A ticking timebomb for the rental market? – New research published


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  1. Woodentop

    This is nothing compared to the nuclear bomb that could be announced 12th Jun 2020, following recommendations by a commons select committee. Financial ruin for agents and landlords?

    1. drasperger

      Go on………?

      1. Woodentop

        I am surprised by why what was announced a couple of weeks ago hasn’t hit the media and more importantly the trade organisations that represent letting agents and landlords haven’t said anyhting, but then I might have missed the announcement but appears I wouldn’t have been the only one.

  2. Barney

    A little while ago this was mentioned by a high profile industry figure:
    “behind the scenes” there are moves to adopt the same protocol for repossession cases in the private rented sector as currently apply in the social housing sector. In essence, the landlord must show to the courts that a repayment plan has broken down before the courts will entertain an order for possession. The tenant normally pleads poverty and it is not at all unusual for tenants with a rent debt of thousands of pounds to seek to repay the debt at £10 per week. These changes may be being accelerated by COVID-19 but the changes are intended to be permanent. Together with the removal of s8 notices, this will mean that it becomes vitally important we do not let properties to parties who may be a debt risk, as the existence of rent arrears will no longer be a ground for automatic possession, only RISING arrears will be considered by the courts”
    could this be that nuke???

    1. Woodentop

      Good try but no and yes that sernario was mentioned.  
      I’m interested to see how many people pick up on my hint and importantly want to know, so after it was (ignored?) missed yesterday, if people would like to hit ‘draperger’ like button above we shall know the interest before the shock is announced.

  3. Woodentop

    If you have received a section 21 or a section 8 notice from your landlord you should stay in your home. Evictions take time and you don’t have to leave at the end of your notice under current law

    1. Woodentop

      This is not the nuke but an indication of how Shelter are preparing for the announcement?

  4. Woodentop

    The Secretary of State, Robert Jenrick, told the Housing, Communities and Local Government Select Committee in May 2020 that a decision on an extension would be made 12th June 2020 on the current ban on evictions, when the three-month moratorium, as set out in the Coronavirus Act is about to end.


    The select committee has recommended that the option to renew the moratorium for an additional six months as laid out in the Coronavirus Act is implemented and to include all notices issued for possession in 2020. The government is not obliged to listen to the select committee, but …..


    They have asked for all notices issued in 2020 will no longer be valid and possession proceedings will not be possible before 2nd January 2021. What is not clear, if they follow this path is, will statutory notice period have to be re-issued from 1st January 2021 if previous issued are no longer valid (null and void)?


    Considering on an annual basis something like over 40,000 possession orders are issued in normal times, this figure is going to hike with Coronavirus issues including the outstanding possession order claims from 2019.


    How on earth is the system going to cope with the mass applications in January 2021?

    Length of time to process will mean that some landlords could see no rent for 15 plus months (no rent = no buy-to-let or agents’ payments and financial distress for landlords who rely on its income e.g. pensioners/nursing care)

    “Tenant from Hell” will see this as an open book to get a free home and stop paying rent, and as these are the ones you can never chase for the arrears and only leave when you can eventually get a bailiff …… melt down.

    In the meantime, the Government is to rush the Housing Reform Bill outlawing Section 21 and reform procedures for Sec 8.
    Should the select committee’s recommendation go ahead, it would nuke the housing market. Many agents and landlords would fall into hardship and sour the industry to the extent that eventually many will sell up and many more will be discouraged from coming into the market.

  5. Woodentop

    Is this evening breaking news by Robert Jenrick of an extension to the end of August only an interim extension as it seems to go with the select committees ethos and the government are treading carefully, knowing full well the consequences for the industry as mentioned above?

  6. realestatecake

    Thanks for this informative post. The recovery of whole situation will take some time to be stable but if further this continues then may leads to alleviate  foreclosures of property.  As RealEstateCake a part of Real Estate Sector , this article is very valuable to understand the market situation during pandemic.


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