The Guidance states that on the implementation date, “the new tenancy system will apply to all private tenancies – existing tenancies will convert to the new system, and any new tenancies signed on or after this date will also be governed by the new rules. Existing fixed terms will be converted to periodic tenancies, and landlords will no longer be able to serve new section 21 or old-style section 8 notices to evict their tenants. This single date will prevent a confusing 2-tier system, and give all tenants security immediately”.

The Guidance adds there will ensure a “smooth transition and avoid unnecessary ‘cliff edges’, for example maintaining the validity of rent increases and notices served prior to implementation”.

Related Post: Renters’ Rights Bill: What happens when?

Final thoughts

Instead of rushing a short Bill through parliament that would abolish Section 21 “no fault” evictions, the government have used the Renters (Reform) Bill to create the Renters’ Rights Bill.

As the table above shows, the government have not just done a cut and paste job, but have made a number of changes to address some of the issues they raised when the Renters (Reform) Bill was going through the House of Commons, particularly those at the Report Stage. They have also simplified the implementation with a “big bang” date.

Renters will be disappointed there is not a hardship test for Section 8 evictions, there are no rent controls, and landlords will still be able to evict them if they wish to sell up.

Landlords will be disappointed there is no 6 month minimum tenancy period, no fixed term period for student landlords, no additional serious rent arrears ground for possession and no linking of the abolition of Section 21 for existing tenancies to court reform. They will also be disappointed that even fair increases will be delayed if the tenants challenge them at the First-tier Tribunal.

On the other hand, many of the provisions from the Renters (Reform) Bill that will benefit the wider PRS remain in the Bill. These include the PRS database, Landlord Ombudsman, extending the Decent Homes Standard to the private rented sector and widening the scope of rent repayment orders. Although, for most of these, we await the detail.

Finally, landlords will be pleased that Labour have retained the new Mandatory Ground 1A from the Renters (Reform) Bill. This “no fault eviction” will enable landlords to obtain an order for possession if they want to sell their property. Having to wait 12 months into the tenancy before the notice can expire, instead of the 6 months in the Renters (Reform) Bill, seems to me to be a fair compromise.

Original Post: https://theindependentlandlord.com

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Record number of former rentals up for sale

New figures out today show the rental housing crisis is worsening – with the number of former rental homes up for sale hitting record highs

New figures out today show the rental housing crisis is worsening – with the number of former rental homes up for sale hitting record highs

The NRLA said the data, from property portal Rightmove, is bad news for all tenants looking for a home, with a bold new approach needed if the Government is to tackle the massive imbalance between supply and demand.

It says pro-growth taxation measures are vital to stem the tide, with NRLA Policy Director Chris Norris saying October’s Budget offers the perfect opportunity to introduce changes.

He said: “Today’s data will be a serious concern for all those renters struggling to find somewhere to call home.  With demand already massively outstripping supply, Rightmove suggests the situation is set to get worse.

“Every rental home that is sold simply exacerbates the imbalance between supply and demand. Whilst some of these properties will inevitably end up on the owner-occupied market, that will be of little comfort to those households struggling to access quality housing.

“What we need is a housing strategy that recognises the need for more of every type of property, including high quality homes for private rent. That’s why the Budget needs to announce pro-growth tax plans to meet the needs of renters across the country.”

Rightmove says the proportion of former rental properties moving into the sales market is at its highest on record, which indicates; “more landlords are selling up, some potentially driven by the mooted increase in Capital Gains Tax in the Autumn Statement on 30th October.”

What does the data say?

The findings show that:

  • 18% of properties now for sale were previously on the rental market, compared with 8% in 2010.
  • The hotspot is London, where nearly a third (29%) of homes for sale were previously for rent, followed by Scotland (19%) and the North East (19%)
  • The previous five-year average for homes moving from the rental to sales market in Great Britain is 14%, suggesting that this isn’t a sudden mass exodus of landlords
  • The number of new properties coming to the market for sale is now 14% ahead of last year.

