landlords
Council Tax & Empty Homes by Chris Norris
As if voids were not a big enough headache for landlords trying to refresh that post-tenancy property and find new tenants, all while keeping on top of mortgage payments, the Government is consulting on Council Tax charges for empty property.
Under the guise of ‘localism’ the Department for Communities and Local Government (DCLG) has published proposals to remove the existing Council Tax exemptions and reliefs applicable to empty residential property.
Under the proposals, local authorities will be given greater ‘discretion’ to offer the level of Council Tax relief they deem appropriate. This means that, if the proposals are adopted, the default six month exemption from Council Tax for unfurnished properties will be replaced with a discretionary discount of between 0 and 100 percent.
Where a property is both empty and furnished local authorities already have the option of discounting the charge by between 10 and 50 percent. Under these proposals this range will be increased to provide the option of charging 100 percent of the relevant band.
These proposals have the potential to have a significant impact on landlords wishing to refurbish property between tenancies, or who are having difficulty sourcing a new tenant.
The NLA will be of course be ensuring that landlords’ collective voices are heard, however individuals are also welcome to contribute to the consultation process.
If you would like to comment on the proposals you may do so my emailing:
counciltax.consultations@communities.gsi.gov.uk
or by writing to:
Technical Reforms of Council Tax Consultation
Local Government Finance Directorate
DCLG
Zone 5/D2 Eland House
Bressenden Place
London
SW1E 5DU
If you would like further information, the full consultation can be found here: http://www.communities.gov.uk/documents/localgovernment/pdf/20192051.pdf
As posted by The National Landlords Association (NLA)
Category : Blog
£85 per week – Bills Included – Available Now
Progressive Letting Agents Southampton is pleased to present this furnished room situated in Millbank street southampton.
This well proportioned room is one of Two in the property which comprises; Kitchen with Dinning area , Bathroom with Sepert toilet, Central heating. The property also benefits from full gas central heating, doubles glazing and is offered with Council Tax, Gas, Electric and Water bills included.
The property is ideally located for easy access to Woolston, Bitterne and Southampton .
Sorry no Couples, pets or DSS applicants at this time.
Contact progressive Lettings 02381 780 649 to arrange a viewing, send a request via email, or check www.progressivelettings.com for details of our other properties.
Category : Properties
Landlord Alim Iqbal has been prosecuted for three offences under the Management of Houses in Multiple Occupation (England) Regulations 2006 and one under the Housing Act 2004. Alim Iqbal pleaded guilty on 29 October at Oxford magistrates to failing to comply with licence conditions and renting out a sub-standard property, Ms Iqbal, of Blenheim Way, Horspath pleaded guilty and was fined a total of £2,200 for breaching a condition on her HMO Licence and ordered to pay Oxford City Council costs of £400.
On the 2 February 2010, officers visited the Horspath Road property after concerns were raised about the state of the property by a ward councillor. The officers inspecting the property found an array of rubbish scattered around the garden areas as well as discarded furniture and other household appliances, these included a bed in the rear garden, two beds and a matters at the side of the property, black sacks of household rubbish, empty oil containers, beer cans, car parts, and a home-made incinerator.
Returning to the property the next day, the officers noted that an attempt had been made to tidy the garden but it remained in an unacceptable condition, the property was also in a state of disrepair with a stair handrail and ceiling lights missing, the front door and adjoining window needing attention, the manager’s details with their name, address or contact telephone number were not displayed at the property and fire doors that were propped open.
The EHOs had also requested a certain repair and maintenance work be carried out as part of the licensing conditions, which Ms Iqbal had also failed to carry out.
A member of the housing board Councillor Joe McManners, said: ‘We are being tougher than ever before on bad landlords – the minority who let everyone, both their tenants and the wider community, down. ‘In this case the landlord has failed to comply with the conditions on their HMO licence and so we will revoke it as soon as possible.’
Category : Blog
Landlords and property managers could face the prospect of prosecution themselves, if they don’t report to the 
police any suspicious drug activity as is their duty.
