
Landlords can get a lot of support from working with letting agencies, which can be particularly useful when dealing with legal and regulatory matters.
This is never truer than when changes in the law take effect, but right now, there is a lot of uncertainty about how and when this will happen after a fresh delay in the implementation of the Renters’ Rights Bill.
Drawn up by the Labour government but containing major elements of the Rental Reform Bill that was introduced to parliament by the previous Conservative administration, its key provisions include an end to Section 21 evictions and banning landlords from asking new tenants for more than one month’s rent upfront.
The Evening Standard took the line that a decision to delay the introduction of the new legislation until the autumn would hit tenants most, reporting on claims that this could lead to more rent rises, evictions and homelessness.
However, there is much that landlords need to be prepared for – and having uncertainty as to when it will apply may make things more confusing and uncertain.
Writing for Property Reporter this week, Mark Holloway, a director at law firm Foot Anstey, warned that there could be a polarised market that may be disadvantageous to smaller landlords trying to manage on their own.
He commented: “The Bill may be a poisoned chalice for some landlords, with the negative consequences of the Bill likely to outweigh any benefits.“
Among the biggest dangers is that of a two-tier market, Mr Holloway stated, as higher rents caused by increased costs for landlords could put them under greater financial pressure and less able to cope with void periods than larger, corporate landlords.
It may be, therefore, that working with a letting agent who can handle so much of the extra regulation could enable you to cope better in a system that benefits those able to operate on a larger scale.