More information

Original Post from https://www.nrla.org.uk

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Airbnb boss reveals plans to go into longer-term property rentals

CEO of Airbnb Brian Chesky

Landlords may soon be able to rent their homes out via Airbnb to more than just holiday makers, its co-founder has revealed.

The CEO of Airbnb Brian Chesky (main image) yesterday told a conference in the US that he considers ‘longer term rentals’ of more than 28-days duration to be the next big growth area for his renting platform.

He said that longer-term rental now account for up to a fifth of all bookings on Airbnb, a trend spurred on by the pandemic, and that he wants to focus the business on rentals of up to three months.

“Offering significant more things is the future of this company,” he said, going on to say that he was “100%” looking at residential lettings of more than 30-days as a new market. “This is going to be a huge opportunity,” he added.

This would put him in direct competition with the many letting agencies all over the world who offer ‘corporate lets’ and is clearly a landlord market that he wants to dive into, namely rentals of between 30 and 90 days.

Crackdowns

But Chesky’s comments are also an attempt to dodge the crackdowns many city and holiday hotspot councils have introduced as many landlords have switched to the much-more profitable holiday lets market, which offers revenues of up to five times normal ‘long-term’ lettings, albeit with more work and costs attached too.

Labour recently announced that it intends to bring in a national registration scheme for holiday lets as well as the requirement for all new holiday lets to gain planning permission before they can be marketed via platforms such as Airbnb and Booking.com.

Watch the interview in full.

Original Post from landlordzone.co.uk

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Different Places : Cheapest Area to Rent in London?

Different Places - Cheapest Area to Rent in London

London, one of the world’s most vibrant and diverse cities, is also notorious for its high cost of living, particularly when it comes to renting. For many, finding affordable property to rent in London can seem like a daunting task. However, with careful research and the use of effective home search sites, it is possible to discover pockets of affordability within the capital. This article explores some of the cheapest areas to rent in London, providing insight into where you might find the best value for your money.

Different Places : Cheapest Area to Rent in London?

1. Why Renting in London Can Be Expensive

Before delving into the most affordable areas, it’s essential to understand why renting in London is so expensive. London’s property market is influenced by several factors:

Demand and Supply: London’s status as a global financial hub attracts people from all over the world, creating a high demand for rental properties. However, supply often struggles to keep up with this demand, driving up prices.

Location and Connectivity: Areas closer to the city centre or with excellent transport links command higher rental prices due to their convenience and accessibility.

Amenities and Lifestyle: Locations with desirable amenities, such as parks, shops, restaurants, and cultural attractions, tend to be more expensive.

Despite these challenges, there are still areas within London where rental prices are more reasonable, especially if you are open to living slightly further from the city centre.

2. Barking and Dagenham

Barking and Dagenham is consistently one of the most affordable boroughs in London for renters. Situated in East London, this area offers a blend of residential, industrial, and green spaces, making it an attractive option for those looking to save on rent.

Rental Prices: The average rental price in Barking and Dagenham is significantly lower than the London average. One-bedroom flats can often be found for less than £1,000 per month, while larger properties are also more affordable compared to other London boroughs.

Transport Links: Barking and Dagenham are well-connected to central London via the District Line, Hammersmith & City Line, and National Rail services, making it a viable option for commuters.

Local Amenities: The area boasts good local amenities, including parks, shopping centres, and community facilities. The presence of green spaces like Barking Park and the proximity to the River Thames add to the area’s appeal.

For those conducting a rental home search in London, Barking and Dagenham should certainly be on the radar.

3. Croydon

Croydon, located in South London, is another area where rental prices are relatively low. It’s a large borough with a mix of urban and suburban areas, offering a variety of property types from modern apartments to traditional houses.

Rental Prices: In Croydon, you can find one-bedroom flats for around £1,100 per month, with larger homes available at competitive rates compared to other parts of London.

Transport Links: Croydon is a major transport hub with excellent connections to central London and beyond. The area is served by fast trains to London Bridge and Victoria, as well as a tram network that connects to other parts of South London.