Property managers and landlords across Hampshire and the Isle of Wight who rent out private accommodation, need to take note of the clear advice and guidance Hampshire Constabulary is sending out. With an increase in the number of rented properties being used for the production of illegal drugs across the two counties, Hampshire Constabulary has produced a landlords’ guide, explaining that property managers have a duty to report any suspicious drug activity to police, or face the prospect of prosecution themselves.
Under the Misuse of Drugs Act 1971, a landlord/property manager can receive a maximum of 14 years in prison and/or a fine, if they turn a blind eye and allow the production of controlled drugs to take place in rented accommodation. Under this legislation, there is also the potential for premises to be seized or forfeited.
Rental properties are increasingly being used as a convenient way for criminal gangs to hide their activity from public gaze, the cost of cleaning up these properties is huge, and could lead to large-scale loss of earnings over a prolonged period. If highly toxic drugs such as the Class A narcotic, Methamphetamine (Crystal Meth) have been manufactured in the property, the property could need to be demolished if it is deemed unfit for human habitation.
DS Andy Waite, said: “We are becoming increasingly concerned at the growth of illicit drug production in rented premises across Hampshire and the Isle of Wight. So far most of this activity has been centred on cannabis production, but we have also seen some chemical drug production.
“Not only is drug manufacture incredibly dangerous and hazardous to whole communities, but those who own the premises involved leave themselves open to possible prosecution and imprisonment, forfeiture of the premises, or at the very least, huge bills for clean-up operations.
“Owners and agents need to be sure that they are taking proper steps to ensure that they know who they are renting property to, and that they are not using the premises for illegal purposes. Simply accepting rent and turning a blind eye to what a premises is used for is a very dangerous game.”
The constabulary works hard to rid our communities of drugs; you can download your copy of the guide produced by Hampshire Constabulary by following this link A5 booklet, entitled “Don’t Turn a Blind Eye – A landlord’s guide to keeping illegal drugs out of rented property” (.pdf, 97KB). The guide includes advice and guidance, and highlights the signs to look out for if you suspect a cannabis factory or chemical drugs laboratory has been established at a property.
Category : Blog
The electrical regulations relating to equipment, affect landlords and their agents in that they are ‘supplying in the course of business’, and the landlord and his agent have a duty to ensure that all electrical equipment in rented property is safe. Although currently there is no specific legal requirement for an inspection and safety certificate to be issued by a qualified electrician for tenanted property (except in the case of all HMOs where one is required at least once every 5 years).
However, under Common Law and various statutory regulations: The Landlord and Tenant Act 1985, The Housing Act 2004, The Electrical Equipment (Safety) Regulations 1994, and the Plugs and Sockets etc. (Safety) Regulations 1994, both of which come under the Consumer Protection Act 1987, there is an obligation to ensure that all electrical equipment is safe. Statistics show that owner/occupier homes are less at risk than rented properties, as these will get more wear and tear.
(Electrical safety is a serious business – unsafe electrical installations cause around 31 deaths, over 8,000 house fires and 1,150 serious injuries each year. What’s more, most accidents can be prevented. Source: Electrical Safety Council (www.esc.org.uk)).
If you let property in England & Wales you must ensure that electrical equipment and the electrical system are safe. landlords and their agents do have a ‘duty of care’ and remember under law it is the landlord’s responsibility to make sure that the electrics in a tenanted property are safe, to avoid being accused of neglecting your ‘duty of care’, or even facing a charge of manslaughter it is recommended that an inspection is carried out by a qualified electrician and a safety certificate issued.
[Note: We strongly recommend that all Landlords, whether they see themselves running a business or not, should make absolutely sure they are complying with these regulations and when employing someone to carry out electrical work in your properties we recommend always using an NICEIC registered contractor.]
Category : Blog
According to LSL Property Services rents rose to £689 in September, surpassing the previous market peak in August 2008, the average UK rent is now 3.1% higher, following eight consecutive months of rises, than they were at the same time last year. In the past three months house price growth matched the rising rents, which meant the average yield remained stable at 4.9% in September. The main driving factor for this rise was the strong performance of the rental market in London and the South East in 2010, London saw the greatest growth, with the capital seeing increases of 1.1% to a new high of £972 followed by 0.9% rise in the South East during September. According to commercial director David Brown of LSL Property Services said that with potential spending cuts on the horizon, and uncertainty over the direction of the economy, many buyers are choosing to remain in rented accommodation for longer, and might be waiting for house prices to fall. With tenant demand continuing to hit new heights because the mortgage market remains tight and many buyers simply cannot get the finance to get a foot on the property ladder. “As a result, demand for rental accommodation is increasing, and supply is not rising fast enough to match it,” he added. “This has turned the buy-to-let market into a landlord’s market, and many renters face increasing rental costs while they delay their house purchase.”
