Tag Archives: Private Rented Sector

UK’s private rental sector set to expand

The UK’s private rental sector will continue to grow because there is a shortage of affordable property leaving many people with little option but to live in rental accommodation, according to a report. The findings come from research carried out by insurance specialists Cover4LetProperty which found that 28% of adults in the UK are living in social or privately rented homes. They also found that with fewer people able to gain access to social housing, more than half of those aged over 40 will be living in a property owned by a private landlord. In addition, 57% of people aged over 60 will also be living in a private rented property. Those who earn between £10,000 and £20,000 will be the most prolific renters with two in three people in this income band having to rent. A report from housing charity Shelter also highlights that younger people have now given up hope of owning their own home because of unaffordable property prices. The insurance firm’s report also points to a study carried out by accountancy firm PwC which stated that the number of first time buyers will continue falling over the coming 10 years because they are struggling to raise […]

Landlords stump up £4.5 billion in property damage repairs

Thousands of landlords in the UK are left out of pocket when a tenancy comes to an end with figures suggesting that the total repair bill for private rented homes is a shocking £4.5 billion a year. That’s the result of research by the Tenancy Deposit Scheme (TDS) who say the most common damage includes having to pay for broken appliances, ruined carpets and unauthorised decoration. In a report, TDS suggests that when it comes to deposit disputes damage to property accounts for 56% of all claims. In addition, around 19% of disputes saw tenants receiving 100% of their claim. Nearly 20% of deposit disputes saw agents and landlords being paid in full. For the balance of 61%, the deposit was shared out between the parties. ‘Landlords have a poor record’ $nbsp; Jax Kneppers, the founder of Imfuna Let, said: “Landlords feel their tenants are not held to account for damage caused and there’s little that can be done to protect their property. Landlords also have a poor record in winning their tenant dispute cases.” He points out that the situation could be changed dramatically with a few simple changes including a new and fairer tenancy agreement which incorporates a […]

BTL landlords ‘don’t assess true costs’

The boom in the buy to let sector is seeing growing numbers of landlords not assessing properly the true cost of their outgoings, says one BTL specialist firm. According to Platinum Property Partners, this means the landlords have no idea about whether a property investment will be profitable or not. In addition, around half of buy to let landlords fail to calculate the cost of any potential repairs to the property as well. From a study by the firm, they have calculated that the gross average cost for a buy to let property the UK is £8,359 every year. This figure is calculated by considering letting agent fees, property repairs as well as mortgage interest. Landlords may be overestimating their potential returns   Platinum is claiming that landlords may be overestimating their potential returns on a property investment by 50%. They say that the best way of gauging an investment’s performance is to use either a return on equity or a return on investment calculation. By doing so, a landlord will factor in the potential gross profit, the capital gains and all associated costs that come with maintaining a buy to let property. The study has also revealed that many […]

100 buy to let homes raided by council hit squads

Enforcement squads and police have blitzed 100 rogue landlords in a week in a tough crackdown on an ambitious licensing scheme for 35,000 buy to lets.

Rents are rising – but not as fast as everyone believes

Talk of booming rents rocketing out-of-control and beyond the reach of tenants are just not true, according to research by the British Property Federation (BPF).

Buy to let doubles in 10 years

The number of people privately renting a home has nearly doubled in the past decade, according to the latest government census data.

GREEN DEAL: (PRS) PRIVATE RENTED SECTOR

Traditionally within the private rented sector a landlord would fit the bill for any energy efficiency improvements carried out within or on the property. It is the tenants however that go on to make the savings from the reduced energy bills. The Green Deal scheme is working to bridge this gap and under the Green Deal a landlord will be able to make energy efficiency improvements to their property with no upfront costs to themselves. The repayments are made from the resulting savings on the tenant’s energy bills. Thus allowing the tenant to benefit from an energy efficient home and ensuring that Green Deal energy saving repayments do not negatively impact the tenant or landlord. The Energy Act 2011 has been put into place to enable the Government to help with ensuring an uptake of cost effective energy efficiency improvements particularly within the Private Rented Sector. This means that the Government will work with and actively encourage the PRS to implement Green Deal energy saving measures through the flagship Green Deal scheme. Two key points of the Energy Act 2011 follow: 1. As from April 2016, and where financial support is available, such as the Green Deal and or the Energy […]