Sajid Javid, he’s the Communities secretary by the way, has announced this week in the Conservatory party conference that all Letting agents in the country are to be registered and regulated under new legislation soon to be introduced. I certainly feel that this is a good thing.
At the moment, anyone can set up as a letting agent which is simply ridiculous, many people have done so who are presently working from their kitchen tables managing Landlord properties without having the first clue about the legislation that currently applies, never mind the new rules that are continually being introduced. I know this because I know many of them and Landlords unbeknown to them, take great risks with entrusting the management of their properties to these people for the sake of saving a few bob. Why? Because they are cheap! On the face of it the Landlord can save money but in many cases they are far from protected against the deluge of legislation that now confronts us because of their management agent's lack of knowledge.
Regulation of agents is a good thing because these people who don’t take the industry seriously will be forced out of it. The campaigners for this change have known all this for many years. They have now got what they wanted and will be rejoicing as a result of this news. The recent legislation and rapid changes made by this government has been a mixed bag, some good stuff has been introduced because the industry was certainly in need of some tightening, but we have also seen some not so welcome news with the attack on Landlords regarding the new tax rules that have been introduced as one example.
Private Landlords don’t escape from this legislation either as it brings news that all private Landlords will be required to join a redress scheme, like the Property Ombudsmen, either in their own right or through a letting agent. What’s more, they are looking to make it compulsory that all new tenancy agreements are set at an initial 12 month’s term. We will have to now wait and see what that looks like...
There is also talk of setting up a new housing court. There you go you will soon have your very own court that people can complain about you to. Read more on that here.
On top of all this it looks like compulsory registration for all Landlords will be set up soon.