Posts with tag: tenants

Landlords and Agents Accepting Forged Passports Due to Right to Rent Scheme

Published On: October 17, 2017 at 9:05 am

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Landlords and letting agents are unknowingly accepting forged passports from prospective tenants, as the Right to Rent scheme is fuelling a black market in fake IDs, a new report claims.

Landlords and Agents Accepting Forged Passports Due to Right to Rent Scheme

Landlords and Agents Accepting Forged Passports Due to Right to Rent Scheme

The Right to Rent scheme, which was rolled out across England last year, requires landlords and their letting agents to check the immigration status of all prospective tenants, to determine whether they have the right to live in the UK.

However, there is growing concern that the scheme has fuelled discrimination against British citizens that do not have a passport, as well as foreign tenants, leaving them at a disadvantage in the private rental sector.

A new investigation by the BBC has found that many landlords and letting agents are unable to identify forged passports, leaving them vulnerable to fraudsters with fake IDs.

The research found that criminal gangs are using forged passports that are impossible to identify with the naked eye.

An undercover reporter for BBC Inside Out London was able to purchase fake passports, as well as National Insurance cards and residence permits, from illegal dealers across London.

Using a secret camera, the reporter recorded the deals, with fraudsters charging up to £500 for a forged passport. Some documents arrived within 48 hours.

The forged IDs were then presented to letting agents, who were secretly filmed accepting them without question as proof of UK residency status.

Akhbar* told Inside Out: “In an average week, they were selling between six to ten fake residence permits or passports. In the last few months or so, I would say they got even busier.”

Home Office figures show that 170 fines have been issued to landlords under the Right to Rent scheme since October 2016. However, a Home Affairs spokesperson told the BBC that landlords and letting agents are not expected to be experts in spotting forged documents.

But David Smith, of Anthony Gold Solicitors, who specialises in landlord and tenant law, has expressed concerns.

“They [landlords] do not have the knowledge or skills to do the job properly. I’ve never met a landlord who can tell a valid Liechtenstein passport from a forgery,” he told the BBC.

Although you are not required to identify forged passports under the Right to Rent scheme, we do remind all landlords to stick to the law to avoid harsh penalties.

*Not his real name

The Top 10 Tips all Tenants Need to Know

Published On: October 11, 2017 at 9:43 am

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Whether you’re a first time tenant or an experienced renter, renting a property can present challenges for anyone if you’re unprepared. We have the top ten tips all tenants need to know…

From losing your deposit to falling foul of rogue landlords, it’s important that all tenants take the advice and help available to them to make the lettings experience as simple as possible.

ARLA Propertymark (the Association of Residential Letting Agents) shares its top ten tips to help avoid the common pitfalls of renting.

Sally Lawson, the President of ARLA Propertymark, says: “With more and more people completely priced out of the property market and a desperate shortage of housing, private rentals have become the norm. However, there is a lot to consider when choosing a property to rent and there can be a lot of unanswered questions, which can be overwhelming.

“The below checklist has been created to make sure your next letting experience is a positive one, including all there is to know on the process to make it as simple and stress-free as possible.”

Before you start looking:

Know what’s important to you 

The Top 10 Tips all Tenants Need to Know

The Top 10 Tips all Tenants Need to Know

Before you start looking for a new rental home, work out what’s important to you, such as the number of bedrooms or parking spaces the property has, as well as local amenities and proximity to friends, family, schools and work.

What can you afford?

Decide what you can afford before you start house hunting. Remember that you will also have to budget on top of your rent for household bills, including gas, electricity and water, internet, TV licence, contents insurance and Council Tax, as well as food and general household items.

Choose your housemates carefully 

Disagreements between housemates are very common in the rental sector. Conflicting lifestyles and personality clashes can cause misery and stress; remember that a fun friend is not necessarily a good housemate, so choose wisely.

When you’re looking:

Using a letting agent

If you are using a letting agent, make sure that it is a member of an authorised redress scheme, as this should mean that it has Client Money Protection (CMP). This ensures that, if the agent goes bust or runs off with your money, the scheme will reimburse you and make sure that you’re not left out of pocket. You will not get this protection if you rent directly from a landlord or through an unregulated letting agent.

Ensure you’re protected

You are entering a legally binding agreement when you sign a contract with your landlord, so don’t feel pressured to sign immediately. Make sure that you take your time to read the contract thoroughly. Ask as many questions as you want to, until you’re comfortable that you understand everything it contains. If you’re not happy, ask for any changes or amendments that you want.

