No Fault Evictions {Merged}

caprikid1

No-fault evictions to be banned in reform of rental sector - BBC News

I am sure this has been posted many times but surely this is not what the rental market needs at this point in time, with dwindling supply and a lack of variety IE 4 Beds / Rural / Quality property this can only make matters worse.

I appreciate the arguments from both sides but surely this market cannot suffer a further reduction in supply or am I missing something and higher rents and less availability is what renters want in exchange for more stability ?

Dustyevsky

It's not about what renters want, it's where the unseen hands on the tiller are taking us.

MattMattMattUK

caprikid1 said:

No-fault evictions to be banned in reform of rental sector - BBC News

I am sure this has been posted many times but surely this is not what the rental market needs at this point in time, with dwindling supply and a lack of variety IE 4 Beds / Rural / Quality property this can only make matters worse.

I appreciate the arguments from both sides but surely this market cannot suffer a further reduction in supply or am I missing something and higher rents and less availability is what renters want in exchange for more stability ?

The removal of no-fault/S21 evictions is probably a good thing, but there should still be a way for a landlord to end the rental at the end of the contract, with perhaps a notice period, so they have to give six months notice and that end of tenancy cannot happen during a fixed contract. That being said it is likely that rent increases, upon annual review, will be used as the new no-fault eviction method, eg. you want a tenant out you stick the rent up. The anti-social eviction provision is good, though I think it should possibly be changed to landlords having an obligation to evict anti-social tenants.  There should also be a quicker, cheaper/free and more effective process for evicting non-payers, a maximum of three months from non-payment to a possession order being granted and the tenants removed by bailiffs/police. 

I think the idea that it will reduce supply is incorrect, though what it will likely do is increase costs at the bottom of the market slightly, but most good landlords already operate on this basis anyway. 

ayupmeduck

My building has had 3 flats for rent in the last 2 months. Rent prices have vastly increased though.

caprikid1

"I think the idea that it will reduce supply is incorrect, though what it will likely do is increase costs at the bottom of the market slightly, but most good landlords already operate on this basis anyway."

You could be right but I highly doubt it , the only question will be how much it will decreases supply by, it certainly will do nothing to help the two biggest issues currently which is rising rents and a shortage of suitable property.

caprikid1

"It's not about what renters want, it's where the unseen hands on the tiller are taking us."

I think this has been in the pipeline so long that it probably is no longer the pressing issue. This was first considered when the inconvenience of being evicted was purely that an inconvenience, now it is the genuine threat of homelessness due to a shortage of supply and high rents.

BikingBud

caprikid1 said:

"I think the idea that it will reduce supply is incorrect, though what it will likely do is increase costs at the bottom of the market slightly, but most good landlords already operate on this basis anyway."

You could be right but I highly doubt it , the only question will be how much it will decreases supply by, it certainly will do nothing to help the two biggest issues currently which is rising rents and a shortage of suitable property.

The houses/flats will not disappear but by taking people out of the chain that are only there for profit, landlords, property and estate agents, certain property repair service etc, it might catalyse a transition back to more owner occupiers.

MultiFuelBurner

We like long term tenants and only raise the rents minimally. Some that have been with us for 3-5 years are paying up to £100 per month under market rate because they are long term tenants.

If this gives long term tenants more security it doesn't bother us.

MattMattMattUK

caprikid1 said:

"I think the idea that it will reduce supply is incorrect, though what it will likely do is increase costs at the bottom of the market slightly, but most good landlords already operate on this basis anyway."

You could be right but I highly doubt it , the only question will be how much it will decreases supply by, it certainly will do nothing to help the two biggest issues currently which is rising rents and a shortage of suitable property.

Both are part of the same issue, demand exceeds supply. The only way around that is a dramatic increase in home building, at a level which significantly exceeds population growth, for a decade or more, and/or a reduction in population growth. As immigration is now higher than it has been for years and Conservative policy is not to reduce immigration, and Labour is talking about increasing immigration, do not expect the latter to happen and neither party has either the ability to either build homes on the scale needed, or require that they are built, the home building sector also has less than 15% of the construction and fitting out capacity need to even match current population growth levels, let alone exceed them to start bringing down prices, so the former is not going to happen either. 

It might be unpopular when analysts say it, but the reality is people are going to have to accept a drop in living standards. 

steve866

So what does this actually mean for landlords that want to evict ‘good’ tenants?

caprikid1

"The houses/flats will not disappear but by taking people out of the chain that are only there for profit, landlords, property and estate agents, certain property repair service etc, it might catalyse a transition back to more owner occupiers."

It might do in the long term, that will need a substantial property price drop and a big increase in Zero Deposit mortgages, the two rarely go together to be honest.

I can see in the future major inceptives given to large corporates to purchase property to rent to increase supply though.