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A news item from a Scottish newspaper makes for interesting reading.
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A news item from a Scottish newspaper makes for interesting reading.
Landlords will get their house in order
DAVID HUTTON
THE Scottish Executive's move to further regulate private landlords via a registration and accreditation scheme should be seen to be a positive initiative for the private rented sector in Edinburgh.
The objective is to create basic minimum standards for residential property lets across the city which will impact on both landlords and tenants. The proposal will provide greater accountability and I am confident that responsible landlords and tenants will welcome the scheme. There will, however, be a number of landlords less enthusiastic about registration because it will literally require them to get their house in order.
The proposal, expected to come into effect around March 2006, will require all private landlords, including those with just a single property for rent, to register with their local council and undergo background checks including whether an applicant has a criminal record.
The scheme will assess whether landlords and agents are "fit to manage in a proper manner"; provide a list of properties let by or on behalf of private landlords; make it an offence to let out a property without being registered; and give powers to local authorities to stop rental income to unregistered landlords.
Landlords who already hold a Houses in Multiple Occupation (HMO) licence for three or more unrelated tenants will automatically be registered. There is still the question of how the Executive or local authorities will monitor unlicensed landlords and to what degree they will take action for either failure to register or where the property does not meet with the minimum standard.
Unlike the registration scheme for HMO licences, which was introduced on a graduated basis, this proposal is likely to become effective overnight and clarification is required on how Edinburgh City Council plans to register all let properties within the city before the cut-off date next year. At present there are approximately 27,000 rented properties and 12-14,000 landlords. Once in place, the scheme will need to be simple and easy to operate to avoid it becoming over-bureaucratic - detail is still required on how this will be managed.
For example, if a portfolio landlord or letting agent adds a new property to their books, will they be required to re-register or will there be a simple and flexible process in place to allow for additions? How long will it take to register and what happens in the interim? What will it cost?
One major area of concern is the potential for landlords being "punished" for the behaviour of antisocial tenants. As it stands, landlords who are unable or unwilling to control such tenants could be served with antisocial behaviour notices, ordering them to resolve the problem. If they fail to take action they could be subject to a rent penalty or de-registration, making it an offence for them to collect rent on any property, including additional properties where they have good tenants.
This could ultimately mean that good, responsible landlords could be penalised for having the misfortune of having some difficult tenants with antisocial behaviour issues. Enforcing such a code would seem to be unfair on the unfortunate landlord! Clearly there must be some degree of responsibility from a landlord with such tenants. However, there must be a clear definition of what constitutes antisocial behaviour in such circumstances.
We suggest that the Executive approach leading property advisers to agree antisocial behaviour boundaries. Landlords will need to be confident that they are not being held liable for complaints which are not considered antisocial behaviour.
The Crime and Disorder Act 1998 describes antisocial behaviour as behaviour which causes or is likely to cause harassment, alarm or distress to one or more people who are not in the same household as the perpetrator. Among the forms it can take are: graffiti - which can on its own make even the tidiest urban spaces look squalid; abusive and intimidating language; excessive noise, particularly late at night; fouling the street with litter; drunken behaviour in the streets and the mess it creates; and dealing drugs.
As a professional lettings company, Charles White Ltd endeavours to "vet" tenants through referencing in order to try to protect the interests of our landlord clients and their properties. We welcome this initiative between the private renting sector and the Scottish Executive to raise standards and recognise good practice in the private rented market in Scotland.
The scheme has the opportunity to further improve and enhance quality right across the private rented sector. Landlords and letting agents should be committed to providing good quality, well-managed properties.
DAVID HUTTON
THE Scottish Executive's move to further regulate private landlords via a registration and accreditation scheme should be seen to be a positive initiative for the private rented sector in Edinburgh.
The objective is to create basic minimum standards for residential property lets across the city which will impact on both landlords and tenants. The proposal will provide greater accountability and I am confident that responsible landlords and tenants will welcome the scheme. There will, however, be a number of landlords less enthusiastic about registration because it will literally require them to get their house in order.
The proposal, expected to come into effect around March 2006, will require all private landlords, including those with just a single property for rent, to register with their local council and undergo background checks including whether an applicant has a criminal record.
The scheme will assess whether landlords and agents are "fit to manage in a proper manner"; provide a list of properties let by or on behalf of private landlords; make it an offence to let out a property without being registered; and give powers to local authorities to stop rental income to unregistered landlords.
Landlords who already hold a Houses in Multiple Occupation (HMO) licence for three or more unrelated tenants will automatically be registered. There is still the question of how the Executive or local authorities will monitor unlicensed landlords and to what degree they will take action for either failure to register or where the property does not meet with the minimum standard.
Unlike the registration scheme for HMO licences, which was introduced on a graduated basis, this proposal is likely to become effective overnight and clarification is required on how Edinburgh City Council plans to register all let properties within the city before the cut-off date next year. At present there are approximately 27,000 rented properties and 12-14,000 landlords. Once in place, the scheme will need to be simple and easy to operate to avoid it becoming over-bureaucratic - detail is still required on how this will be managed.
For example, if a portfolio landlord or letting agent adds a new property to their books, will they be required to re-register or will there be a simple and flexible process in place to allow for additions? How long will it take to register and what happens in the interim? What will it cost?
One major area of concern is the potential for landlords being "punished" for the behaviour of antisocial tenants. As it stands, landlords who are unable or unwilling to control such tenants could be served with antisocial behaviour notices, ordering them to resolve the problem. If they fail to take action they could be subject to a rent penalty or de-registration, making it an offence for them to collect rent on any property, including additional properties where they have good tenants.
This could ultimately mean that good, responsible landlords could be penalised for having the misfortune of having some difficult tenants with antisocial behaviour issues. Enforcing such a code would seem to be unfair on the unfortunate landlord! Clearly there must be some degree of responsibility from a landlord with such tenants. However, there must be a clear definition of what constitutes antisocial behaviour in such circumstances.
We suggest that the Executive approach leading property advisers to agree antisocial behaviour boundaries. Landlords will need to be confident that they are not being held liable for complaints which are not considered antisocial behaviour.
The Crime and Disorder Act 1998 describes antisocial behaviour as behaviour which causes or is likely to cause harassment, alarm or distress to one or more people who are not in the same household as the perpetrator. Among the forms it can take are: graffiti - which can on its own make even the tidiest urban spaces look squalid; abusive and intimidating language; excessive noise, particularly late at night; fouling the street with litter; drunken behaviour in the streets and the mess it creates; and dealing drugs.
As a professional lettings company, Charles White Ltd endeavours to "vet" tenants through referencing in order to try to protect the interests of our landlord clients and their properties. We welcome this initiative between the private renting sector and the Scottish Executive to raise standards and recognise good practice in the private rented market in Scotland.
The scheme has the opportunity to further improve and enhance quality right across the private rented sector. Landlords and letting agents should be committed to providing good quality, well-managed properties.
Regards
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