Local Amenities: Croydon has undergone significant regeneration in recent years, improving its retail, dining, and entertainment options. The Whitgift Centre and Boxpark Croydon are popular destinations for shopping and socialising.

Croydon’s combination of affordability and convenience makes it a popular choice for those using home search sites to find a property to rent in London.

4. Bexley

Bexley, situated in South East London, offers some of the most affordable rental options within Greater London. This suburban borough is ideal for families and professionals looking for a quieter lifestyle while still being within reach of the city.

Rental Prices: Bexley is known for its reasonable rental prices, with one-bedroom flats available for around £950 to £1,100 per month. Larger properties, including houses with gardens, are also more affordable here compared to central London.

Transport Links: Although Bexley is further out from central London, it has good transport links, particularly with National Rail services connecting to London Bridge, Cannon Street, and Charing Cross.

Local Amenities: Bexley offers a range of amenities including parks, good schools, and shopping facilities. The borough is also close to the Kent countryside, providing a rural escape for residents.

For renters prioritising space and affordability, Bexley is worth considering during your rental home search in London.

5. Sutton

Sutton, located in South West London, is another area where rental prices are lower than the London average. Known for its suburban feel and excellent schools, Sutton is particularly attractive to families.

Rental Prices: Rental prices in Sutton are among the lowest in London, with one-bedroom flats often available for around £1,000 to £1,200 per month. The area also offers a good selection of houses at reasonable rates.

Transport Links: Sutton has good transport links to central London, with regular train services to Victoria and London Bridge. The borough also benefits from easy access to the M25 and Gatwick Airport.

Local Amenities: Sutton boasts a range of amenities, including shopping centres, parks, and leisure facilities. The area is also known for its strong community feel and high-performing schools, making it an appealing choice for families.

Sutton’s affordability and family-friendly environment make it a strong contender for those searching for a property to rent in London.

6. Havering

Havering, located in East London, is another borough offering relatively low rental prices. This area combines suburban living with the convenience of being well-connected to central London.

Rental Prices: Havering offers some of the most affordable rental prices in London, with one-bedroom flats typically available for around £950 to £1,100 per month. Larger properties, including family homes, are also reasonably priced.

Transport Links: Havering benefits from good transport links, particularly with the Elizabeth Line (Crossrail) providing fast access to central London and beyond. The area is also well-served by bus routes and National Rail services.

Local Amenities: Havering offers a variety of amenities, including shopping centres, parks, and schools. The borough is also home to several historic sites and green spaces, adding to its appeal as a residential area.

For those looking for affordable rent in a well-connected area, Havering is a strong option to consider during your rental home search.

7. Hillingdon

Hillingdon, located in West London, is one of the capital’s larger boroughs and offers a range of affordable rental properties. The area is popular with those seeking more space and a suburban lifestyle.

Rental Prices: Rental prices in Hillingdon are relatively low, with one-bedroom flats available for around £1,100 to £1,300 per month. The area also offers a variety of larger properties, including houses with gardens, at competitive rates.

Transport Links: Hillingdon has good transport links, particularly with the Uxbridge branch of the Metropolitan Line and the Piccadilly Line providing access to central London. The area is also close to Heathrow Airport and the M25.

Local Amenities: Hillingdon offers a wide range of amenities, including shopping centres, parks, and schools. The borough is also home to several large green spaces, making it an attractive option for those who enjoy outdoor activities.

Hillingdon’s combination of affordability and convenience makes it a popular choice for renters using home search sites to find a property to rent in London.

8. Redbridge

Redbridge, located in North East London, is another area where rental prices are lower than the London average. The borough is known for its green spaces, good schools, and diverse community.

Rental Prices: In Redbridge, you can find one-bedroom flats for around £1,000 to £1,200 per month, making it one of the more affordable areas in London. Larger properties, including family homes, are also competitively priced.

Transport Links: Redbridge is well-connected to central London via the Central Line, which provides fast access to the city. The area is also served by the Elizabeth Line, enhancing its appeal for commuters.

