Shelter calls on Shapps to tackle rogue landlords as complaints rise by 23%

New figures released by Shelter today show a worrying rise in complaints about rogue landlords at the very time the private rented sector sees its biggest growth on record.

Over the past 12 months the housing and homelessness charity has seen overall complaints about landlords increase by 23 per cent. Specific issues include complaints regarding shocking levels of dampness and disrepair which have risen by more than 40% and complaints of harassment by private landlords which have risen by nearly a quarter.

Meanwhile the number of households privately renting has hit 3.4 million, a massive 40 per cent rise over the past five years, due to a chronic shortage of social housing and millions being priced out of the housing market

These figures raise serious questions about how rogue landlords are still able to operate freely, preying on the most vulnerable and leaving them to live in properties that could be a serious danger to their health and wellbeing. While they represent only a minority of landlords, the charity is concerned by the sharp increase in complaints and the impact this is having on tenants’ lives.

Click here to read the full article Shelter calls on Shapps to tackle rogue landlords as complaints rise by 23%

NetRent Comment

We agree with Shelter that so-called Rogue Landlords are unacceptable but this campaign is completely unbalanced. The statements they make and the way they make them would be laughable if they weren't so serious.

Click here to have a look at their Facebook campaign Evict Rogue Landlords Video - just don't play the video or you will telling the world that you 'Like' the Rogue Landlords Campaign.

The Best Buy-to-Let Areas Revealed

The buy-to-let market has been less than buoyant recently, yet it finally looks set to pick up with landlord numbers expected to rise this year.

So where are the best and worst areas to secure rental return on your investment?

Optimism is returning to the buy-to-let market, according to a new survey by The Mortgage Works which found that the majority of brokers believe the number of new landlords will increase in the coming year, and existing landlords will grow their portfolios.

While admitting there may still be some way to go before a full recovery is seen, the lender said the signs are that the buy-to-let market is in a buoyant mood.

Click here to read the full article The Best Buy-to-Let Areas Revealed

NetRent Comment

Landlords who are looking to buy can take advantage of the NetRent Mortgages offer - independent advice on Buy-to-Let mortgages with no broker fees.

Click here to visit NetRent Mortgages

Tonic for buy-to-let market

The buy-to-let market received a boost this week after the government announced it would cut the tax cost of buying multiple residential properties, potentially unlocking £7.5bn of investment into the private rented sector.

Property experts said the change would encourage more professional landlords and larger institutional investors to build up their portfolios, increasing the supply of private rented houses to the market.

Click here to read the full article Tonic for buy-to-let market

Campaign to make squatting a crime gathers pace

An early day motion calling for squatting to be criminalised and a petition to be presented on April 4 at Downing Street are part of a new campaign.

The proposed new law will mean that home owners will no longer have to go through the civil courts in order to evict squatters from their properties.

Instead the police will be able to force entry and arrest anyone who has occupied a property without the consent of its owners. In Scotland, squatting is illegal and offenders can be jailed for up to 21 days.

At present, squatters may legally enter an empty property provided they do not cause damage when gaining access. Existing laws protect squatters by preventing a homeowner from forcing their way back into a property using force.

Click here to read the full story Campaign to make squatting a crime gathers pace

Landlord fined record figure for safety risks

A Leeds landlord has been hit with a record fine and costs totalling almost £25,000 after ignoring numerous warnings to licence his properties.
Martin Horsfall was found guilty at Leeds Magistrates last Friday in his absence and fined £20,000 for failing to get a selective licence on four properties in Cross Green and East End Park in Leeds

Click here to read the full story Landlord fined record figure for safety risks

Lettings data indicate steady rise in cost of renting

Tenants signing new contracts suffered a small rise of 0.2% in rents during February 2011, pushing the average rent in England and Wales to £684 per month – 3.9% higher than a year ago, according to the UK's biggest lettings agent network. But there was also an increase in tenant arrears during the month, indicating that many renters are struggling with the rising cost of living.

The average yield on buy to let property increased to 5% in February as rents increased at a faster pace than rental property values, according to the LSL Property Services buy-to-let index. Rents increased fastest in Wales, where they rose 1.9%, and the north-west and the east Midlands, where they rose by a respective 1.1% and 0.8%.

Click here to read the full article Lettings data indicate steady rise in cost of renting

NetRent Comment

With the scarcity of mortgages and the relative lack of property to buy it is inevitable that the demand for rented property will increase in the short to medium term. Rents are bound to rise because there is a finite amount of rented property.

Landlords who are able to add to their portfolios are likely to see healthy returns during this time, especially as there are now more Buy-to-Let mortgage options.

Click here to view the Top 10 Buy-to-Let mortgages from NetRent Mortgages. NetRent Mortgages are independent Buy-to-Let specialists, we do not charge broker fees on Buy-to-Let mortgages.

