The upcoming Rent Right Act 2025 is the biggest shake-up for landlords in years. It will affect how you manage tenancies, raise rent and regain possession.
- 1. Section 21 Abolished
- No-fault evictions are being removed
- The alternative to section 21 will be the section 8 grounds instead (rent arrears, sale, landlord moving in, ASB, etc)
- You will need good tenant records and strong paperwork, which is why using a managing agent such as L&H Residential is so useful.
- 2. Tenancies Become Periodic
- There will be no more fixed-term AST
- All tenancies will become rolling periodic agreements
- This will also make planning for refurbishments or selling a lot more complicated
- 3. Rent Increases – New Rules
- You will be allowed to raise the rent just once every 12 months
- When doing so, you must use the new Section 13 process (form 4A)
- Tenants will be able to challenge and rent increase at the tribunal
- It would be prudent to have evidence of local market rent. Another reason using L&H Residential would be beneficial, as they can provide it.
- 4. Changes to Rent Payments
- You can only collect one month’s rent at a time
- No more quarterly rent payments
- No rent can be collected before the tenancy agreement has been signed
- Likely need to review your current rent collection structures
5. New Tenant Protections
- You will no longer be able to blanket refuse tenants with children, on benefits or with pets
- The landlord must consider the request from tenants with pets
- There will be stronger repair rules with set maximum deadlines for rectification of issues.
- Higher expectations will be set for proactive property management, yet another reason to use L&H Residential
6. What Borehamwood Landlords Should Do Now
- Make sure you review tenancy agreements and check for outdated clauses
- Make sure you have all your rent statements, inspection notes and communication logs
- Plan a new Rent increase strategy, for example, you will need ready evidence and notice times.
- Make sure none of your advertising conflicts with the new rules imposed by the Rent Reform
- Make sure you tighten maintenance standards
- Obtain legal/lettings advice to update documents before the law begins. L&H Residential can assist with this.
7. Why It Matters in Borehamwood
- Borehamwood has strong rental demand
- Tenants will have more rights; therefore, compliance becomes even more crucial than ever before
- Being a well-organised landlord will make you stand out and reduce risk. With the help of a local agent such as L&H Residential, this can be obtained quite simply.
In conclusion, with many changes to the laws and rules that you as a Landlord must obey to prevent fines or legal actions against you, using a Local estate agent to help keep you legally compliant with your rental property/s is more valuable than ever, as the agency can take the weight off your shoulders and also the time it would have taken you to keep fully up-to-date
L&H Residential can be reached on 0203 617 1333 or by email Enquiries@laminghope.com