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TODAY'S OTHER NEWS

Landlords and tenants must ‘come to an agreement on rent owed’

A number of buy-to-let landlords continue to work closely with tenants to support those in rent arrears as a result of the Covid-19 outbreak, and while the stay on evictions for a further four weeks provides a brief reprieve for renters, more needs to be done to provide access to justice, according to the Law Society England and Wales.

The Ministry of Housing, Communities & Local Government (MHCLG) announced that it would be extending the stay on evictions for a further four weeks, until 20 September. But tenants are still required to pay their rent and landlords are still able to serve a notice of eviction, with a new six-month notice period in the majority of cases.

The government first introduced these measures on 26 March 2020, for an initial period of three months. The stay was then extended on 5 June until 24 August and has now been extended again so vulnerable tenants can get the help they need, and courts can continue to make the necessary arrangements. 

Law Society president Simon Davis said: “The government and the courts have passed new court rules and provided extra protections to vulnerable tenants and those who have been significantly impacted by the pandemic.

“However, more needs to be done, including resolving the legal aid deserts currently preventing tenants in some areas from receiving legal advice and making wider legislative changes to prevent a spike in homelessness.”

Stacy Eden, head of property and construction at Crowe, acknowledges that the government has extended the ban for evicting residential tenants in an attempt to protect them against a rise in evictions, but accepts that landlords also need greater support, with many facing arrears of their own as a result of the Covid-19 crisis.

Eden commented: “A balance must be struck because it could be argued this comes at the expense of landlords who do not have the means to collect rent that they are owed and some landlords need this to live off or pay bank interest.

“A happy medium is therefore tough to find. It may be that the government is hoping this is the last extension of the ban in an attempt to be fair to landlords whilst ensuring most tenants and landlords can come to an agreement on rent owed, without the need for court proceedings.”

  • jeremy clarke

    Come to an agreement? Simple really, tenants oew rent, everyone agrees that they must pay or lose their homes. The property belongs to the landlord, not the tenants, not the government, the landlords. Unless this is resolved very soon, I foresee landlords taking possession into their own hands and I hope the courts back them every step of the way!

    Mark Wilson

    The law is the law Jeremy. A tenant may owe rent and there is a court system to recover. The system maybe crap but so are most things. Ask any would be first time buyer whats it like and what they think of buy to let speculators.

     
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    Mark. Please pay attention! The court system is currently suspended meaning feckless rogues are squatting in homes which could otherwise be let to decent tenants willing and able to pay their way. Why would any right thinking person protect a feckless rent dodger at the expense of a decent hard working family?

    Over the last few months there has been huge support for most of society - except landlords - and many jobs available in supermarkets etc. for those willing to work.

     
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    Has reality hit home yet ?

    It can often be difficult to discern the truth amongst all of the many dogs barking.

    Simon D

    This is the third time you've posted this cryptic comment, what on earth are you on about?

     
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    @Simon D , Seb is a wind up merchant just ignore him the rest of us do.

     
  • girish mehta

    Landlords have been and will supporting the government and tenants for a year and the justice system supporting and government and tenants in not paying the rent. In fact tenancy agreement worthless
    How long do the government and landloards need to support these people. And now you have various legal organisations offer added service to help them and landlords end up paying for the service.

    Wake up you guys you will create lot of homeless people
    Stop thinking short term solutions.

    Landlords won’t keep tenants for free. They rather keep the property empty or sell up.
    And with the economy going down hill you want get FTB to buy these as there will Brno job security.

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    Tenants need landlords, that's simple, few tenants will ever be FTB , they'll never save enough for a deposit or be accepted for a mortgage , so big increase in homelessness .

     
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    • 25 August 2020 18:30 PM

    @markwilson

    Any business involves speculation.
    That is how capitalism works.
    LL do not and have never prevented any FTB from buying.

    Very rarely would LL outbid a FTB.

    The problem for FTB are the PRA regulations.

    FTB are not allowed IO mortgages.
    LL are.
    LL are not permitted by lenders to usually have mire than 75% LTV gearing
    OO are able to obtain 95% LTV mortgages.

    Rarely have FTB bothered to save a sufficient deposit.
    FTB are just envious of LL who invariably have a 25% deposit.

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    Our generation saved, done over time at work, had a day job and an evening / week end job, bought a run down property rolled our sleeves up and renovated it, lived in a caravan in the back garden while renovating, that's why '' we're alright Jack ''!

     
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    Our generation is right & the sacrifices we made, I would rather not think about living in a caravan having done that all those years ago when I lived in one for 6 months in Winter, away from home to follow the work in Lincolnshire by the Wash near Boston. The cold was unbelievable, no hot water or central heating just a small coal fire about one ft cube, that burned out about 12.30 am & by the time it got to 4.00 am you knew all about it, you wouldn't see me I was under the bed covers to survive. I always worked hard, never smoked, saved every penny that I could usually half my wages but now so many wants everything for free, if Tenant don't have hot water now the LL would probably get fined, they expect without input, half the UK over weight from soft living (big belly Britain). I don't think it right that several are living off me for free with Parliament & every lame duck Charity backing them I earned my living and never drew Benefit.

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    But Michael we can hold our heads up high, we paid our way and earn't every thing we have now.

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