An agent is warning that having a pet could hike rents for tenants by as much as 3-4% per week once the fee ban is introduced in June.
Its warning comes after the agent recorded a 25% increase in tenants letting with pets over the past five years.
Lucy Morton, head of residential agency at JLL, said landlords and agents have typically charged a higher deposit to cover any damage and additional cleaning needed from having animals around the house, but added that this will be more limited once there is a five-week cap on deposits.
She said: “With the five-week deposit cap, landlords may be deterred from letting to tenants with pets or forced to charge higher rents to cover any potential losses. The increase would depend on the rental value, but we anticipate approximately an additional 3-4% per week.
“For example, a rent of £700 per week would potentially rise to £725 per week to make up for the shortfall.”
“With a host of regulations that landlords must adhere to, as well as the changes to mortgage interest relief, the fee ban and five-week deposit cap is adding yet another cost.
“This gives landlords no choice but to increase rents in order to see a return on their investment and they will need to hold firm on asking or renewal prices.
“However, tenants will only be happy to pay more if the property is of high quality and well-presented. It’s the properties in the best locations offering quality amenities that will attract tenants willing to pay a premium.”
It will come down to supply and demand and the effects of the governments constant interference changes supply.
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The deposit cap is just a part of the issue….how about the fact a Landlord will no longer be able to ask a tenant with pets to have the carpets cleaned, or pay for a de-infestation treatment.
Where will the incentive for a Landlord to accept pets be?! I would suggest higher rents for tenants with pets is almost a certainty. Just one result of some extremely poorly thought-out legislation.
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According to a training course I was on recently, the trainer was of the opinion that we also cannot make a Tenant get a chimney swept or the septic tank emptied! At the moment we make sure that the chimney has either been done by the Landlord before they move in, or ask for proof from the exiting Tenant of when it was last done, and then the Tenant is responsible for it. If we cannot get proof, then the Landlord pays for the first clean and the rest by the Tenant. And as for the septic tank, part of your water charge is for carrying away waste, so why should the Landlord pay to, literally, deal with your ****?
Although I’m not happy about the ban and was fully in favour of a cap on fees, why should Tenants get everything paid for them, when it is costs of living in the property? If you don’t want to have to pay to get the chimney swept, don’t have a house with a chimney!
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Excellent comments countrylsss but please accept my apologies for splitting hairs. A septic tank is a largely self maintaining mini sewerage treatment system. That which needs emptying is a cesspit which basically stores waste. I only mention this as it may impact on whatever your lecturer advised. I know this is very technical difference. I’m not trying to be a smart r’sss. Best regards
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Whilst you’re right that a septic tank is very different from a cesspit, it will still require emptying, usually on an annual basis depending on the number within the household. A failure to do so may lead to unfortunate capacity issues
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Calling Tenants,
” When are you all going to realise that the Govt interventions in the PRS, – whilst designed to win your badly needed vote at the next election….. is actually causing rents to rise ! “
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