Know your rights

Before you sign the tenancy agreement, you will be asked to provide proof that you have the right to rent in the UK, so make sure that you have your identification documents (such as your passport) to hand. After you sign the contract, you must be given a copy of your new home’s gas safety certificate (if the property has gas), its Energy Performance Certificate (EPC), the Government’s How to Rent guide, your deposit protection certificate and the prescribed information, and any licence for your property from the local council (if a licensing scheme exists in the area).

Once you’re in the property: 

Make sure your new home is safe 

Smoke alarms are required on all floors of your home and carbon monoxide detectors are needed in any room where solid fuels are burnt. These need to be tested and working on the first day of the tenancy; this is usually done at check-in. The landlord or letting agent will also probably undertake an inventory and schedule of condition at this point. Make sure that you go through these documents, and notify your landlord or agent if you disagree with what they contain, as this will affect how much of your deposit you get back at the end of the tenancy.

Sort out the bills and insurance

If this hasn’t been done by your letting agent, notify the utilities companies and give them meter readings, your move-in date and the names of all new tenants. Make sure that you have contents insurance – your landlord will insure the buildings and their own contents, but you need to cover your own belongings against loss or damage.

Address issues before they become bigger problems

Don’t be afraid to report repairs to your landlord or agent. It’s much easier, faster and cheaper for your landlord to fix an issue when you first notice it than when it becomes a bigger problem. If you leave the home empty for a prolonged period, consider leaving the heating on low to ensure that pipes don’t freeze during the winter. Also, if you’re going away for more than a couple of weeks, let your landlord or agent know so that they can keep an eye on the property.

Return the property as you found it

Most deposit disputes are over the condition of the property at the end of the tenancy. Make sure that you give the place a thorough clean before you move out and leave it in the same condition as the day you arrived.

We hope that these top tips help you on your way to having a successful lettings experience!

Half of Landlords Would Refuse Tenant over Poor Credit Score

Published On: October 10, 2017 at 10:13 am

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Almost half of landlords (46%) would refuse an application from a new tenant if they had a poor credit score, new research has revealed.

Half of Landlords Would Refuse Tenant over Poor Credit Score

Half of Landlords Would Refuse Tenant over Poor Credit Score

However, credit histories do not currently form part of regular checks for new tenants, despite them giving a better picture of how an applicant has dealt with making payments in the past.

Typically, letting agents rely heavily on publicly available information, such as County Court Judgements (CCJs) or declarations of bankruptcy, which can give some insight into a tenant’s previous financial footprint, but not the full picture of their current situation.

The fact that landlords put so much weight behind a credit score suggests that the market needs to make this check a normal part of the tenant application process.

According to a new industry report from tenant referencing agency Landlord Secure, 48% of landlords would refuse to sign a tenancy agreement with a tenant who had been subject to a CCJ in the past, while 42% would reject an application from a tenant with past insolvency issues.

Applicants with existing debts, like credit cards or loans, would raise red flags for 30% of landlords, while those in receipt of housing benefit wouldn’t be accepted by 19% of landlords. 16% of landlords wouldn’t accept tenants on Universal Credit.

Although rent payment history does not currently form part of a tenant’s credit score, there are increasing calls in the industry for this to become the norm, so that those in rental properties can build a credit score based on regular and timely payments, and have access to the same advantages as those with a mortgage.

The Managing Director of Landlord Secure, Steve Burrows, says: “Those in rental properties are at a serious disadvantage when it comes to building a credit rating, because paying rent on time doesn’t count towards this score.

“Given that landlords would put more weight behind a tenant’s credit score, those in rental properties should be given the chance to build a better credit score based on their history of paying rent on time.”

Technology Set to Change the Tenant, Landlord and Letting Agent Experience

Published On: October 10, 2017 at 7:56 am

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Technology Set to Change the Tenant, Landlord and Letting Agent Experience

Technology Set to Change the Tenant, Landlord and Letting Agent Experience

Technology is set to change the whole lettings experience for tenants, landlords and letting agents, according to property management software firm Arthur.

With over one million apps now available across the leading app stores, it won’t be long until technology will infiltrate the lettings sector with its power functionality.

Apps now enable users to do almost everything that they can do on a desktop computer, making everyday tasks, such as chatting with friends, checking your bank balance, booking a holiday and watching the latest news videos, quicker and simpler.

Arthur believes that smartphones have the potential for not only improving the communications between a tenant, landlord and letting agent, but also for improving tenant safety and security.

The Managing Director of the firm, Marc Trup, explains how technology will enhance the sector: “Tenants in multiple occupation buildings could have a safe button that they can use in the event of a fire, or have the ability to unlock their front door, or report a leak just by taking a picture of it.

