The material on this website is for information only
and is not intended as any recommendation or endorsement of any products or companies mentioned. We are not licensed by the FSA to give financial advice, and none of the material on this website constitutes or is intended to constitute financial ...
News
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news
Curve 'all-in-one' debit card to offer fee-free spending abroad, but how does it stack up?MoneySavingExpertThe changes announced today mean even if you link a bog-standard debit or credit card to your Curve card, you'll be able to avoid the typical 3% 'load' normally charged on overseas transactions and won't be charged for overseas spends or cash ...
The Star'Credit card betting ban would have saved Dad from prison' says Sheffield gambling campaignerThe StarAs well as the new levy and credit card ban, Mr Watson told how a Labour government would prohibit gambling adverts during live sports broadcasts, among other measures. “There are 430,000 problem gamblers in the UK - 25,000 of them are under 16 and ...Why Labour might be right with its call for new gambling regulationsThe Independentall 195 news articles »
Mirror.co.uk8-step plan to keep your student debt under controlMirror.co.ukAs students head off to university this month, their excitement about what lies ahead is probably tempered a little by the thought of how much the next three years or so is going to cost. The average student will leave with around £50,000 of debt ...
Money MarketingPension transfers fall to £8.2bn in Q2Money MarketingAccording to AJ Bell, this is the first drop in value of pension transfers since the second quarter of 2016. The figures coincide with Aegon research into the defined benefit transfer market that shows strong support among advisers for an effective ...and more »
Have you met...
Latest Members:


mohammadasad


MS OFFICE


joker


laceygua


webtechcoupons


seanmaxwell


shimaashaker

 

‘Accidental landlords’ are taking unknown risks

So called ‘accidental landlords’, a new breed of landlord who lets out their property to avoid selling at a loss, are providing a welcome boost to the supply of housing at a time of very high demand for private rented homes, according to buy-to-let specialist Paragon Mortgages.
 
However, Paragon Mortgages’ managing director John Heron warns that many of these landlords may be ignorant of the large number of regulations involved in letting property. It is estimated that there are more than 50 Acts of Parliament and 70 sets of regulations governing the private rented sector1. Landlords risk fines if they let out their property without complying with the necessary legislation.
 
Heron says: ‘The onus is on the landlord to make sure they comply with all regulations and they are liable if something goes wrong, even if they employ the services of a letting or managing agent. Ignorance of legislation is not a defence.’
 
‘People who are letting out property they have been unable to sell are unlikely to have a detailed understanding of the legal requirements they have to comply with. For example, do they have an Energy Performance Certificate for the property or do they have a Gas Safety Certificate? What have they done with the tenant’s deposit and have they got adequate insurance in place? Failure to comply with certain regulations could not only result in heavy fines, it could also mean a custodial sentence.’
 
In addition, owner-occupiers could contravene their mortgage conditions if their lender does not know they are letting their property, which could have a knock-on impact on tenants if the property was repossessed.
 
Heron concludes: ‘The only solution is for landlords – accidental or experienced - to ensure they have a thorough understanding of relevant regulations. Getting help with this is not difficult. It would make sense to join the National Landlords Association, which provides a wealth of information and advice to their members. Also using the services of a professional letting agent, preferably ARLA registered, will make sure that an experienced individual is on hand to guide you through the process.’
 
Common regulations in the private rented sector include:
 
Gas and electricity: Boilers must be checked annually by a Corgi-registered tradesman, who will issue a Gas Safety Certificate. Tenants should be given a copy when they begin the tenancy and within 28 days of an annual check. All electrical items and fittings should be checked regularly as landlords could be liable if a tenant is harmed by an electrical item provided.
 
Fire safety: If the property was built after June 1992, tenants must have an adequate means of escape and a mains-operated inter-connected smoke alarm should be fitted on every floor. It the property is a furnished let, furniture and furnishings made after 1950 must meet fire resistance regulations. The National Landlords Association has produced a Fire Safety Logbook, available from its www.landlords.org.uk website.
 
Regulator Reform (Fire Safety) Order: Landlords who own flats in a block are required to liaise with the managing agents and other homeowners to ensure that a fire risk assessment of the common parts is carried out.
 
Energy Performance Certificates: From October 2008 it became a legal requirement for landlords to make an Energy Performance Certificate of the property available to prospective tenants when letting a property. Failure to do so can result in a £200 fine and the landlord being prevented from marketing the property until the EPC is obtained. For further information on EPCs visit www.paragon-epcs.co.uk.
 
Tenancy deposit protection:From 6 April 2007, all deposits (for rent up to £25,000 per annum) taken by landlords and letting agents for Assured Shorthold Tenancies in England and Wales, must be protected by a tenancy deposit protection scheme.
 
HMOs: Rental homes spread over three stories or more and occupied by at least five tenants in two or more households are classed as Houses in Multiple Occupation and require a license by the local authority. A comprehensive guide on HMOs is available to download from the Literature section of the www.paragon-mortgages.co.uk website. 
Advertise with us  |  Privacy  |  Terms & Copyright                                                                                     Website maintained by USP Networks