Tag Archives: guides
UK lettings agents and landlords surprised at proposal for mandatory licensing
The private rented sector in the UK said it is surprised about proposals to introduce a mandatory licensing system due to be in the Queen’s Speech later this week at the opening of the new parliament. Prime Minister David Cameron said in his speech on immigration last week that landlords throughout the country will be required to check the status of immigrants who rent their property following a pilot in the West Midlands. But, without giving details, he also said that a new mandatory licensing scheme will be introduced along with new rules allowing landlords to evict illegal immigrants more quickly. ‘We’ll also crack down on the unscrupulous landlords who cram houses full of illegal migrants, by introducing a new mandatory licensing regime. And, a bit like ending jobs when visas expire, we’ll consult on cancelling tenancies automatically at the same point,’ he said. Landlord and letting organisations are concerned and are waiting for details which are likely to be in the Queen’s Speech on Wednesday. ‘We are pleased to see the Government listened to our housing manifesto calls for greater regulation of the private rented sector. However, whilst this is a step in the right direction, it’s not the full solution to the problem of rogue agents plaguing the market,’ said David Cox, managing director of the Association of Residential Lettings Agents (ARLA). ‘We urge the Government to take this opportunity and impose more appropriate, over-arching regulation on the whole lettings industry. We look forward to hearing the full details of the plans in the Queen’s Speech,’ he added. The Residential Landlords Association said it has writing to immigration minister James Brokenshaw asking for an urgent meeting to discuss the proposals. ‘No form of universal licensing of rented property is proven to capture the most unscrupulous landlords. As so often, the devil will be in the detail,’ said RLA chairman Alan Ward. Continue reading
Average house prices in British seaside towns up by a third since 2005
House prices have increased, on average, by a third across British seaside towns over the past decade, according to the latest research. Prices are up by 31% or £49,207, equivalent to £410 per month, from £159,522 to £208,729, the data from UK lender the Halifax shows. However, there is a marked north/south divide in property values in seaside towns, with all 10 of the most expensive seaside towns in southern England, and seven in the south west alone. Salcombe at £672,874 in Devon and Sandbanks at £614,726 in Dorset are the two most expensive seaside towns in Great Britain and both are in the south west. Outside this region the most expensive seaside towns are Aldeburgh on the Suffolk coast with an average price of £413,393, Lymington in the New Forest at £404,781 and East Wittering in West Sussex at £330,146. Outside southern England, the most expensive seaside areas are the Scottish towns of St. Andrews at £294,586, North Berwick at £294,076 and Stonehaven at £243,741 while in Wales the most expensive is the Mumbles at £271,349. The biggest house price rises in the average price of seaside towns over the past decade were all recorded in Scotland. Fraserburgh in Aberdeenshire recorded the largest rise, with a 109% increase in property values from £63,540 in 2005 to £132,920 in 2015. Lerwick in the Shetlands and Peterhead in Aberdeenshire saw the next largest rises both 102%. A further 15 coastal towns out of a total of 59 surveyed have recorded price increases of at least 50% since 2005. Partly due to the substantial rises in the top performing towns, the average house price in Scotland's seaside towns rose by 38% between 2005 and 2014, exceeding the 31% increase for Great Britain as a whole. Newtonhill saw the largest house price increase over the last year, going from £199,902 in 2013 to £240,899 in 2014, a rise of 21%, followed by Dalgety Bay at 16% and Macduff at 15%. The research also shows an east/west divide in house prices in Scottish seaside towns, with nine of the 10 most expensive seaside towns being located on the eastern coastline while all of the 10 least expensive seaside towns are in western Scotland. Port Bannantyne is the most inexpensive in Scotland with an average price of £73,539. Outside Scotland, the biggest increase in average prices during the last 10 years was recorded in Salcombe with growth of 69%, followed by Workington in Cumbria up 60% and Brighton up 58%. House prices have continued to increase in several seaside towns over the past year. Newtonhill in Aberdeenshire and Shoreham by the Sea recorded the largest average price growth in the last 12 months, with increases of 20%, four times the average increase for all seaside towns in the past year which was 5%. The next biggest price rises were in Sandwich in Kent and Watchet in Somerset, both with year on year growth of 18%, followed by Seaton on the… Continue reading
New proposals for UK landlords welcomed by the industry
The UK’s National Landlords Association has welcomed new government proposals on immigration that will affect the country’s residential private rented sector. Prime Minister David Cameron announced a number of proposals to be tabled in a new immigration bill which will be a central part of the new Government programme to be announced in the Queen’s speech, next week. They include new powers for councils to crack down on unscrupulous landlords, allowing landlords to evict illegal migrants more quickly and a nationwide Right to Rent scheme. The announcement also includes a new mandatory licensing regime and there will be a consultation on cancelling tenancies when visas expire. ‘We welcome the initiative taken by government to tackle the problem of criminals acting as private landlords to exploit illegal migrants,’ said Richard Lambert, NLA chief executive officer. But he pointed out that it important that councils are given the necessary funding to ensure that they can enforce these powers effectively. ‘This would help drive up standards in the sector and send a powerful message to criminals. One of the fundamental reasons that a minority of criminal landlords are able to get away with providing poor living conditions is that councils do not have the resources to make use of their already significant powers,’ Lambert explained. ‘We would like to see the Treasury allow councils to keep the proceeds of the fines from prosecutions so that councils have both the powers and finances for enforcement, without going cap in hand to the Treasury,’ he added. The NLA is also pleased that the government has given landlords the ability to deal quickly with illegal migrants and Lambert said he hopes this deters those that want to stay in the UK illegally. ‘We are, however, a little concerned regarding the Right to Rent scheme. Landlords are happy to help to check that tenants are who they claim to be. However this should not be a way for the Government to pass the buck on to landlords when tacking illegal immigration,’ Lambert said. ‘We hope, before the scheme is rolled out nationally, that the Government take the time to review how the first phase in the West Midlands has worked and draws on the lessons from that, rather than ploughing ahead regardless,’ he added. He also said that the introduction of a new mandatory licensing regime also raises concerns. ‘We are therefore urgently seeking clarification on whether this would be new policy or related to the current licensing schemes,’ said Lambert. Continue reading
