Why Compliance Is Important For Landlords Now More Than Ever
While landlords have a lot of issues to consider, it is essential they, and their rental property, complies with all current legislation. A failure to do can see landlords penalised in a range of ways. These penalties can be highly inconvenient, and in more extreme cases, can lead to large financial penalties, and even landlords losing their right to let property and in the most extreme of situations, criminal penalties.
Therefore, it is essential landlords remain up to date. At Regal Estates, we aim to take some of the stress and inconvenience out of the practice.
Of course, with so many regulations to follow, and these pieces being updated regularly, and new legislation being announced, it is often a full-time role to stay in touch.
As an example, the new Model Tenancy Agreement means that landlords are no longer allowed to issue blanket bans on pets. This is an issue we have examined in greater detail elsewhere, but it is likely to be a hugely important issue in the rental market this year, and as we move forward.
Are you up to date with compliance matters?
The following compliance matters have come into effect recently or will be effective soon. Therefore, it is best landlords familiarise themselves with what is expected from them, and their rental property.
Electrical Installation Condition Reports (EICR)
As of 1st April 2021, EICRs are now applicable for all tenancies, not just new tenancies. With non-compliance penalties reaching up to £30,000 per property where the required remedial work is not carried out, it is imperative landlords ensure their rental property is up to standard.
A fully-qualified professional must be employed to carry out this test. At Regal Estates we have access to tried and tested qualified electrians.
Debt Respite Scheme
As of 4th May 2021, the Debt Respite Scheme is now in effect, and some landlords will be affected. This is a topic we have discussed in greater detail, but landlords should be aware that people suffering with persistent debt can now claim respite.
Assistance of up to 60 days on offer for successful applicants, providing tenants with more time to pay debt, including rent.
EU/EEA Nationals and their Right To Rent
With so much going on, some landlords might have forgotten about Brexit, and its impact on their business. As of the 1st July 2021, new EU/EEA applicants no longer have an automatic right to reside in the United Kingdom.
With the exception of prospective tenants from Ireland, all new applicants hailing from the EU/EEA will need to offer evidence which proves they have a right to rent in the UK.
This is not a retrospective measure, so landlords whose current tenants are EU/EEA residents will not have to acquire evidence of their right to remain in the UK.
Other legislative issues which might change in the near future include:
- The requirement surrounding carbon monoxide alarms
- The Renter Reform Bill, and subsequent abolishment of Section 21 notices
- Changes to the minimum rating associated with the Minimum Energy Efficiency Standards (MEES)
No matter the changes which occur in the rental market, you can rest assured Regal Estates will ensure you are fully informed.
If you are interested in our lettings or property management services or you are looking to buy, sell, let or rent property in or around North West London, call us on 020 8459 2530 and a member of our estate and letting agent team will be happy to help.