Sim Sekhon, of Legal for Landlords, sent us his views on the extension to the eviction ban.
We all recognise that Covid-19 has caused financial difficulties and the Government was right to consider the needs of tenants in its emergency legislation.
But the latest move − extending the ban on evictions to the end of August − doesn’t just deal with the effects of the virus.
It prolongs the agony for landlords who had problems with their tenants long before the pandemic began to bite.
The Government has, of course, asked landlords and agents, wherever possible to work with tenants, to be tolerant of delays in rent and to offer some form of flexibility at this time.
That’s all well and good if that’s a possibility for the landlord.
But contrary to what some housing campaigners might have us believe, few landlords are fat cats sitting on piles of cash.
Some operating on the buy-to-let-model may have the comfort of a mortgage payment holiday, but many others are retired individuals whose income from property rental is effectively their pension.
Often these landlords cannot access other forms of support.
Of course, the situation is doubly hard for those landlords who may have been struggling to get tenants to pay their agreed rent long before the crisis hit.
Pre-Covid, we had hundreds of eviction cases already in the system.
Effectively, the landlords concerned are powerless to make progress on a pre-existing problem for a minimum of five months.
Let’s hope, for their sake, that the oldest cases and those already in the system are prioritised when the courts start working again.
The end of August is the earliest this situation will change, but it’s going to be a long time until we reach the peak of the fallout.
There’s no doubt in my mind that some tenants will use the pandemic to avoid making payments they could manage, knowing full well that landlords have no redress, and that a backlog in the courts will give them further opportunity to avoid payment.
What’s more, as the furlough schemes come to an end and the longer-term repercussions of lockdown hit employers more and more tenants could be in financial difficulty a situation which could persist into the start of next year.
Yes, it’s right that tenants are being protected, but who is protecting the interests of the numerous small-scale landlords?
Once again, one side of the private rental sector is being favoured and landlords are expected to carry on shouldering all the burden.
Surely, it’s time we saw a bit more balance.
This is what is now expected from the landlord bashing conservative government. Shelter and the Government are blind to the position of many good landlords and are intent on protecting the bad and anti social tenants. As the public we see the scruffy gardens the dumped mattresses and rubbish when they move on. The Councils are equally biased and blame this on landlords to justify the licensing Gravy train to boost their income whilst the fools in parliament are taking away the only effective tool landlords can economically use to deal with this anti social behaviour, s21 which they will abolish. Landlords are leaving the market those who remain will have to significantly tighten up their choice of tenant to protect their livelihoods. I recently had a nhs applicant with a poor credit history who told me everyone deserves a second chance! Sorry but not in the letting world as changed in recent years. No RGI no letting. No extra fees for referencing guarantors where the tenant is high risk; why would you want extra costs to take a high risk tenant? Removed s21 and poor judgement will cost thousands so sorry no second chances; the protection of bad tenants will make it difficult on everyone else. Those who previously you might have given that second chance to because of that gut feeling can no longer be considered if you wish to stay out of the cesspit and significant financial losses.
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Agree with most of whats said in the article. I have sympathy with both sides having been a landlord myself previously; and Id like to think a very fair one. However when it comes to eviction even pre-covid the system was heavily stacked in favour of Tenants who either know /or are advised by the local Council …how to play the system. Its fairly straightforward to delay an initial court case or ignore a court order and wait for the bailiffs.
From my personal experiences it took around 6 months from the point of serving a S21 to obtaining possession on the morning that the court bailiffs were due to attend….
But when youve got a tenant who cant pay rent but wont make a claim for housing benefit (to minimise the financial damage whilst they are in the property) what choice do you have as a landlord (even a good one…)
So at this time with a court system backlog you could easily be well into 2021 even if your case was given an early court date. Unfortunately I predict that savvy tenants will have acquired a covid related armoury of delay related options by then.
Unfortunately pro tenant is a vote winner …for the Tory party. Landlords who lose out are going to be collateral damage.
Ministers should have coal face work experience in their respective fields before they even go near the job.
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Mark, ( Coal-face experience ) That was one of the points I made to MHCLG call for evidence that you can see on our Facebook page. The Post with the Banjo [system[ playing tenant.
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Perhaps we should all take a leaf out of the latest protestors book and all evict the problem tenants as nothing has happened to the protestors and Changes are even happening now.
Force the issue, create a massive problem and they will have to deal with the problem and cave in!
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Simply put, there are more voting tenants than voting landlords.
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I wish people would take a step back when they complain about the Tories as if they are the only party being anti-landlord. All of them are at it and you need to take the blinkers off and look back at all the threats Labour made with even more draconian measures they want to see over the last 10 years. The latest round of political persuasion was Generation Rent at the commons select committee hearing which consists of all parties ….. and which MP’s wanted all 2020 notices made null and void!
Housing is a political football which no housing minister has been able to reign in and how many have we had that have lasted 2 years? 9 Ministers in last ten years and 8 under Labour with three terms in power. There is no consistency and I strongly believe that it is the unelected civil servants in the background that are pushing what they want. Using PRS for social housing and keeping control of evictions (making it extremely difficult) has nothing to do with Covid-19.
It is ANY Governments interest to keep people housed in PRS as there is not anywhere near enough Social Housing. Some will say that Thatcher caused that issue with Right to Buy. She didn’t, she off loaded the properties that had reached the age of where it was costing the tax payer £millions to maintain besides giving people the right to own their own property. Since then not one single party has grappled with providing adequate housing for over 30 years for increasing population. We are the most densely populated country in Europe and seriously lacking land to build on. Any plans anyone may have wanted to adopt over housing was soon scuppered when the recession hit in 2008 and subsequent austerity followed. We are quickly outgrowing our small island of 66+million and growing.
What needs to happen.
1. The courts should re-open as planned 23rd June and deal with all matters pre Covid-19 period.
2. 2020 Non Covid-19 related possessions should continue as normal. The tenant can argue their case in court.
3. The balance need addressing now … PRS is going to shrink and then where will Government be with housing
4. Lettings industry leaders/organisations need to take a long hard look in the mirror as to how effective they are for their members. You have consistently failed on anything that kept the balance, which is obvious to any schoolchildren doing a business project for GCSE!
5. We have rules and regulations coming out of agents and landlords ears to fine, disqualify or imprison. WHERE is the balance with tenant behaviour?
6. Time it should be made a criminal offence for tenants who breach the tenancy agreement. Something along the lines of the old ‘Pecuniary Advantage’ that labour did away with would be worth consideration for those that don’t pay their rent.
7. ALL HB Rents should be paid direct to the Landlord or Agent (another Labour foo par) and any claim-back should be pursued with the Tenant not the Landlord who has complied with their side of the agreement.
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I do not need to take a step back thank you. Having been largely a conservative supporter most of my life I can no longer support them for their landlord bashing activities and other policies. Would I support labour? well only from a rope. The Liberals are also just as bad. There is no longer a political party worthy of support. I get it that labour would be a total disaster as would the Lib Dems. I guess many landlords probably feel the same are are not being represented. Would I support the Cons because they would do less damage than the other politicians NO because they do not deserve my vote. Strangely I believe everyone should vote and I did so at the last election by spoiling my paper, but going to the effort of voting.
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I understand and agree with you Will,
I would vote for Proportional Representation, and The Brexit Party.
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