Category : Blog
Planning and HMO’s
On the 1st October 2010 the new houses in multiple occupation (HMO) regulations introduced by the Government came into force.(What is a House in Multiple Occupation? See * below)
With Houses in Multiple Occupation (HMO’s)landlords will need to be careful as it has emerged that councils in different regions of the country will have different regulations as to whether planning permission is necessary to change a property into a shared one, councils could require planning permission for a change of use in areas were there are a large number of HMO’s already.
Where HMOs are not a problem the council could decide that that planning permission is not be needed, in a statement, the Minister in charge said:
“Councils understand their local area best, and they don’t need burdensome rules that assume housing issues in every town, village and hamlet are exactly the same.
“I am also committed to safeguard the supply of rented housing. Shared homes are vital for people who want to live and work in towns and cities, and are important to the economy.
“That’s why I’m giving councils greater flexibility to manage shared homes in their local area.
“Where there are local issues with shared homes, councils will have all the tools they need to deal with the problem, but they will avoid getting bogged down in pointless applications, and landlords won’t be put off renting shared homes where they are needed.”
* What is a House in Multiple Occupation?
HMO Occupation
That is the critical word “Occupation” not the number of TENANTS you have on an agreement. As the law is currently, there is no legal obligation to have an agreement in writing. Of course, it is legally safer to have a written tenancy agreement for all concerned and I would not advise any landlord to create a tenancy without a written tenancy agreement.
The crux here is that you could let a house to a couple, who sublet one room to a third unrelated person. Immediately this puts this property into an HMO classification
1 Property x 1 couple + 1 single = 3 occupiers = Two households = HMO
How many properties are no affected by this scenario?
1 Property x 3 single unrelated persons sharing = 3 households = HMO
But:
1 Property x 2 single unrelated persons sharing = 2 Households = NON HMO
Licensing of an HMO
This is the area where many people are confused. Do I have to have a licence for my property?
The main criteria – Numbers:
Numbers of People and
Numbers of Stories
A three storey property being occupied by 5 or more persons forming two or more households, is, by definition an HMO, but this type is more critical as it comes into the Mandatory licensing regime.
A two storey property occupied by 5 or more persons forming two or more households is an HMO, but would come under Additional Licensing rather than Mandatory
How is a three storey property defined?
If a property has a basement that is habitable and two other floors – classed as three storey property
If a property has a mezzanine floor and two other floors – classed as three storey
If a property has ground floor, rear annex and stair to the front part of the house ( a typical Victorian mid terraced property) – classed as three storeys
If these types of properties were occupied by 5 or more persons forming two or more households they would need to have a Mandatory License
A two storey property has just two flooring levels – Ground and First (no basement or attic conversion
Category : Blog
£500 per month – Including water bills – Available Now
Progressive Lettings are pleased to offer this unfurnished ground floor one bedroom flat, available in the ever popular Foyes Court, on Shirley Road, Southampton.
This property benefits from One double bedroom, with fitted wardrobe, Open plan lounge/dining area (with Patio Door, leading to shared garden area), Fitted kitchen with fridge/freezer, washing machine, hob and oven, Bathroom with white suite, mixer tap shower over bath, All eletric heating – economy 7, Security Entry Phone, Secure Parking space, and includes water rates.
Short walk to both Shirley High Street shopping area and Central Railway Station. And close to major bus routes into the City Centre (First 8,10, & 17, BlueStar 4 & 18), with onward connections to all areas of Southampton.
Ideal for a couple or a single person.
No DSS or Pets.
Category : Let Agreed
Progressive lettings presents this Large Studio flat located in the sought after Shirley area. Available now – all bills included
Category : Let Agreed
