Letting agents are calling for clearer guidance on rent tribunals as the sector adjusts to the Renters’ Rights Act.
Propertymark says landlords and tenants need a better understanding of the First-tier Tribunal process. Tenants can use the system to challenge proposed rent increases.
Under the new regime, landlords in England must use the Section 13 process to increase rents for private periodic tenancies. They must give tenants at least two months’ notice.
Greg Tsuman, past president of ARLA Propertymark, said greater clarity was needed around how the tribunal system operates.
He said: “We need much greater clarity around the tribunal process, including clearer guidance, simpler forms and practical advice for tenants who want to challenge a rent increase before it takes effect.
“There also needs to be a better understanding of the evidence tribunals consider. They are looking at achieved rents rather than simply advertised asking rents, and that distinction is important for both landlords and tenants.”
Tsuman also called for improvements to the tribunal helpline.
He added: “The tribunal helpline needs suitably qualified staff who can give basic but accurate and practical legal guidance.”
Agents urged to intervene early
Propertymark is also encouraging letting agents to discuss affordability with tenants before landlords issue a Section 13 notice.
Kim Lidbury, ARLA Propertymark president, said early conversations could identify issues before they reach tribunal stage.
She said: “A tenant is sometimes using a Section 13 notice as an opportunity to raise concerns for other reasons outside of rent increases, or they are not telling us about their circumstances.
“Because they are not having those conversations with us, they have gone straight to the tribunal stage, which can make things more difficult.
“Most landlords have costs and responsibilities, and it is a good outcome for them and the tenant if they stay at a property for some time.”
Tsuman said negotiation between landlords and tenants remains an alternative to going through the tribunal process.
He commented: “In most cases, tenants can still negotiate with their landlord as an alternative to a tribunal.
“This saves the landlords and tenants time and money. Agents are guiding landlords into not asking for unreasonable hikes. There is nothing in the legislation that prevents landlord and tenant from reaching an alternative agreement.”
Propertymark said agents can play a role in helping landlords and tenants reach an agreement before a dispute reaches tribunal.
