RLA Wales Update Caerphilly Landlord

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Presentation transcript:

RLA Wales Update Caerphilly Landlord Forum @RLAWales Research Conducted by Researcher Nick Clay, PEARL, RLA Presented by Mathew Norman, Public Affairs & Policy Officer RLA Wales Today is the 11th day of Ramadan, thank you for those attending tonight.

The RLA & Pearl At over 20 years old, the RLA provides expertise, support and tools for landlords to do the right thing - by them, their tenants and the industry as a whole. Over 35,000 members nationwide, with a combined portfolio of over a quarter of a million properties. Our vision is to make renting better by going the extra mile to ensure we have an informed, better educated and more supported membership community.

Open Doors Landlords Experiences of Mental Health Nazia Azad – Warren Open Doors Project Manager 16th May 2019, Cardiff Landlord Forum

Support for Landlords More and more people are living in the private rented sector than ever before, this includes people with mental health. We want to hear from landlords about their experiences of tenants with mental health and what we can do as a sector to support you to have better tenancy outcomes and less stress! Please answer the short questionnaire. Remember that all respondents who give their details will be entered in to a prize draw and a winner will be chosen at random! Unfortunately the prize is not as extravagant as a holiday or a new car! (We are a charity after all!!!!) Thank you for your support 

Agenda Consultations which are open & coming soon. Section 21 Proposed Reforms Results of our Survey on repossession

Consultations! Default Fees & Prescribed information due 19th July Repossession Reform Consultation soon! The Fees Act, is it confusing? What questions do you have? Fill in the survey and we will inform WG and help with you enquiries Consultations!

Possession Reform ending the catchy catch phrase ‘no fault evictions’

Proposals England are seeking to remove section 21. Consultation will open up, TM announced legislation in place by the end of the year. Wales has announced through the First Minister that no fault evictions will also be removed. Welsh Government consultation will be open in the ‘summer’ (V.soon)

What does reform mean? Limitations on obtaining possession, even on selling your house If no reforms are introduced to the current system only s8 grounds & process will be available Arrears will be collected, increase number of persons already vulnerable will face CCJ’s. Possible Housing Court Reform Rent Controls?

The current picture The sector is starting to react … Current Government survey’s on the recent law changes have found that 5% of Landlords are looking to leave the market with 18% reviewing their current portfolio …

Those numbers translated in Wales If 5% of Welsh landlords were to leave the PRS this would equate to over 10,000 homes no longer available to rent, that’s shy of one thousand more than the entire PRS stock in Caerphilly (just under 9000 homes). If 18% of Welsh Landlords reconsidered their portfolio’s, that’s nearly 37,000 homes at risk of being removed from the sector. That figure would equate to slightly more than the entire PRS stock in Cardiff.

Survey Results

The BIGGEST response yet! Nearly 6,500 landlords responded! Over 400 of those have property in Wales (this excludes agents) PEARL research vital (get involved) Following results are from Welsh landlords only …

How Important is s21? 96.2% stated that s21 is vital for their business 57% can operate without s21 as long as there is reforms. Courts and Section 8 reforms were seen as vital by landlords.

Effects of Reform on the sector Nearly half of landlords will reduce their portfolio if section 21 is abolished With 84% of Landlords stating they will be ‘more selective with tenant choices’.

Comments from landlords “Will not take singles under 30 as they are a budgetary risk even if they are in work.” “I have taken tenants with poor credit ratings in the past but will not with no section 21” “I will no longer allow any DSS [Housing Benefit] tenants as they often fall into arrears and the section 8 process is not sufficient to deal with this”

What Reforms are needed?

Court Confidence 48% of landlords reported a bad experience Over 80% unhappy with current court reliability 57% reported longer than 15 weeks to regain possession (Issue – Possession) 24% reported it took over 25 weeks Landlords comments: “Any action to reduce the time taken to remove bad tenants is both welcome & essential. “Court system is broken and takes far too long to remove tenants.” “Getting to court takes too long.” Court Confidence

Housing Court 90% supported a Housing Court Housing Court in Landlords minds would improve the Possession process and Disrepair disputes

Section 8 Reforms ‘Essential’ More than 80% described the following reforms to Section 8 as “Essential”: Speeding up of the court process. Additional Section 8 possession grounds. Speeding up of the Bailiff process when possession given. More mandatory grounds to secure possession under Section 8.

Clear support for: Rent arrears as a mandatory ground with access to the paper-based accelerated possession process. Breaches of the tenancy agreement where clear grounds for eviction exist Eviction of tenants who have given notice to quite but then won’t vacate To carry out major repairs or works. For landlord or a family member to live in the property. Welsh landlord comments include: “Must have the ability to get rid of a bad tenant. I will only have professional working tenants going forward possibly with home owner guarantors.” “In over 20 yrs I have never had to evict a tenant [but] it is important that I have confidence in being able to recover possession of my property.” (e.g. Anti-social behaviour).

Additional Reforms Short term tenancy * (like a starter tenancy) before the tenancy becomes indefinite

What does this translate to? The need for action: Get involved! Respond to Consultations Take Part in Survey’s & Research Join Membership Organisations Get your voice heard!

Any Questions?

Get involved Take RLA Surveys and become an RLA Insight Partner

Contact Details: Email: Mathew.norman@rla.org.uk Twitter: @RLAWales T +44 (0) 2920 027593 W www.rla.org.uk