On Sunday 1st September 2019, the Renting Homes (fees etc) (Wales) Act will come into force in Wales.
The Act means that from this date, landlords and agents in the principality will no longer be able to charge fees to set up or renew a tenancy in the private rented sector.
The new law will not just mean a ban on letting fees, but also the majority of other upfront fees payable by tenants to rent a property in Wales.
The Act makes it an offence to charge a tenant any payment that is not specified as a ‘permitted payment’ by the legislation. This means tenants cannot be charged for such things as an accompanied viewing, receiving an inventory, signing a contract, or renewing a tenancy.
The new legislation will see fixed penalty notices of up to £1,000 issued against anyone charging banned payments.
The Welsh government estimates the Bill will save tenants close to £200 per tenancy.
Landlords and letting agents will only be allowed to require a payment for rent, security deposits, holding deposits, a payment in default (when a tenant breaches a contract), and payments in respect of council tax, utilities, a television licence, or communication services.