Local Amenities: Redbridge offers a range of amenities, including parks, shopping centres, and cultural attractions. The area is also known for its excellent schools, making it a popular choice for families.

For those conducting a rental home search in London, Redbridge offers a balance of affordability and convenience.

9. Newham

Newham, located in East London, has become increasingly popular in recent years due to its relatively affordable rental prices and ongoing regeneration projects.

Rental Prices: Rental prices in Newham are generally lower than the London average, with one-bedroom flats available for around £1,100 to £1,300 per month. The area also offers a variety of larger properties at competitive rates.

Transport Links: Newham is well-connected to central London and beyond via the Jubilee Line, District Line, Hammersmith & City Line, and the DLR. The area is also served by the Elizabeth Line, providing fast connections to key locations across the city.

Local Amenities: Newham has seen significant investment in recent years, particularly in areas like Stratford, which has become a major shopping and entertainment hub. The borough also offers a range of parks, schools, and cultural attractions.

Newham’s affordability and ongoing development make it a strong option for those searching for a property to rent in London.

10. Enfield

Enfield, located in North London, is another area where rental prices are relatively low. The borough offers a mix of suburban and urban living, with good transport links to central London.

Rental Prices: Enfield offers some of the most affordable rental prices in North London, with one-bedroom flats typically available for around £1,100 to £1,300 per month. Larger properties are also reasonably priced compared to other parts of the capital.

Transport Links: Enfield is well-connected to central London via National Rail services, with trains to Liverpool Street and Moorgate. The area is also close to the M25, making it convenient for those who need to travel outside London.

Local Amenities: Enfield offers a range of amenities, including shopping centres, parks, and schools. The borough is also home to several historic sites and green spaces, adding to its appeal as a residential area.

For those looking for affordable rent in a well-connected area, Enfield is a strong option to consider during your rental home search.

Conclusion

While London is known for its high rental prices, there are still areas where you can find affordable properties. Barking and Dagenham, Croydon, Bexley, Sutton, Havering, Hillingdon, Redbridge, Newham, and Enfield all offer lower-than-average rental prices, making them ideal locations for those looking to rent in the capital.

Using effective home search sites can help you identify the best deals and navigate the rental market with confidence. By considering these affordable areas and understanding the factors that influence rental prices, you can make an informed decision during your rental home search in London. Whether you’re a young professional, a family, or someone looking to downsize, there’s likely a rental option that meets your needs and budget in these more affordable parts of the city.

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Labour tax change for holiday lets will hit local economies – claim

Labour tax change for holiday lets will hit local economies - claim

The abolition of the furnished holiday lettings tax regime – confirmed earlier this week – will punish local economies, according to the Country Land and Business Association.

The CLA’s statement follows the UK government’s publishing of draft legislation to remove the FHL tax regime from April 2025.

The measure was originally floated by former Chancellor Jeremy Hunt at his Budget in the spring, but the necessary legislation did not pass before the General Election. However, this week the new Labour government published paperwork saying the change would still happen from spring next year.

From April loan interest income tax relief will be restricted to basic rate for all holiday let owners; capital allowances will not be available for new expenditure but will be replaced with relief for replacing domestic items; there will be no business CGT reliefs on chargeable gains on disposing of property; and income from holiday lets will be excluded when calculating maximum pension relief.

There will be some transitional arrangements – chief existing holidays lets will continue to benefit from capital allowances on expenditure already incurred; losses generated from a holiday lets business can be carried forward and set off against other property rental income; and roll-over relief, business asset disposal relief, gift relief, relief for loans to traders and exemptions for disposals by companies with substantial shareholdings will remain available to current qualifying lets so long as certain conditions are met.

However, the overall picture is that the change will remove many of the tax advantages that landlords who offer short-term holiday lets have over those who provide standard residential properties.

CLA president Victoria Vyvyan says that, in the case of farmers and landowners, diversification into the holiday lettings market is a business necessity.

“The short-term rental and holiday let sector contributes billions to the wider economy, supporting local shops and restaurants and creating tens of thousands of jobs. Abolishing the furnished holiday lets regime will only punish people who are helping to grow local economies.

