Half of renters feel ripped off
Nearly half of private renters feel they have been ripped off by their landlord or letting agent, according to a poll commissioned by Ocean Finance (reported by Mortgage Introducer).
The biggest problem, cited by around half of unhappy renters, was the delay - or, indeed, complete failure - to get repairs carried out. This was followed by withholding of the deposit at the end of the tenancy (37%), or making unreasonable deductions from it (25%). Unreasonable rent rises and rip-off admin fees at the start of the tenancy affected around 23% of respondents.
These findings support work Generation Rent is already doing to improve the lives of renters. Only yesterday we published a consultation on new ways to help tenants recover their deposits.
We are also calling on politicians to strengthen tenants' rights when requesting repairs by protecting them from revenge evictions. Our proposals for a long term tenancy would ensure that landlords couldn't impose inflation-busting rent increases, while we argue that letting agents - who work for landlords - should not be able to pass on fees to tenants. Further information is in our Renters Manifesto.
What to do about letting agents...
Yesterday I was asked a surprisingly difficult question. I was asked what I thought of charities and local authorities setting up "ethical" letting agencies. The fact is I haven't given huge amounts of thought to it - though our office is maintaining a watching brief on their activities and seeing what can be learnt.
So I had to retreat to an instinctive (and unpopular) no. It seems inconceivably that the state or non-profit sector could or should compete in this space cost effectively. We're glad they do so as they are a rare respite for people who are routinely exploited, but on being scrutinised on the issue, I just couldn't see how they could be scaled to have a beneficial impact for millions of people.
I have had a think now, and while I did so fully prepared to explain why I had been wrong and have changed my mind, I haven't. I really don't think such projects are a solution to the letting agency problem. But as a representative of a tenant advocacy group, this does bear some explaining.Read more
7 mistakes to avoid when renting a new home
The housing market is always changing and expanding, and more people are now renting privately than ever. However, with the increase in demand comes an increase in the amount of letting agents who are willing to try and get as much money as they can.Read more
Letting fees ban - how MPs voted
We've had a number of requests to publish the list of how MPs voted in the failed bid to outlaw letting agent fees to tenants. You can see the full list here.
This campaign isn't dead though. We'll be working with enlightened Peers to bring this back in the Lords. Unlike MPs, Lords don't get their letting agent fees paid on expenses so we're expecting more support.
MPs snub renters over letting fees
The Government yesterday backed letting agents over renters by refusing to ban fees to tenants. In voting on the Consumer Rights Bill, Conservative and LibDem whips defeated the ban 281 to 228. The Government instead promised new fines for agents who don’t publish their fee tariff.Read more
Why banning letting agent fees won't push up rents
Supply and demand.
Oh you wanted more than that? Ok.
There is short supply and high demand for homes to rent. The balance between these forms a price that a tenant is willing to pay a landlord. So far not controversial.
However, that is not how the relationship between tenant and agent is characterised. At the time of signing a contract, the agent is the gatekeeper to a single home with any number of keen tenants. The agent is not an actor in the market for homes to rent but a creator of micro-monopolies for single homes.Read more
Compulsory registration of landlords and letting agents, mandatory safety checks; what we can take from the Welsh Housing Bill.
The motion to agree the general principles of the Welsh House Bill was unanimously carried in the Welsh National Assembly this week. The Housing Bill aims to improve the supply, quality and standards of housing in Wales and takes various aspects of housing into account, ranging from tackling homelessness to legislating within the private rented sector. In a positive move for renters, the Housing Bill specifically sets out legislation for compulsory registration and licensing of all landlords and agents. Furthermore, it has been suggested that the bill include a legal requirement for landlords to undertake regular safety inspections, such as electrical inspections, in all private rented housing, so the bill may yet improve.Read more