Posts with tag: evicting tenants

Landlord Eviction Plans Could Cause Violence

Published On: August 3, 2015 at 3:52 pm

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A Government proposal to require landlords to evict tenants living in Britain illegally from their properties, without a court order, could cause violence, warns the National Landlords Association (NLA).

The NLA believes that the plans could lead to tenants acting irrationally.

The NLA’s Chief Executive, Richard Lambert, accuses the Government of introducing the proposal suddenly, after the Calais migrant crisis worsened. Ministers have announced a change in the law that will allow landlords to evict illegal immigrants without a court order.

Under the upcoming Immigration Bill 2015, landlords must evict illegal immigrants when they receive a Home Office notice that their tenant does not have the right to rent in the UK. In some cases, landlords will be able to evict their tenants without a court order.

Landlords that do not check the immigration status of tenants could be fined or imprisoned for up to five years, under a new criminal offence that will be included in the bill.

The right to rent scheme is being piloted in the West Midlands and will be rolled out nationwide. The system requires landlords to check evidence of a person’s right to live in the UK by inspecting their passport or biometric residence permit.

Landlord Eviction Plans Could Cause Violence

Landlord Eviction Plans Could Cause Violence

Lambert warns: “I am slightly concerned that we are breaking the 40-year-old principle that it has to be a court that ends a tenancy – take somebody out of their home – rather than giving that power to the executive. But we do need something that will work in progress… It is a welcome step forward.

“The Home Office expects that the tenant will comply with that. As we know, tenants don’t always comply with a court order, or any order, to leave a property when the tenancy is ended. Normally under a court process, you’d be bringing in a bailiff.

“I do worry in the case of an illegal immigrant you possibly have then a despairing person in a desperate situation. That often leads to people doing very desperate things. Who knows? Barricading themselves in? There is the risk of defending themselves with all the force they can muster. It could put people in potential danger. We need to think through the consequences of the kind of system we are putting in place.”

The Government’s plan is designed to discourage migrants from moving to the UK, according to Home Office minister James Brokenshire.

The Home Secretary, Theresa May, joined her French equal, Bernard Cazeneuve, to warn would-be migrants against moving from their country of origin.

The two ministers wrote in an article for the Sunday Telegraph: “Ultimately, the long-term answer to this problem lies in reducing the number of migrants who are crossing into Europe from Africa.

“Many see Europe, and particularly Britain, as somewhere that offers the prospect of financial gain. This is not the case – our streets are not paved with gold.”1 

Part of the plans to make it harder for illegal migrants to live in Britain is a list of persistent rogue landlords and letting agents, allowing councils to know where to concentrate their enforcement action. The Communities Secretary, Greg Clark, states: “We are determined to crack down on rogue landlords.”

The Government is due to announce a stricter fit and proper person test for landlords of licensed properties. Rent repayment orders will also be extended to allow local authorities to claim back rent payments from landlords who do not maintain their properties to a high standard.

Lambert has thanked the Government for consulting landlords on some of the changes. However, he is not pleased about the plan to imprison landlords who repeatedly fail to check the immigration status of tenants and who do not evict those living in Britain illegally.

He says: “This is the first we have heard of this very severe penalty. While I can see it is important to crack down on repeat offenders, it is quite surprising that it comes almost out of the blue. You do wonder how much it relates to the Government wanting to be seen to be tough on migration given what is going on in Calais.”1

Clark says the proposals will help landlords by saving them the cost of going to court, if the Home Office serves a legal notice that the tenant does not have the right to live in Britain.

He claims: “What we are doing is cracking down on those rogue landlords who make money out of illegal immigrants, exploiting vulnerable people and undermining the immigration system.

“To save them the cost and bureaucracy of having to go to court when the question to be resolved is very clear – whether or not that person is entitled legally to be in this country – the Home Office can serve a legal notice that makes it clear one way or another.”

However, Clark admits the landlord would have to go to court if a tenant refuses to leave after being served a notice based on the Home Office documentation.

The landlord must then seek a ground of possession order from the courts. Clark adds: “What you have done is save a prior court process.”1

1 http://www.theguardian.com/uk-news/2015/aug/03/plan-landlords-evict-illegal-immigrants-violence-calais-migrant-crisis

More landlords look to evict tenants

Published On: August 25, 2014 at 11:18 am

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LSL Property Services has recently released concerning figures that suggest there are growing numbers of landlords seeking eviction of tenants through Britain’s courts.