“Smartphone apps can empower tenants and provide access to live communications between them, the landlord and/or the letting agent, which is transparent, immediate and auditable. This rules out any misunderstandings and keeps the relationship at arm’s length. There is also a commercial benefit for the landlord – if tenants are happy, they improve the value of rental properties.”

He continues: “In the future, a tenant will be able to search for a property, sign the lease agreement, check the inventory, pay their rent and organise all aspects of their moving via their smartphone. They won’t need to pick up keys to enter the property, as access will be via an app, which will also control the lighting and heating etc. Smartphone apps using proximity technology will enable this to happen and is already being used by some hotels, instead of key cards etc.

“It is inevitable that technology will change the relationship between the landlord, tenant and letting agent for the better.  It has the potential to improve communications, empower the tenant and make property management easier.”

What are your thoughts on using technology in your lettings business – is the traditional method better?

Landlords Reveal their Perfect Tenant in New Study

Published On: October 9, 2017 at 10:05 am

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Landlords Reveal their Perfect Tenant in New Study

Landlords Reveal their Perfect Tenant in New Study

Landlords have revealed their perfect tenant in a new study of 500 investors by Intus Lettings.

According to the poll, the most desirable tenants are couples with no children, which 29% of landlords put at the top of their lists. The least popular tenants are students, with just 1% of landlords choosing them as their favourite.

The second most perfect tenant is a single young professional, which a quarter of landlords favour, followed by families, which only one in five landlords prefer.

The results of the survey arrive as the latest data from the English Housing Survey shows that 4.5m households now rent from private landlords – a total of 20% of all the homes in England and a 2.5m increase on 2000.

Hope McKendrick, the Lettings Manager at Intus Lettings, comments on the findings: “It’s likely that landlords opted for couples with no dependents due to the stability that it provides. They understand that finding the right tenant can save them time, money and stress in the long-term, and, with the number of people renting continuing to grow, they want to be reassured that those living in their properties are reliable.”

The study also revealed what landlords consider to be the most important aspect during the vetting process. Almost 40% of respondents agreed that references are most likely to sway them to sign on the dotted line, followed by the general attitude of the potential tenant. Age and marital status are the least important.

McKendrick continues: “As the survey results prove, negative experiences with previous landlords or poor references from your employer can impact where you end up living in the future. Landlords have more choice, as more and more people enter the private rented sector, so getting through vetting without glitches and making a positive impression is more crucial than ever.”

When it comes to landlords’ frustrations, damage to their property and furniture was the stand-out concern, followed by failure to pay the rent on time.

What’s your idea of the perfect tenant?

London Bridge is the Most Desired Location for Overseas Renters

Published On: October 5, 2017 at 8:12 am

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London Bridge is the most searched for location for mid to long-term tenancies in the capital from overseas renters, according to data from rental accommodation platform Spotahome.

London Bridge is the Most Desired Location for Overseas Renters

London Bridge is the Most Desired Location for Overseas Renters

London Bridge attracted more than twice the interest than the next most searched for locations – Camden Town and Shoreditch.

Spotahome is predominantly used by overseas renters moving to the UK for a minimum of 30 days. The website has found that London sees a high level of demand from overseas renters in France, Spain and Germany in particular.

This explains why locations in London that are well known outside of the UK, such as London Bridge and Camden, are so popular. But Spotahome is also seeing the growing popularity of areas such as Stratford, Hammersmith and Ealing – the next most searched for locations on the platform.

The CEO of Spotahome, Alejandro Artacho, says: “The demand for property in key locations around London remains high and growing, and in places such as London Bridge, it is unlikely that this will fall. There is a growing opportunity for landlords to meet mid to long-term rental demand in locations such as Stratford, Ealing and Hammersmith, as there is not currently enough rental stock to satisfy the demand in east and west London in particular.

“Individuals and landlords with property in areas which are growing in demand – such as Ealing, which is undergoing an exciting regeneration process – can look to take advantage of this by putting their spare room or properties up for rent. With the average rental asking price on the site currently standing at £763 for a flatshare to £902 for a whole property, homeowners could stand to earn £9,000 to £11,000 a year, before tax.”

He continues: “London is an international hub, with thousands of individuals moving to the city on a daily basis. Unfortunately, homeowners across Greater London are yet to wake up to the earning potential of their spare rooms, resulting in black holes across London where demand for accommodation far outstrips supply. Spotahome enables potential landlords to find a tenant without the hassle of having to spend days organising and conducting interviews, meaning that renting out your property is a far easier and a less time consuming process.”

This research reveals a great opportunity for landlords to tap into the overseas renters market in certain spots across London – will you invest?