“It is far from a tax loophole, providing a crucial support mechanism, strengthening the resilience and viability of many rural businesses that in turn enables them to invest in their work looking after the environment and feeding the nation.”

By converting unused or underutilised properties, that may not be suitable as homes in the private rented sector, into high-quality holiday accommodations, property owners contribute to the local community’s economic vitality, Vyvyan believes.

“Why are small rural businesses being punished for diversifying? This sweeping approach needs a far closer scrutiny of the perceived problem.”

Original Post from landlordtoday.co.uk

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Labour confirms minimum EPC ‘band C’ for rented homes

Labour confirms minimum EPC 'band C' for rented homes

Labour has confirmed that it will require all private sector landlords to bring their properties up to a minimum Energy Performance Certificate (EPC) band C by 2030.

Energy Security and Net Zero minister Miatta Fahnbulleh (main image, inset) told MPs that “this government is committed to reducing the number of fuel poor households in England.

“We will require landlords to improve their properties to Energy Performance Certificate band C by 2030.

“Ensuring warmer, healthier private rented homes will lift many families out of fuel poverty and reduce energy bills.”

This follows a promise by her boss, Ed Miliband earlier this summer that “the House should be in no doubt about our ambition to cut the number of people in fuel poverty as much as possible during the five years of this parliament”.

“More than 3 million people are in fuel poverty in our country.”

EPC required

At the moment, any property in England, Scotland or Wales that is either being built, marketed for sale or let as an entire property requires an Energy Performance Certificate (EPC).

Since the 1st of October 2008, landlords letting whole properties must have a valid EPC rated at ‘E’ or above to provide to prospective tenants.

EPCs are valid for ten years. After this time, landlords are only required to get a new EPC if they are re-letting to a new tenant.

But Labour has rowed away from one key ‘Net Zero’ issue – setting a deadline for the replacement of gas boilers with greener alternatives, saying that “nobody will be forced to rip out their boiler as a result of our plans”. The Tories proposed such a policy but U-turned during July 2023.

Original Post from landlordzone.co.uk

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Cheapest Areas to Rent in London in 2024: Affordable Living in the Capital

CHEAPEST AREAS TO RENT IN LONDON IN 2024 AFFORDABLE LIVING IN THE CAPITAL

London, the dynamic capital of the United Kingdom, offers a truly unique living experience that combines historical charm with the vibrancy of modern life. As a global city, it stands out for its incredible diversity, cultural richness, limitless opportunities and vibrant metropolis known for its rich history, diverse culture, and dynamic economy, also carries a reputation for high living costs.

Whether you’re considering moving to London or just curious about what it’s like to live in this bustling metropolis.

Here’s a glimpse into life in the City of London.

Unmatched Cultural Tapestry

London is celebrated for its vast cultural offerings. From world-class museums like the British Museum and the Tate Modern to historical sites such as the Tower of London and Buckingham Palace, the city is a treasure trove of activities. The West End’s glittering stages offer nightly performances ranging from timeless musicals to cutting-edge plays, making it a hub for theatre enthusiasts.

Culinary Delights

Foodies will find themselves at home amidst London’s culinary scene that features dishes from around the globe. Borough Market and Camden Market serve up a variety of street foods that reflect the city’s multicultural makeup. For those who enjoy fine dining, London boasts numerous Michelin-starred restaurants.

Green Spaces

Despite being an urban environment, London is surprisingly green. Residents and visitors alike enjoy the expansive parks and gardens scattered throughout the city. Hyde Park, Regents Park, and Hampstead Heath offer peaceful retreats from the urban hustle, providing spaces for picnics, sports, and leisurely strolls.

Economic Hub

London is a leading global city in the finance and business world. The City of London, known as the Square Mile, is the financial district where multinational corporations and major financial institutions, including the Bank of England, are located. This economic prowess makes London a city of opportunity with a dynamic job market.

