Attention Landlords: Protect Your Investment and Navigate the Renter’s Rights Bill
The Renter’s Rights Bill 2024 is set to take effect next summer, and proactive steps can help you avoid unexpected challenges. Here’s what you need to know now:
Banning No-Fault Evictions.
The removal of Section 21 notices means you’ll face stricter conditions for evicting tenants with arrears. You can only issue a Section 8 notice after three months of non-payment, followed by an additional four weeks for the tenant to vacate. This makes it crucial to maintain open, proactive communication with tenants. Addressing potential issues early can prevent debts from escalating. If necessary, some landlords are opting to regain possession of their properties before the bill is implemented. Should you wish to discuss the best options for an existing tenancy, Jump-Pad would be happy to discuss in further detail.
The best way to minimise risk for landlords against missed, or late rent payments, is to implement a robust tenant referencing process ensuring affordability, and proven stability ensuring the right tenants are selected for your property. At Jump-Pad, we treat every property as our own and are committed to working with you to select the right tenants, confirming you are completely satisfied before a tenancy is signed.
Whilst every effort can be taken to minimise risks, you can never mitigate completely, Unpredictable life events can happen, meaning tenants may face unforeseen circumstances. With longer notice periods under the new regulations, if it would put a landlord under financial difficulty should this happen, it be wise to consider Rent Guarantee Insurance for added peace of mind. Jump-Pad can add rent guarantee insurance onto our standard management fees for a nominal fee of 3% +VAT.
Compliance Requirements
Once the bill is enacted, you’ll need to register yourself with an ombudsman service and your properties on a central database, have a valid tenancy agreement, relevant safety certificates, and ensure your properties meet minimum housing standards. Non-compliance can lead to significant penalties. If you have concerns about your existing documentation or property condition, now is the time to conduct an audit.
Contact Jump-Pad for a free consultation to discuss how to conduct an effective audit of your rental properties.
Considering Selling?
Under the new bill, landlords must give tenants four months' notice before selling a property. If you’re contemplating selling, starting the process sooner could save you from potential delays. Jump-Pad has a network of landlords actively seeking rental properties. If you're thinking about selling with tenants in place, reach out to us to explore your options.
