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Tribunal slams ‘reprehensible’ landlord who illegally evicted nurse

July 29, 2024July 29, 2024 interestratesinfo

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A landlord who sub-let an unlicensed HMO, failed to pay thousands of pounds in rent to the owner and illegally evicted a tenant has been handed a £4,872 rent repayment order.

The tenant – a nurse at a nearby hospital – moved in during December 2020, paying £550 per month and a deposit of £580, a First Tier Property Tribunal heard.

He shared the four-bedroom house in Croydon Road, Wallington (main image), with five other men, and said landlord Samuel Babajide Saibu did not live there.

The tenant was given two weeks’ notice in December 2022 but refused to leave as he needed more time to find somewhere else and paid the rent in January 2023. Saibu changed the locks, meaning that the tenant had difficulty recovering his possessions, and didn’t repay the deposit or the last month’s rent.

Meet Generation Rent: Three in 10 younger Brits prefer to rent than buy a home

July 29, 2024July 29, 2024 interestratesinfo

New research reveals three in 10 Brits aged 18-34 can afford to buy a home but choose to rent, with renting a big topic of focus for the Labour party following their landslide victory, which includes plans to protect tenants more and new energy efficient targets.The research, conducted by popular rental brand UNCLE, has delved into British renters’ stance on renting vs homeownership. Being financially stable enough to get a foot on the property ladder is a huge factor when it comes to buying a home. However, UNCLE’s research found…

RENTERS (REFORM) BILL: YOUR COMPLETE GUIDE

July 22, 2024July 22, 2024 interestratesinfo

The Renters (Reform) Bill is one of the most significant pieces of legislation for private renters and landlords in the past 30 years. First introduced to parliament on 17 May 2023, the Bill went through the House of Commons for the final time at the end of April 2024.

The Bill is now in the House of Lords and will face another five stages before it will enter Royal Assent and become law.

The Renters (Reform) bill has generated diverse responses from MPs, tenants, landlords, and letting agents. The main headline in the media has been the proposed abolition of Section 21 (so-called “no-fault” evictions).

Labour’s Renters Rights Bill – the government explains

July 22, 2024July 22, 2024 interestratesinfo

The government has released more information on its new Renters Rights Bill, which is expected to be launched into Parliament in the autumn.

Only brief reference to the Bill was made in this week’s King’s Speech, when the Sovereign said: “Legislation will be introduced to give greater rights and protections to people renting their homes, including ending no fault evictions and reforming grounds for possession.”

But the government has now released background notes on this measure, and all others announced in the speech.

Buy-to-let mortgage market has shrunk ‘amid challenges for landlords’

July 22, 2024July 22, 2024 interestratesinfo

Strong rental demand and lending standards could mean the buy-to-let sector emerges from the downturn sooner than expected, UK Finance said.

The volume of lending for buy-to-let (BTL) house purchases more than halved over the course of 2023, according to a banking and finance industry body.

The number of new mortgage deals being granted for this purpose fell from 25,280 in the fourth quarter of 2022 to 12,422 in the first quarter of this year.

Rapidly rising interest rates played a major role in this trend, making it harder for those looking to buy a BTL property to pass lenders’ affordability tests, UK Finance said.

Labour to bring back housebuilding targets

July 15, 2024July 15, 2024 interestratesinfo

She promised her government would build 1.5 million homes over the next five years, as pledged in Labour’s election manifesto.

The party is set to reintroduce compulsory housebuilding targets, encourage development of poor-quality areas in the green belt known as ‘grey belt’ land, and make extra funds available for hundreds of new planning officers.

Speaking to business leaders at the Treasury on Monday, Reeves promised to focus on kickstarting economic growth in part by overhauling the planning system to speed up the delivery of more housing.

However, Reeves warned that this was not a “green light” to any kind of housing development, and that the right “mix” of affordable housing and homes for social rent would be built.

Birmingham City Council licensing scheme cracks down on rogue landlords

July 15, 2024July 15, 2024 interestratesinfo

Birmingham City Council is urging landlords to register their properties under new licensing schemes, or risk facing fines of up to £30,000.

The move comes as part of a broader initiative to enhance the quality and safety of rental housing within the city.

The legislation, which has been active for over a year, requires that all rental properties meet specific licensing requirements.

Landlords who fail to comply with these regulations not only face hefty fines but also expose themselves to Rent Repayment Orders (RROs) from tenants. These orders can allow tenants in unlicensed properties to reclaim up to 12 months of rent from their landlords.

Councillor Jayne Francis, cabinet member for housing and homelessness, said that the rules have been made clear and it is the responsibility of landlords to ensure that their properties have the correct licensing.

Renters could be ‘banned’ from working from home by landlords

July 15, 2024July 15, 2024 interestratesinfo

A new report suggests more landlords than ever before are imposing bans on working from home on their tenants. Whether its due to insurance or other reasons, such as consideration of other tenants, this could have a significant impact on both employees and employers.

Kate Palmer, Employment Services Director at Peninsula, says: “For some businesses, the days of having a physical base are gone because all their employees work from home. For other businesses, remote working may be something that they will need to consider more about in the future.

“This is because one of the pledges that the new government has made is that they plan to make flexible working the default from day one for all workers, except where it is not reasonably feasible.

Number of 55-64 year old renters soars by 80%: TMW

July 15, 2024July 15, 2024 interestratesinfo

The number of 55-64 year old renters in England has jumped by 80% over the decade to 2023, a new report from The Mortgage Works has found.

There has also been a 45% increase in the number of renters aged 45-54 over the same period and a 46% increase in renters aged 65 and over.

Meanwhile, the number of renters aged 35-44 climbed by 12% and the number aged 25-34 actually dropped by 4% over the same timeframe.

Home ownership among 55-64 year olds peaked in 2007 and has fallen by around 10% since then.

London led the rise in private renting across the country, due to high house prices and higher mortgage costs.

In the capital 30% of households are renters, which is nearly double the rate seen across the rest of England.

Comment: Look below the surface

July 8, 2024July 8, 2024 interestratesinfo

This spring has delivered signs for cautious optimism.

The number of mortgages approved by lenders in March was 61,330; up from 60,400 in February and an 18-month high. The market is outpacing the expectations of most economists.

There are other causes for guarded celebration: effective interest rates are down to their lowest since last summer, and wage growth is outpacing house prices.

It seems likely we will edge back towards ‘business as usual’, except with slightly fewer amateur buy-to-lets