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Private Rented Property Licence -Your Opinion

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  • Private Rented Property Licence -Your Opinion

    Property owners who rent property in the private sector,are being asked pay for a private rented property licence (per property), it varies in each area, £500 to £750, £1,000.00. What are your views on it, can it be stopped or delayed, or paid in installments over 1 Year?

    At Councils
    discretion, this fee may be charged each year, or every 5 Years.

    It’s an extra Tax on good landlords, already complying with regulations.


    You will be asked to upload a copy of your PAT certificate, annual gas safety certificate and aksed to comply with various electrical and other general safety requirements.

    The scheme is supposed to protect landords and tenants alike. The only thing this is going to do is increase the rent costs for tenants and nothing more.
    Also at the Council discretion they can visit any time, (is this allowed under present law?) they don’t own the Property.
    Effectively, it sounds like they or their Management agents, will treat Private Property with Tenants, as if it was their property, with council tenants, this can't be right, where are the Owners rights?, and the Tenant rights?


    All licensed properties will be subject for inspection


    The Tenants are not Council Tenants, they can issue fines at their discretion, even take over the management of the property, why is this allowed under present law, what rights does the Property owner have?
    What are the Tenants and landlords right to privacy?, Can anything be done, it’s a private property, not a Council Property, or Council Tenants
    There appear to be no additional benefits in paying into this scheme if you rent through an estate agent and all these checks on the property and the tenant are regularly carried out.
    You have to pay the licence fee before a deadline date, otherwise there is penalty fees, Yet another form of Tax.
    In areas subject to selective licensing, all private landlords must obtain a licence, it is the landlord’s legal obligation. Failing to do so could result in heavy-handed penalties, “If the landlord of a property in a selective licensing area doesn’t have a licence, he/she commits an offence that may be punishable by a fine of up to £20,000.”
    But that’s not all, breaches of the licence can also incur extra penalties in the sum of £5,000.
    You have to pay via credit card or Debit card, Is this allowed, you have no choice in the payment method, why not via cheque or Bank draft, or cash over the counter, at their admin offices?

    We will contact unlicensed landlords with information about the scheme and how to apply.
    If the landlord does not respond we will send a reminder,
    but if there is still no response we will look to prosecute them for failing to apply for a licence.

    Inspections

    Licensed private rented properties will be inspected, if our enforcement teams become aware of issues, These will be scheduled appointments.

    What will inspectors look for?
    Everything a good landlord looks after as standard –
    a property with well maintained, rooms, outdoor
    spaces and appliances, good fire safety measures, no overcrowding, and signs that issues are dealt with promptly and effectively.

    Officers will also need to check that the licence conditions are being complied with, for example we will need to see that
    tenants have been provided with a written tenancy agreement.
    How will you monitor the scheme?

    As part of the scheme, there is a number of Key Performance Indicators which will be published in the Newsletter as well as using the Licensing Forum to scrutinise the scheme and make changes where necessary.


    What are these KPI? Yet more costs to the Owner no doubt.


    Landlords who break licence conditions could face


    prosecution and fines of up to £5,000

    Additional methods may be introduced such as:

    A Management Order, to take control of the property from the landlord -

    A Rent Repayment Order (RRO) for up to 12 months rental income
    If a landlord genuinely participates in foul-play, there are laws already in place to enforce prosecution. This legislation won’t add any extra ‘needed’ penalties. All this is going to do is add an extra penalty on already prosecutable offenses.
    · Tackling antisocial behavior: the most mystifying aspect about this scheme is that it’s meant to reduce levels of antisocial behaviour. I have no idea what statistical information was crunched in order to swing that conclusion, but I fail to fathom the correlation.
    I understand how it might improve living standards for tenants, but beyond that, I see no overall advantage for landlords or the Tenant
    Mortgage lenders have started to refuse lending in landlord licensed zones, which makes sense, but obviously that’s a massive concern, but not only regarding borrowing, but also other services like insurance cost rising in these areas.
    "WE DON’T LEND ON PROPERTIES WHICH NEED A SELECTIVE LICENCE. THIS MEANS THAT WE ARE UNABLE TO LEND ON (BUY TO LET) ON ANY PROPERTY

    This license is not going to protect tenants from “bad landlords”
    • Many landlords are already on tight budgets, so they’ll need to get that extra money to pay for the license from somewhere. Who do you think will be the most likely person they look to when it comes to passing on the costs?
    • Even those that aren’t on tight budgets, it’s just another justified excuse to raise the already crazy rental prices. Letting agents will have a field day- because I’m sure they’ll somehow swindle this cost into their ‘admin fee’
    • Instead of paying the license, wouldn’t both landlord/tenant rather spend that money on improving the property and making it more comfortable? In that sense, the license suddenly becomes extremely counter-intuitive.

