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Industry News: Renters Reform Bill – The bullet points

Mortgage Solutions

The lowdown on the Renters' Rights Bill – part one: What's changing and when

“The long-awaited Renters’ Rights Bill – marking the most significant changes to the rental market for 30 years – has at last been given royal assent.” Click to read original article >>>

This is one of the better articles that lays out the basis of the rental Reform Bill that went into law today. There will surely be a great deal more discussion around the realities of this bill which we will cover, but here are the raw bullet points:

  • Section 21 no-fault evictions have been abolished. 4 months notice required if you plan to sell and if you cannot sell you cannot rent the property again for 12 months.
  • Periodic tenancies, or rolling contracts that don’t have an end date, will replace fixed-term tenancies.
  • Landlords can only up their rents once per year, and then this can only be to the market rate. You cannot accept a rent higher than advertised. You cannot charge multiple months upfront anymore.
  • A tenant must have missed three months’ payments before they can be evicted.
  • Landlords will be required to register themselves and their properties on a new digital database to legally let out their home and demonstrate they are compliant.
  • Tenants will now be able to complain for free to a dedicated private sector landlord ombudsman that will provide a binding resolution on disputes.
  • It’s illegal to enforce policies such as ‘no DSS permitted’ or ‘professionals only’ on rental adverts. Benefits can be considered when assessing a tenant’s affordability.

 

 

Picture of Author: Stuart Phillips

Author: Stuart Phillips

Fully CeMap qualified, Directly Authorised by the FCA and with over a decade of experience, Stuart has a wealth of experience in both specialist BTL and residential mortgages.

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