There is no denying landlords have had a tough time of things recently, and issues may become more challenging before they become easier. There is a need for support for landlords. With new regulations on their way in 2020, many landlords are still coming to terms with regulations brought in last year!
There is confusion in the lettings industry over the Tenant Fees Act, and there are fears this will lead to com plaints being made against landlords. Many of these complaints will be unfounded, but dealing with these complaints will be a concern for landlords, and will cause some sleepless nights. At Williams of Petersfield, we are on hand to assist local landlords as best we can, so if you have any issues or complaints, please let us know.
Tenant Fees Act is updated in 2020
A company which assists automated payment technology used by many landlords, PayProp, has spoken about their concerns for landlords with the Tenant Fees Act. Even though the Act was introduced in 2019, it will be extended to cover all tenancies from June 1 2020.
Neil Cobbold is the Chief Sales Officer of PayProp, and he said; “There is likely to be confusion among tenants over the next few months. Until June 1, active tenancies are still subject to the old rules until their tenancy renews or the legislation is extended. This confusion could lead to consumers wrongly complaining to the redress schemes about agencies which are, in fact, acting lawfully. However, now is the right time for landlords and letting agencies to make sure they have all their processes in place to ensure they are not overcharging renters and that they remain compliant with the Act.”
There are approved redress schemes, the Property Redress Scheme and The Property Ombudsman, and media reports suggest more than 200 com plaints have been filed against agents. There is a belief that some of these complaints come from tenants who don’t understand why they are being charged certain fees or why the deposit is larger than the stated deposit cap.
We provide support for landlords
Cobbold continued by saying; “There is no indication of how many of these complaints were upheld by the redress schemes…however, under 250 complaints is a relatively small number when one considers that the PRS and TPO represent thousands of letting agencies across England. This could save time, protect relationships and allow agencies to focus on other important parts of their business. There is no excuse for agencies or landlords to be charging illegal fees or holding deposits on new and renewed tenancies that are above the cap, leaving themselves open to reputational damage or potential fines.”
There is no denying the importance of clear communication between landlords and tenants. It is vital landlords reach out to tenants before June 1 to explain the situation at their rental property, and how it affects the tenant. At Williams of Petersfield, we are here to assist you, and if you need any help in this matter.
If you are a local landlord requiring help managing your property or dealing with tenants, please get in touch with Williams of Petersfield today.