Education and Learning

The city is a focal point for education, boasting some of the world’s leading universities and colleges like Imperial College London, London School of Economics, and University College London. The opportunities for academic advancement make it an attractive city for students from all over the world.

Transportation Links

London’s transport system is iconic, featuring the London Underground—the oldest underground railway network in the world. The extensive public transportation network also includes buses and river services, making it easy to navigate the city without a car.

Living Arrangements

Living in London offers a range of residential options, from Victorian terraced houses to modern apartments in towering skyscrapers. Neighborhoods like Notting Hill, Greenwich, and Shoreditch each offer their own unique character and lifestyle, catering to different tastes and preferences.

Cheapest areas to Rent in London in 2024

Even in such an expensive city, there are pockets where affordability is still a reality. In 2024, amidst fluctuating economic conditions, many prospective renters are seeking areas within London that are not only cost-effective but also offer a good quality of life. Here, we explore some of the cheapest areas to rent in London, focusing on their unique attributes and why they might be the right choice for budget-conscious residents.

1. Barking and Dagenham

Barking and Dagenham remains one of the most wallet-friendly boroughs in London. Known for its ongoing regeneration efforts, the area has seen a significant transformation over recent years. The average rent in Barking and Dagenham is considerably lower than the London average, making it an appealing option for those looking to save on housing costs. The borough boasts several green spaces, like Barking Park and Dagenham Chase, providing a breath of fresh air away from the city hustle.

 2. Croydon

South of the city center, Croydon offers a blend of affordable living with a touch of modern urban renewal. It is rapidly becoming a sought-after destination for both families and young professionals due to its relatively low rent, excellent transport links, and burgeoning arts scene. Croydon hosts Boxpark, which provides a contemporary space for dining and entertainment, drawing both locals and visitors alike.

 3. Sutton

Sutton is known for its safety, green spaces, and outstanding schools, making it ideal for families looking for an affordable suburb in London. The area offers a quieter lifestyle compared to the city’s bustling center, with rent prices that are attractive to those on a budget. Sutton’s commitment to environmental sustainability also makes it appealing to environmentally conscious renters.

 4. Havering

Bordering Essex, Havering combines the allure of suburban life with affordability. It is perfect for those who prefer a slower pace of life but still require easy access to central London. With its ample parks and open spaces, Havering offers a scenic backdrop for its residents. The area’s affordability does not compromise on the variety of local amenities and schools, making it a practical choice for families.

 5. Enfield

Located in North London, Enfield offers a balance between urban and rural living. The area’s rents are competitive, and it appeals to both families and young professionals. Enfield has numerous parks and historical sites, including the famous Forty Hall Estate and Whitewebbs Park, offering plenty of recreational activities for its residents.

 6. Lewisham

Lewisham is an up-and-coming area that has benefited from significant investment and redevelopment. It offers some of the most reasonable rental prices in South London. With improvements in local infrastructure and amenities, Lewisham is becoming more attractive to renters looking for value without straying too far from the city center.

 7. Hounslow

West of London, Hounslow provides affordable rental options with the added advantage of proximity to Heathrow Airport, making it ideal for frequent travelers. The area has a diverse community and offers a variety of culinary delights, shops, and parks, which contribute to its appeal.

 8. Waltham Forest

Waltham Forest, an area with a strong community vibe and rich cultural heritage, has seen its profile rise since being named the first London Borough of Culture in 2019. The area’s regeneration efforts have boosted its appeal, with more affordable housing projects and community initiatives enhancing its livability.

Conclusion

While London’s rental market can be daunting due to high prices, these areas demonstrate that affordable options still exist. By choosing locations like Barking and Dagenham, Croydon, or Hounslow, renters can enjoy a lower cost of living without sacrificing the benefits of residing in one of the world’s most dynamic cities. As we look towards the future, these boroughs provide promising opportunities for both saving money and enjoying a high quality of life in London.

For more insights and assistance on finding your ideal rental property in London, consider reaching out to experts at Homesearch Properties, who specialize in helping clients navigate the complex landscape of the London property market.