A Labour council introducing a vast new licensing regime claims its typical cost to a landlord would be just 0.5 per cent of the average rent.
Oxford council is urging private landlords to apply to its new licensing scheme by the end of November in order to take advantage of an early bird offer.
Its selective licensing scheme came into force for five years on September 1 and applies to every single private rental property in the city - some 50 per cent of the housing stock. Previously only HMOs required a licence to operate - less than 15 per cent of private rented homes in Oxford.
A five year licence costs £480. Landlords and agents who make a complete application by November 30 will qualify for an early bird discounted rate of £400.
There is also a discounted fee of £280 for accredited landlords and agents.
The council says government figures show a median private rent of £1,500 a month for a three-bedroom home in Oxford.
It claims: “The cost of a five year licence for landlords ranges from £4.67 to £8 a month – no more than 0.5 per cent of an average rent.”
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Wrong - typical cost to a tenant would be just 0.5 per cent of the average rent.
Yep, as said above it costs us nothing.
How can Oxford do it for £400 and Nottingham City need about £900?
If you accept the need for SL - which I don't - why do the fees vary so much?
Where do we begin with Nottingham....
£30m lost on Robin Hood Energy
£40m unaccounted for...
w w w dot westbridgfordwire dot com/nottingham-city-council-no-explanation-on-where-40m-cash-was-misspent/
Bristol - £1500
Central Government needs to regulate this.
I have nottingham houses. This is the question myself and many others have asked since day 1 of tge scheme. Some very clever people have tackled Notts council over this but they outright refuse to give justification of how this income is spent.
And look at the figures for ll's- I was charging £600pcm and get £900 SL fee. £1500 in oxford and £480 fee. And tenants and co wonder why rents are rising? My tenants have been made aware of 'my costs go up and it's passed on to end user principle'. They get it - how come gov and 'helpful charities' don't??
The percentage of rent isn't really the relevant factor unless the suggestion is that landlords should simply add that amount to whatever the next rent rise they planned.
The relevant factor is the percentage of profit it equates to if anyone seriously thought it was yet another cost the landlord should absorb somehow.
.5% of what their Application Fee for a Selective License, what about compliance costs they dream up which is Several times more. Additional Licence fees is double this + in most areas like Ealing £1100. + £50 per room on top, so 3 bed Terrace is classed as 5 rooms £250.00 + £1100 = £1350. and Mandatory license is £1300.00 + £50 per room on top for fun they never said what all them £50. are for ?. So a 4 bed house will be £1600, unless your kitchen is over 5.5 m2 then it will be classed as another habitable room so just add another £50.00. They are determined to destroy and Bankrupt Private landlords just add Mr Michael Gove’’s WHITE PAPER the final nail and with the removing of S.21 that so do the trick, for good measure just add, Oh sorry can’t leave on Mr Sadiq Khan little dictator he wants us to give them back 2 years Rent as well. This is the guy that knows about nothing sacking Chief Police Inspector wrongly, taken £100.m from ULEZ in first year alone what’s he doing with all the money ?, Now go to expand it out to M25 to rob another 100m as if he Cares.
.5% is nothing to the tenant or us if it actually did something. We all need to see the back of rogue landlords giving us all a bad name but from what I’ve seen so far there isn’t much progress on that front at all! So it’s just yet another slush fund for box ticking.
Has anyone in here seen these licenses do any good yet?
We agree and disagree on this one Micheal / Andrew. I agree Andrew we will always be Rogues to some tenants and in eyes of many whatever we do. But if we want to be recognised as a legitimate business sector we must accept a legislative body to monitor that sector the same as any other sector. Otherwise BTL always be seen as a sort of “Wild West”.
The trouble is with how all this is being implemented. A thousand different systems across the country is no way to go about things and thus far they have proved simply a job creation and box ticking. exercise.
Whether you believe there are rogue landlords out there or not and what proportion there are, a properly run body would be able to prove whether things are getting better or worse. It will also be able to answer sceptics complaints.
If we in our industry push back on every single initiative we leave ourselves open to being accused to be just wingers who are annoyed that our gravy train is being shut down.
If we want to be part of the solution then engagement is the only way forward.
I definitely share your scepticism in this ever happening by the way particularly when the tide is so against us!
And Michael I’m not getting sucked in to anything, my eyes are wide open I just want to see a future for our sector and at the moment I’m struggling to see one.
Dominic, my friend you are getting sucked in, this is giving them more ammunition.
Who are those so called Rogue landlords if they exist and if they do, they must know who they are otherwise it’s all here say based on unfounded gossip.
This is hardly a basis for legislation so those who talk about Rogue Landlords either put up or shut up but don’t destroy the good name of all landlords.
We are all called rogues by those we evict for nonpayment
You mean thieves call us rogues?
A bit of pot and kettle, (oops - nearly another non PC comment!)
Central Government should step in to stop this licensing as a matter of urgency. Licensing is yet another reason that very good landlords are selling up.
Licensing would be fine if it were done on a level playing field with fees to only cover the true costs
Perhaps so Andrew, but I know my tenants found it very intrusive to have the licence man walking in the bedrooms etc.
Do you have to pay these fees upfront, or monthly?
Upfront!
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