Government plan to turn empty offices into homes

The scheme, set to be announced in the Budget, is aimed at boosting the supply of new homes in the UK after 2010 saw housebuilding fall to the lowest level in a peacetime year since 1923.

The Government believes that if all empty office space in the UK was converted into residential property it could create 250,000 new homes and save nearly £140m in planning system costs.

Click here to read the full story Government plan to turn empty offices into homes

Property Ombudsman calls for law change to protect landlords and tenants from rogue letting agents

The Property Ombudsman, Christopher Hamer, is using his 2010 Annual Report to make a fresh call for more control over the actions of residential lettings agents.

The number of lettings offices voluntarily covered by The Property Ombudsman (TPO) scheme climbed to almost 8,000 by the end of 2010. However, Hamer is concerned that agents who do not sign up to and adhere by the standards in the TPO Code of Practice can continue to operate, potentially to customer detriment.

Hamer said: “The Code of Practice represents a comprehensive set of standards by which firms conduct their business. Knowing a firm is complying with those standards will give consumers confidence that they are dealing with an organisation which has a committed approach to customer service and that best practice is being treated as a priority by agents.”

Click here to read the rest of the article Property Ombudsman calls for law change to protect landlords and tenants from rogue letting agents

NetRent Comment

We support the TPO and recommend that all landlords and tenants carefully check that their letting agent is a member of The Property Ombudsman (TPO) scheme. Do not take the agent's word that they are a member of the TPO, you can check yourself by contacting the TPO here The Property Ombudsman

Law to protect good landlords

MSPs today passed a new law that will raise the standard of private rented housing in Scotland.
The Private Rented Housing (Scotland) Bill will protect the reputation of Scotland's good landlords and tackle the minority of bad landlords who are acting illegally.

Local authorities will have greater powers to tackle bad practise and penalise unlawful operators while improving tenants and landlords' awareness of their rights and responsibilities.

Bad landlords face a £50,000 fine and a ban on letting flats for up to five years. There will also be a crack down on unscrupulous agents charging extortionate, unlawful premiums.

Click here to read the full story Law to protect good landlords

Buy-to-Let Mortgages Start To Make A Comeback

During 2008 the number of Buy-to-Let mortgages plummeted from over 3,000 to fewer than 200 as lenders ditched the private rented sector in droves.

Lenders who previously competed so furiously for landlord’s business stopped competing with each other and stopped lending. In many cases lenders actually paid landlords to take their mortgages elsewhere. Analysts confidently predicted that the whole UK Buy-to-Let sector faced meltdown leaving lenders with huge debts.

The fact was that the Buy-to-Let sector did not suffer anything like the level of bad debts predicted and now Buy-to-Let lending seems set for a comeback. Lenders are finally beginning to realise that landlords make excellent customers as demand for rented property begins to soar.

What started as a trickle is now gaining real momentum as lenders head back into the Buy-to-Let market. After a stream of positive headlines about the prospects for the private rented sector even lenders are beginning to realise that landlords could be one of the few beneficiaries of the recession. When they look at their debt ratios they also see that Buy-to-Let fared better than virtually ever other mortgage sector during the recession.

The reality of the residential mortgage market is that lenders are not lending in sufficient amounts, builders are not building in the quantities needed and as a result the housing market is stagnant. First time buyers who are the driving force of the property market cannot get onto the housing ladder. The knock-on effect has slowed house sales throughout the whole property market.

January’s mortgage lending figures confirm that there has been a serious reduction in general mortgage lending. Only 28,500 loans were granted in January according to the Council of Mortgage Lenders.

An increase in bank rates is likely to further stifle any potential housing market recovery that might happen this year, and it is almost certain that interest rates will rise during 2011.

All this means that lenders have very few market sectors that they can lend to with any confidence. But people still need somewhere to live and the private rented sector looks set to benefit from a significant increase in demand from people looking for a home. This increase in demand makes lenders more confident about lending to the private rented sector.

With more lenders offering an increasing number of Buy-to-Let loans now may be the right time for landlords to think about buying more property or re-mortgaging existing property. For the first time since 2008 85% loan to value mortgages are now available. Landlords who require a lower loan to value have even more choice.

Now is the time for landlords to start reviewing their existing loans and to start considering increasing their portfolios.

Whilst it is true that obtaining any loan is still difficult, it is no longer impossible. The landlords who act first are likely to be the biggest winners.

NetRent Mortgages are independent Buy-to-Let specialists with access to the whole market – plus many exclusive mortgages. We charge no broker fees on Buy-to-Let mortgages.

You can view the entire Buy-to-Let mortgage range on-line, simply click here NetRent Mortgages.

If you would prefer to speak to someone please telephone 029 2069 5466 or email info@netrentmortgages.co.uk