Rising

The findings of the LSL Property Services report show that the number of court orders for possession rose by 5.9% during the fourth quarter of 2013. In addition, the figures were up by 10% on the same stage twelve months ago.[1]

However, despite these increases, the number of tenants facing severe rent arrears has fallen. According to LSL, the number tenants facing rental arrears in excess of 2 months has fallen by 35, 000 during the last year. Worryingly, around 67,000 tenants remain in serious financial trouble.[1]

Unknown

Paul Jardine, director of chartered surveyors Templeton LPA, believes that it remains to be seen what impact the economic recovery will have on vulnerable tenants. Jardine said, ‘Some households succumbed to the wave of unemployment that followed the 2008 crisis, and as the broader monthly squeeze tightened its grip. For a time – though still for only a small minority of tenants – there was a significant rise in rental arrears. But now as the jobs market gradually comes back to life, the effect on the most hard-pressed of households is clear to be seen.’[1]

Mr Jardine goes on to say that, ‘while wages are yet to pick up significantly, those in the most serious financial problems often face a lack of any earnings at all. So as the risk of unemployment retreats this year, those with serious problems paying their rent – and most at risk of losing their homes – are benefiting the most.’[1]

More landlords

It can be argued that the increase in court orders is due to the boom in the buy-to-let market. As Dean Woodman-Evans, director of The Landlord Association explains; -‘the number of private landlords renting property has increased so the number of evictions are bound to increase. With that said however, more and more evictions are due to rent arrears as tenants find it harder to meet competitive rental yields. We have noticed a distinct increase in cases by our own landlords.’[1]

[1] http://www.landlordexpert.co.uk/2014/08/25/the-landlord-association-announces-its-updated-panel-of-solicitors-to-aid-landlords-with-problem-tenants/

 

 

Scotland Protects Tenants in Rent Arrears

Published On: August 16, 2012 at 4:43 pm

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Scotland Protects Tenants in Rent Arrears

Scotland Protects Tenants in Rent Arrears

Scotland has introduced measures that will protect social housing tenants from being evicted if they fall into arrears.

The Scottish Government has amended the Housing Scotland Act 2010, making it more challenging for social landlords to evict tenants on the basis of late or non-payment of rent. The new rules will come into force this month.

Eviction will still be a choice for landlords; however, the Government wants landlords to work alongside tenants before attempting to evict them. They must enforce a realistic payment plan for tenants to aid them with clearing the arrears. They will also be required to ensure tenants receive advice on housing benefits.

The laws also support tenants who have already been given an eviction order, to agree a payment plan with their landlord.

The measures arrive due to just 12% of eviction cases taken to court by landlords in Scotland resulting in evictions.1 If tenants and their landlords can settle on an appropriate payment plan before going to court, then time and money could be saved.

Head of Policy at the Scottish Federation of Housing Associates, Andy Young, says: “Evictions are only ever used as a last resort.” He also says that his members have already worked to avoid them.1

Alan McIntosh, of insolvency service firm Carrington Dean, met the amendments with positivity, saying that it should prevent landlords “holding decrees like Swords of Damocles over the heads of tenants.” He adds that while the law may not reduce evictions, it should encourage good practise.1

1 http://www.propertytribes.com/scotland-protects-tenants-in-arrears-t-6181.html

 

 

Find the Right Tenant at the Start

Published On: July 12, 2012 at 4:21 pm

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Landlords in the buy-to-let sector are being advised to enhance their vetting procedures, after figures have shown an increase in the number of tenants in severe arrears by almost a quarter in a year.

The financial difficult of the country has meant static or lower wages and high levels of unemployment. Alongside rising rents and an upsurge in the cost of living, the amount of tenants in serious arrears, more than two months behind with rent, hit 100,400 in the three months to June. The Tenant Arrears Tracker study found that this is the highest number since records started in 2008.

Find the Right Tenant at the Start

Find the Right Tenant at the Start

There has been an 8% increase of tenants in serious arrears in those three months compared with January to March this year. This has caused a 6% rise in the number of landlords taking non-paying tenants to court to evict them over the past three months.

Chief Executive of mortgage broker SPF Private Clients, Mark Harris, recommends: “The best thing you can do is try and avoid this situation occurring in the first place; vet your tenants carefully, and check references to ensure they haven’t missed rent payments in the past.

“However, if tenants do fall behind with the rent, make sure you tackle the issue as soon as they miss their first payment, rather than letting arrears mount up and getting to a stage where eviction is the only option.”1

Harris explains how tenants in arrears can be dealt with: “These can be resolved fairly easily, but if they have lost their job and are in financial difficult, you may need to give them longer to pay or reduce their rent for a period of time.”

Harris says that this may be your option if you find them a “decent tenant”, and would like them to stay in the property. “If it is agreed,” he expands. “Get it in writing.”

If this is not an option for you, remember that it is a criminal offence to harass tenants and to attempt to evict them independently. “Take legal advice,” urges Harris. “Court proceedings are a hassle and expense but it is far better to get the situation sorted, the tenant evicted, and a paying tenant in their place than let the situation drag on for months on end.”

Bank computer glitches, such as the few suffered by NatWest, may be a current issue in this area.

1 http://www.landlordexpert.co.uk/blog/2012/07/10/the-key-to-a-good-tenancy-is-finding-the-right-tenant-at-the-start/