Landlords: Big changes are ahead

Just one in six landlords say they are fully prepared for the Renters’ Rights Bill, just months away from the legislation going live.

More than a third have either not heard of it or don’t know what it means for them, according to a new survey of 1,000 property investors.

Another 16 per cent have heard of it, but know very little about it, with 32 per cent saying they have a general understanding but still have questions.

The bill is entering its final stages in the Commons and is widely expected to be passed into law before the end of this month.

The changes in it are wide-ranging for landlords. It has been described as the biggest shake up to the private rented sector in more than 30 years.

The measures contained in the bill, include the abolition of Section 21 ‘no-fault’ evictions, a shift to open-ended periodic tenancies, and stronger Section 8 grounds for possession.

There will be limits on rent increases to once a year through a Section 13 notice, an end to rent bidding wars, a ban on asking more than one month’s rent upfront, plus new rights for tenants to request pets and protection from discrimination.

The government says that the bill will improve the current system for both the 11 million private renters and 2.3 million landlords in England. It says: “It will give renters much greater security and stability.”

The National Residential Landlords Association (NLRA) is advising its members to get ready for the changes.

That advice includes reviewing their portfolio, inspecting their properties and addressing any potential hazards.

It also says landlords should look at their processes around tenant referencing, advertising and logging complaints and issues.

And, if you use an agent to let or manage your properties, check they are ready for the changes.