Hi everyone! It's been a very busy year of changes to various bits and bobs of laws affecting lettings and tenant rights.
We are hearing of tenants who have been charged by agents for application fees despite having moved in after 1 June 2019. So please find out your rights and tell your friends too!
1) Tenant Fee Ban
The Tenant Fees Act came into force on 1 June 2019 to improve tenants’ access to housing and to reduce costs. We're not sure if the tenant fee ban has achieved this purpose because rents have gone up across Stoke on Trent since the ban. However, if you are renting a house, please note that since 1 June 2019 no agent or landlord can or should ask for:
a. Application fees to apply for a house
b. A fee to obtain a landlord reference letter from your previous landlord
c. Fees for issuing a letter chasing any rent arrears
From 1 June 2019, the only payments that landlords or letting agents can charge to tenants in relation to new contracts are:
a. rent
b. a refundable tenancy deposit capped at no more than 5 weeks’ rent where the total annual rent is less than £50,000, or 6 weeks’ rent where the total annual rent is £50,000 or above
c. a refundable holding deposit (to reserve a property) capped at no more than 1 week’s rent
d. payments associated with early termination of the tenancy, when requested by the tenant
e. payments capped at £50 (or reasonably incurred costs, if higher) for the variation, assignment or novation of a tenancy
f. payments in respect of utilities, communication services, TV licence and Council Tax
g. a default fee for late payment of rent and replacement of a lost key/security device giving access to the housing, where required under a tenancy agreement
If you are a tenant or looking to rent and you are asked for payment of anything that is banned, please query that with the agent. If they insist on charging you illegally, lodge an official complaint immediately to them and to their redress scheme (like the Property Ombudsman). You can also complain to Trading Standards. The agent or landlord, if found guilty, can be fined up to £5,000 for first offence or up to £30,000 for second offence.
2. Energy Performance Ratings
Back in April 2018, the law came in to say that no new tenancies or renewals could take place for houses with energy ratings F & G. These are the lowest rated houses.
Please note that from April 2020, the obligation will change again. The requirement to have a category A – E rating will apply to existing tenancies too. That means if your rental house is currently category F & G, you will have the next 4+ months to make energy improvements to improve the energy rating. Please consult an energy assessor for ideas on how to improve the ratings. It would be things like upgrading the single glazed windows to double glazed, upgrading boilers, increasing insulation, putting LED lights and so on.
So lot's of changes to improve the standard of rental housing. We're here to help steer landlords and tenants through the maze of legislation. Give us a ring on 01782 478444 if you'd like more advice.
Thank you
Ramona Hirschi
Managing Director
