Labour’s proposed changes to the way properties are rented out have been touted as benefiting tenants, who are seen by some as having too little power compared to landlords, who are sometimes said to have too much. But is this true? Are there in fact benefits for the landlord as well? Here we look at some of the pros and cons for both parties. Perhaps you’re one of our landlord building insurance customers. Do you feel we’ve missed a point? Let us know below…
- Tenants will not be evicted with a view to raising rents, thanks to the proposed three year tenancy.
- Tenants will be able to make longer term plans as regards work or children’s education.
- Tenants won’t face unlimited fees from agencies.
- Tenants will only pay market-rate rental increases.
- Landlords would still be unregulated under the proposals, so may not carry out necessary work on a property.
- For some tenants, three years may not be enough – with a view to retiring or starting a family.
- Landlords wouldn’t have to find new tenants as frequently, thanks to the three year tenancy.
- Would not be able to sell property until the tenancy is up for renewal; and might therefore not be able to buy.
- Without the power to raise rents as desired, some landlords may fear being out of pocket after mortgage payments, maintenance fees etc.
- Could be more difficult to evict tenants than under current rules.