    It's just another form of Penal tax on us law abiding citizens.
    Could it be a way of forcing some Landlords to sell, maybe to pay their fees, penaltys, and then the Council would obtain the Property for their Council Tenants.
    that Antisocial Behaviour is Landlords' fault! How about the issue with unemployment, lack of jobs and the dark economic days we have been living in, or maybe that has something to do with the ASBOs roaming the streets!?
    There seems to be so much legislation do we really need any more and will small scale landlords end up getting clobbered as well? It could force Landlords to increase rent, or sell their Property, with less Buyers wanting to buy in licenced areas.
    What legal powers will licensing give to the council?
    The council will adopt all legal powers as provided for by the Housing Act 2004

    including:
    the capacity to grant or refuse a licence
    Right of entry
    Requirement for a private rented property to have a licence
    The requirement to impose additional licence conditions
    The power to take over the management of any property that is required to be licensed but is not so

    Licence holder definition



    Who should be the CPRPLholder?
    The Housing Act 2004 requires the council to only grant a licence to the most appropriate person,
    which in most circumstances would be the owner of the property or the named landlord on the tenancy
    agreement.
    ·
    The licence holder must be the person who is responsible for managing and is in control of the property and must be a ‘fit and proper’ person
    .
    ·
    The licence holder should be able to authorise, organise and pay for essential repairs to the property

    They must be available to the tenants should questions or problems arise in respect of the property, and must have the means to resolve them where reasonably practical

    You can be a licence holder and live abroad though you will need to satisfy the
    council that you have in place appropriate management of the property

    Please be advised that if the proposed licence holder or manager fail the fit and proper test, your application may be rejected and the licence application fee will not be refunded.


    It is not improving housing conditions, encouraging investment or doing anything to train landlords and letting agents.

    Local authorities are also given too wide a latitude to decide on fees.



    The scheme will add cost without adding any value. As such it will be bad for tenants as well as landlords.


    Penalize landlords who at the end of the day are facilitating the supply of lettings

    Indirectly push up rents.

    Do local authority landlord licensing schemes ensure that landlords are trained and take a pride in what they do? NO (if they did, the National Landlords Association and the Residential Landlords Association would be in favour).

    Are local authority landlord licensing schemes run by people who care about decent landlords & accept the valuable contribution made by the private rental sector and wish to support and promote it? NO.


    Do landlord licensing schemes drive up standards of privately let accommodation? There is little evidence of this, and indeed councils already have powers to tackle bad landlords.



    rejected the Enfield council scheme
    http://m.enfieldindependent.co.uk/ne...dicial_review/

    Last edited by sam9002; 21st July 2015, 12:51:PM. Reason: replacing some text
    Tags: None

  • #2
    Re: Private Rented Property Licence -

    Thank you Enaid, Wish it wasn't true, :tinysmile_cry_t:there is more than enough to pay for, all the best.

    Comment


    • #3
      Re: Private Rented Property Licence -Your Opinion

      Interesting about the part they can visit at any time

      Thats not part of a standard AST.

      A landlord, can enter the property, after giving three days clear notice, at a reasonable time of day. Service engineers can enter in an emergency ( gas/water/eleccy ).

      But the is an over-riding principal with a tenancy contract. that the tenant " should be left to peacefully enjoy the property " can be worded many ways.

      The council could visit, if the tenant requested, but that always been the same ???? i wander how this would play out.

      With licencing, in a way, i agree, but, maybe 50 per year to check compliance. There really are some very unsavoury landlord out there, and the bottom of the market tenants need protecting from them.

      Maybe instead of licencing, have an agreed minimum standard of a property, prior to letting it out. Have this as a formal requirment

      The council will adopt all legal powers as provided for by the Housing Act 2004

      including:
      the capacity to grant or refuse a licence
      Right of entry
      It would be interesting on how they could interpret that, to fit checking licence conditions
      crazy council ( as in local council,NELC ) as a member of the public, i don't get mad, i get even

      Comment


      • #4
        Re: Private Rented Property Licence -Your Opinion

        good idea but about a 100 quid not 500 or a grand

        Comment


        • #5
          Re: Private Rented Property Licence -Your Opinion

          (Maybe instead of licencing, have an agreed minimum standard of a property, prior to letting it out. Have this as a formal requirment)
          (maybe 50 per year to check compliance.)

          Thank you, That makes perfect sense and is reasonable, I think most people would agree.suggest that to the policy/law makers.

          Comment


          • #6
            Re: Private Rented Property Licence -Your Opinion

            This looks like part of the housing act 2004 . I'll have to check and is meant to refer to Houses in multiple occupation . The scheme is supposed to eliminate rogue landlords .

