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Monthly archive for February 2019

What Can Landlords In Peterborough Expect For 2019?

What Can Landlords In Peterborough Expect For 2019?

The last few years haven’t been easy for landlords in Peterborough. There have been tax changes, new regulations, regulation changes and more. Unfortunately it doesn’t look to be an easier journey over 2019 for Peterborough landlords either, with Government figures showing tenants could be saving around £240million each year with new legislations.

If you don’t work with a professional letting agent that you can trust and rely upon, then your life as a landlord in Peterborough could be about to get even trickier.

Here at Letters Group we work with landlords in Peterborough to ensure they are away of all the latest regulation and legislation changes so our Peterborough Landlords are always doing it right.

Please see the latest changes that landlords in Peterborough need to be aware of to stay legal;

Client Money Protection Schemes
As of 1st April 2019 the second regulation comes into force, as per Government requirements. The client money protection scheme protects the money of the landlords and tenants if a letting or property agent was to go into administration. This is something the team here at Letters Group put in place quite some time ago, because we want our Peterborough landlords to feel safe when they use us as their letting agents.

Ban on Tenant Fees
As of 1st June 2019, it will become law in England that there will be a ban on tenant fees. Examples of banned fees include charging for a guarantor form, credit checks, inventories, cleaning services, referencing, admin charges, gardening services and such like. Generally speaking, pretty much any fee that is in a tenancy agreement will become void.

Tenant Deposits
The original government proposed limit of deposits from tenants was 4 weeks, but the industry average was 6 weeks. The government have now started that 5 weeks rent is the maximum deposit that can be taken from a tenant.

Here at Letters Group we would always recommend that a professional inventory check-in is completed as standard, and regular checks are completed on the property.

It is important to note that deposits for tenancies where the annual rate is £50,000 or more are given one extra week. For tenancies of this size, the tenant deposit can be charged to the equivalent of 6 weeks rent.

If you are an independent landlord in Peterborough and would like to partner up with a lettings agency for added support and to take away the stress, then please contact us directly. We would be happy to discuss we can work for you, and the stresses and headaches of being a landlord in Peterborough that we can take away for you.

Could Three Year Tenancies Work For Peterborough Landlords?

Could Three Year Tenancies Work For Peterborough Landlords?

A three year tenancy term with a six month break clause is something that has been introduced in Scotland in recent years. There have been lots of talks in the Government about introducing this into England too, using a similar model that has been working in Scotland.

The three year tenancy with a six month break clause could prove really popular among renters in Peterborough that are looking for longer term security from the rental property. Bit could a three year tenancy with a size month break clause work for landlords in Peterborough? Could it work for you, as a landlord in Peterborough?

The discussion of introducing three year tenancies has come about from Government data. This data reveals that on average, people renting a home will stay in the property for an average of four years. However, this research goes on to show that 81% of rental contracts for homes are assured short-hold tenancies. These short-hold tenancies in Peterborough have a minimum fixes term of just six to twelve months.

Moving towards three years tenancies in Peterborough would result in greater security for renters in Peterborough as well as Peterborough landlords. However it would also result in few renewal fees from the start of the tenancy.

Research and initial reports shows us that 32% of potential landlords would be put off the idea of investing in the buy-to-let property if this was to go ahead. However it seems that the government is keen to continue pressing on ahead with their proposal of giving tenants a minimum three year contract. This contract would enable a Peterborough tenant to be tied into a 3 year contract, but they would still be able to walk away sooner if they so choose.

A three year tenancy in Peterborough can take away a lot of the stress for a landlord in Peterborough, but not if it is a problem tenant.

We would recommend that you partner up with a professional, experienced and trustworthy letting agency in Peterborough that can complete the pre-tenancy checks for you and help ensure that you have a good tenant that will cause minimal issues during their three year tenancy in your property.