Being a landlord is difficult. Many people look at rising rents and increasing demand for rental accommodation and assume that being a landlord is a simple and straightforward process. This is far from the case though. Just keeping up with changing regulations is a full-time role in itself and at Williams of Petersfield; we aim to provide Petersfield landlords with as much assistance as we can. There are new HMO minimum standards being introduced from October 1st 2018.
It may be that not too many landlords in Petersfield have to worry about HMO regulations. These are more commonly associated with student accommodation or in major cities where young professionals want affordable living. However, the nature of the English rental market has changed a lot in recent years, and many more people, from all backgrounds, are looking for rental accommodation.
Petersfield Landlords should look for ways that increase rental income
There is also the fact that some Petersfield landlords will have viewed HMO lets as a way of increasing rental income without owning more properties. Rather than letting a property as a single entity to one person, couple or household, more money can be made by letting individual rooms within the property. There have even been landlords who have undertaken renovation work to split rooms into two, creating another area to let. It is important that landlords are resourceful and this activity has helped many landlords generate income and welcome more tenants.
The regulations will impact on landlords who let a property to a minimum of five people with at least two separate households in the property. Any landlord fitting this criteria will need to obtain a licence from their local housing authority. The initial estimates for this change suggest that 160,000 houses could be impacted on, and it could lead to changes in the HMO and rental market.
When it comes to holding a licence, you would like to think that there will be some form of criteria attached. If anyone can obtain a licence and there are no checks carried out, it will be a pointless exercise. Therefore, this could be an act that weeds out some irresponsible or poor quality landlords, and this is something that can improve the industry as a whole.
Removing bad landlords from the system is good news for everyone
If it is easier to spot bad landlords, and avoid them, there is an improved chance of good tenants meeting reliable landlords, which results in everyone benefitting. Even if you are one of the many Petersfield landlords who doesn’t have a HMO property, it is worth being aware of these changes in case it impacts on the market in your local area.
At Williams of Petersfield, we are Petersfield property and lettings market specialists. No matter what assistance you need, or what regulations you need help staying up to date with, we are here for you. We pride ourselves on offering the best standard of service in the Petersfield area and we look forward to hearing from you.