            Comment


            • #7
              Re: Private Rented Property Licence -Your Opinion

              Originally posted by seduraed View Post
              This looks like part of the housing act 2004 . I'll have to check and is meant to refer to Houses in multiple occupation . The scheme is supposed to eliminate rogue landlords .
              Thank you, I got this information.

              Landlords with rental homes in the London borough of Newham have been sent notices that they must license all properties.

              Mandatory blanket licensing of all rental properties in the borough


              Failing to do so could result in heavy-handed penalties, “If the landlord of a property in a selective licensing area doesn’t have a licence, he/she commits an offence that may be punishable by a fine of up to £20,000.”
              But that’s not all, breaches of the licence can also incur extra penalties in the sum of £5,000.




              The council will adopt all legal powers as provided for by the Housing Act 2004

              Legislation is already in operation, to deal with bad Landlords.

              Comment


              • #8
                Re: Private Rented Property Licence -Your Opinion

                Sam you are quite right; legislation is already in place to protect tenants from bad landlords. None of us are naive enough to think that there are not horrendous landlords out there but once the tenants are aware of their rights and the breaches are reported then action can, and usually is taken against the offending landlords. This has the feel and smell of yet another scheme by councils to rake in yet more money for doing sod all. Will it eliminate dodgy cash in hand landlords –no. Will it cost both good landlords and their tenants more money- yes.

                An optimist is someone who falls off the Empire State Building, and after 50 floors says, 'So far so good'!
                ~ Anonymous

                Comment


                • #9
                  Re: Private Rented Property Licence -Your Opinion

                  I think if you employ an agent then it should be they that have to deal with licensing etc and cover the costs. IMHO that is what you employ them for to make sure all is ok with the tenant and the Landlord.
                  Having been watching a new tv programme on in the mornings on sub letting ( I know this is about social housing) but it does show some of the appalling accommodation some people are living in and being totally ripped off.
                  Sadly renting is now massive and it's not unexpected at all that all sorts of dodgy dealings are going on it's par for the course that the powers that be shut their eyes to something that wont concern them.
                  Yes I do think private landlords need keeping an eye on but only financialy penalised when they have wronged (and I mean severely) and not simply because they are providing a service.

                  Comment


                  • #10
                    Re: Private Rented Property Licence -Your Opinion

                    PAWS you are probably correct that it will be another money spinner, it seems to be another blight that is hitting the country. When gas engineers asked training centers about the cost of mandatory training the reply was along the lines of " the public are asking for you to be tested and qualified so will we will charge you what we want and you just pass it on". I think people are just looking for these opportunities now with the excuse that it is just passed on and that is one of the reasons it is getting so expensive to live here. There are rogue landlords around, I know I have turned down work from them, but some of the good landlords are good because they make very little from their rent due to the fact that they are on top of things anyway. Some landlords view it purely as business and hence place the business model on how they want to run their business, slum landlords are always going to be slum landlords and high fliers are always going to target the top returns. Its the landlords in the middle who will be hit by this the ones who just view it as a long term investment/pension pot and these people tend to be quite good with their tenants wherever possible.

                    Comment


                    • #11
                      Re: Private Rented Property Licence -Your Opinion

                      If Comes to cambridge that will be end of my business !

                      Comment


                      • #12
                        Re: Private Rented Property Licence -Your Opinion

                        Originally posted by PAWS View Post
                        Sam you are quite right; legislation is already in place to protect tenants from bad landlords. None of us are naive enough to think that there are not horrendous landlords out there but once the tenants are aware of their rights and the breaches are reported then action can, and usually is taken against the offending landlords.

                        This has the feel and smell of yet another scheme by councils to rake in yet more money for doing sod all. Will it eliminate dodgy cash in hand landlords –no. Will it cost both good landlords and their tenants more money- yes.
                        Will it eliminate dodgy cash in hand landlords –no. Will it cost both good landlords and their tenants more money- yes.[/QUOTE]

                        Paws I agree 100% Isn't it unreal the Law makers passed such legislation, and Law abiding citizens can do not thing about it, it seems, and will suffer, who is on our side, fighting our corner?

                        - - - Updated - - -

                        Originally posted by seduraed View Post
                        If Comes to cambridge that will be end of my business !
                        Sorry to hear that, how awful, a lot of us are in the same situation, what can we do to try to at least stall it, and/or have it changed, if possible?

                        Comment


                        • #13
                          Re: Private Rented Property Licence -Your Opinion

                          I came on this from Sept 15th, what are the practical implications of this?

                          http://blog.propertyhawk.co.uk/2015/09/licensing-of-landlords-off-political.html


                          Wednesday, September 16, 2015

                          Licensing of landlords off the political agenda

                          It seems, at least for now that the Government has no intention of bringing in mandatory licensing for landlords in England. The subject of rogue landlords was raised with the Housing Minister, Brandon Lewis in the House of Commons on Monday -

                          Comment

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