BREAKING PROPERTY NEWS – 11/05/2022

Daily bite-sized proptech and property news in partnership with Proptech-X.

 

What does The Queen’s Speech mean for property?

It may have been Prince Charles sitting in for his mother yesterday, but information about the future focus of Her Majesty’s government was still forthcoming.

Among a large number of bills and points of focus were the following:

The Social Housing Regulation Bill is a tenant-centric push to give those in the social housing vertical more rights and more leverage over their landlords. It is ironic that much of the impetus for this comes from the Grenfell inquiry, with the flats themselves being under the control of a local London council. So, in a way is the government looking to regulate itself?

Errant landlords will now be measured against a yet to be introduced scale of minimum performance, to attempt to bring rogue landlords in line. From my point of view, the government still has a very selective and poor understanding of the role and function of landlords.

There will be new initiatives where emergency maintenance can be ‘forced’ on landlords so that property adheres to acceptable criteria for rented accommodation, with the Regulator of Social Housing being given the whip hand to determine if intervention is required.

Section-21, the so-called no-fault eviction mechanism, is to repealed. If it comes to pass, this will mean that landlords can not just get their tenants out on a whim. Again, whilst this may be a populist piece of legislation that will warm the hearts of tenants, in reality, Section-21 was used to extricate problem tenants, rather than for any other reason.

The big problem for the government will be to put together new powers that allow landlords to deal with their property assets and tenancies once this legislation is repealed.

Levelling Up and Regeneration Bill – This part of the Queen’s speech was vague, there was talk of further monetising the planning opportunities, the need to re-draw the shape of the present Section -106 agreements, and the need to galvanise the local planning authorities.

Given that planning and new home building is central to any government’s policy, it is strange that there was not more detail on this point. But with only two years before the next election, the reality is that Gove will be halfway through all of this before he parachutes into another position, or there is a switch of party running the country.

Leasehold Reforms – This contentious area of property has been lurking for some years now. The government is looking to stop the abuse around leases being applied to new homes (not leasehold flats) in line with the problems that occurred when buyers having moved into properties found they were subject to large upticks under the terms of leases provided by the new home developers.

There was also mention of commonhold in the speech, again showing that we are slowly moving forward on this front too.

Gove will have his hands full for the next two years…

Though I have not had time to go through the dozens of bills and their possible impact on the property sector, sometimes there are hidden gems, it would seem that Gove as Housing Secretary will be bogged down for the next two years trying to sort the planning problem for new homes, at both a national and local council level.

The Punch and Judy show with regard to landlords and tenants will continue, and the role that social housing has in the whole rental sector looks to be as big a mess as it has always been – lots of talk and very little positive traction.

 

TDS Resolution: One Year in Review

Owned and operated by The Dispute Service and in association with the National Residential Landlord’s Association (NRLA), TDS Resolution is a conciliation and mediation service that aims to facilitate a resolution between landlords and tenants without the need for further action.

The purpose of having a TDS mediator present is to help guide the negotiation in the right direction. TDS mediators will not impose a decision on anyone, their role is to help keep the parties on track and understand the landlord and tenant’s point of view, identifying a solution that can help them move forward amicably.

After extending the service a year ago to include further mid-tenancy issues such as repairs, entry rights and property standards, TDS shares the results and findings.

According to the data collected, TDS has found that the most common issues brought to the TDS Resolution service were rent arrears, breach of tenancy terms and repairs.

Percentage of requests by dispute areas
Property standards 11.89%
Repairs 12.40%
Entry rights 7.24%
Rent arrears 36.95%
Threatened evictions 6.98%
Breach of tenancy terms 17.31%
Noise/Anti-social behaviour (except serious anti-social activity) 6.72%

TDS Resolution is aimed at both TDS landlords and tenants. However, of all requests received, the majority of mid-tenancy requests have come from landlords with almost 74% over just 26% of tenants, a vast difference from our dispute resolution service that finds most complaints come from tenants at end of tenancy.

Landlords 73.89%
Tenants 26.11%

Tenants are telling us that the service is valuable to them and a useful tool to avoid eviction, come to an amicable agreement with their landlord, and sustain their tenancy.

In light of this feedback, we’re reaching out to further tenant support organisations so even more tenants are aware of this service.

TDS Resolution records the avenues we receive requests from in three categories. These include the Tenancy deposit scheme (TDS), NRLA and Other.

A breakdown of the results is as follows:

TDS 36.59%
NRLA 38.67%
Other 24.74%

“Other” has included internet searches, citizens advice, letting agents and word of mouth.

Arguably the most important statistic, is how successful TDS Resolution has been at providing a satisfactory mid-tenancy dispute resolution. Of the cases that have been within our remit, our success rate this year has been a very positive 85%

From our experience this past year, successful mediations with TDS Resolution occur where both parties are:

  • Open and flexible during the process
  • Willing to work closely with the mediator
  • Clear as to what the desired outcome from the process is
  • Prepared to make concessions
  • Available

It is key that both parties engage in mediation as early as possible to nip disputes in the bud before issues escalate beyond repair.

You can find out more about how TDS Resolution works here.

Andrew Stanton

CEO & Founder Proptech-PR. Proptech Real Estate Influencer, Executive Editor of Estate Agent Networking. Leading PR consultancy in Proptech & Real Estate.

You May Also Enjoy

Letting Agent Talk

Top 3 Best Places to Be a Landlord in the UK

These are the 3 best cities to be a landlord, according to landlords. Landlord Resource have analysed Zoopla data to identify the UK’s highest-yielding buy-to-let locations and share top tips to find the right rental area for a return on investment. The top 3 highest-yielding buy-to-let cities in the UK revealed: Rank City Average Monthly…
Read More
Breaking News

Landlords still backing buy-to-let

The latest research from London lettings and estate agent, Benham and Reeves, has revealed that more than half of landlords (50.6%) still believe residential property remains a good long-term investment despite increased regulation, with almost two-thirds (62.7%) intending to maintain their current portfolio over the next year. However, just 3.9% plan to expand, with landlord taxation…
Read More
labour party scam mansion tax
Breaking News

Labour to enforce entry to your home for Property Mansion Tax?

As Labour take a tighter control on UK citizens and further explore taxes to impose – The latest trending topic discussed is the suggestion that they wish to send officials out to homes they serve in order to value and impose the mansion tax. If the group of unprofessional leaders in charge couldn’t slip any…
Read More
small house bird box
Breaking News

Public Sentiment Favours Social Infrastructure Over Housing Resistance

Britain is more YIMBY than NIMBY, as social housing tops consumers’ housing policy priorities   More than two in five UK adults support new homes being built within three miles of where they live (43 per cent), nearly twice the proportion who oppose local development (22 per cent) Building social or affordable housing is the…
Read More
Breaking News

Homebuyers are Prioritising Wi-Fi Over Good Schools

One in four Brits would reject a home over potential slow broadband Almost half (45%) of recent and prospective home movers rank broadband among their considerations when choosing a home, much more so than local schools (26%) Over 1 in 3 (37%) don’t feel settled into a new home until their Wi-Fi is working. Of…
Read More
Letting Agent Talk

Landlord returns reach almost 7% in some areas

Landlord returns reach almost 7% in strongest rental markets, but protecting those returns is just as important as generating them   The latest analysis by The Letting Partnership has revealed that rental yields are reaching almost 7% in England’s strongest-performing markets, but the firm has warned landlords that generating a healthy return is only half the equation,…
Read More