Landlords have under a week to ensure they have distributed a vital legal document to all their tenants.
That’s the messages from the head of lettings management at lettings agency Nicol & Co.
The Renters’ Rights Act came in to effect on May 1 and brought in a number of important obligations on landlords.
James Gwynne, lettings manager at Nicol & Co., says: “Landlords must have distributed the tenants’ Information Sheet, as specified by the government, by May 31 or they face a fine that could be as high as £7,000.”
He stresses that it’s not simply enough to have the sheet available to tenants.
“Agents and landlords must ensure that the relevant documents are served to tenants, and they must also now be able to prove it and provide evidence they were delivered and accepted.”
The regional agent says a predicted flood of landlords selling rented properties back into the market has not transpired.
“We have seen perhaps a handful of landlords in Worcestershire who have opted to place properties on the market, and the rental stock that is available tends to be existing properties, not new.
“What we are seeing is, that because tenants now have to be given two months’ notice, the crossover period has been extended, and this will have implications for landlords’ cashflow.
“On the plus side, it affords the opportunity for repairs and renovation to be carried out in a timely fashion,” he said.
Another knock on effect the new regulations had brought about was that rents were tending to rise, driven by the fact that landlords are not now permitted to take bids from more than one prospective renter.
“This is leading them to place the property on the market at a level they want to achieve, rather than open up a property to a competitive bidding scenario.”
As the first full month of the new regulations comes to a close, Nicol & Co. has announced it is holding its next free Landlords Seminar at Sixways, home of Worcester Warriors rugby club on Thursday June 25 from 6-8.30pm.
You can book by clicking here, or calling 01905 799072
