A new government-commissioned report from the York University academic Julie Rugg highlights a range of problems, such as unsatisfactory landlords and poor service from estate agents. The development of the rental sector could be linked directly to rewards for the best landlords in exchange for greater regulation and with mandatory licensing for landlords.
Tenancy and landlord protection are important areas covered in the recommendations, with mandatory regulation for letting agencies and streamlined grievance procedures to prevent protracted disputes that could protect the interests of both landlords and tenants.
Agents and landlords with properties to rent in Chiswick are self-regulated to a certain extent says Christian Harper of Chiswick estate agent Oliver Finn: “If we don’t provide quality accommodation and a proficient service then tenants will vote with their feet. Tenants won’t be fobbed-off but will move to another agency or property.
“Lettings agencies must ensure their landlords step up to the mark. Our lettings team is as meticulous with landlords as it is with tenants and we’re not interested in owners who are reluctant to maintain their properties.
Redress not red tape
“We welcome any service improvements highlighted by the Rugg Report but we don’t want unnecessary red tape in an industry which is already well regulated with an effective redress scheme”, said Harper.
Since last June, the Office of Fair Trading awarded the Ombudsman for Estate Agents Company Limited (OEA) approval for its estate agents redress scheme under the Consumer Estate Agents and Redress Act 2007 (CEARA).
Estate agents that are members of industry bodies such as NAEA (National Association of Estate Agents) and ARLA (Association of Residential Letting Agents) are also bound by strict codes of conduct. How the recommendations of the Rugg Report will translate into legislation is not clear yet but suggested improvements include:
- Introducing a new independent complaints and redress procedure for consumers, to help end long drawn out disputes.
- Tax changes to encourage good landlords to grow, including changes to stamp duty to encourage them to buy more properties.
- Looking at ways for the PRS to be more accommodating towards households on lower incomes, including considering more support for landlords prepared to house more vulnerable people.
- Local authorities taking steps to better understand the sector and support good landlords whilst tackling poorly performing landlords and promoting tenants’ rights.
