EXCLUSIVE: New renting laws in Wales are a ‘disaster’ for landlords

EXCLUSIVE: New renting laws in Wales are a ‘disaster’ for landlords

10:16 AM, 1st December 2022, About A year ago 16

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From today, landlords in Wales will see the biggest change to housing legislation in decades coming into force with the rules affecting both landlords and tenants.

But the new laws have been slammed as a ‘disaster’ for landlords by Janet Finch-Saunders, the Shadow Minister for Climate Change in the Senedd.

The Conservative MS told Property118: “This law is already a disaster for landlords.

“The fear of it coming in has already precipitated a number of Section 21 notices being served.

“And when I speak to landlords, they just say ‘We’ve had enough’, all this burdensome regulation, all this risk.”

Landlords in Wales are worried about eviction notices

Ms Finch-Saunders also warns that landlords in Wales are worried about eviction notices being extended from two months to six months – and that the court process will make this longer.

She said: “In real terms, a six-month eviction could end up taking almost a year and nine times out of ten, landlords won’t see any rent coming in, so they’re not prepared to risk on an asset.

“They’re either going to move over into holiday lets or sell up.”

Ms Finch-Saunders continued: “I’ve always said there has to be a balance. All that a private sector landlord wants is for someone to look after their property and pay their rent.

“But the law now is skewed heavily in favour of the tenant.”

Renting Homes (Wales) Act 2016

The Renting Homes (Wales) Act 2016 will now change the way that landlords rent their properties.

The legislation was postponed in July to allow the Welsh housing market time after recovering from the coronavirus pandemic.

Landlords will see the act affecting how properties are managed and rented. The law changes for tenants include:

  • All tenants and licensees will now be known as ‘contract-holders’
  • Tenancy agreements are replaced with ‘occupation contracts’
  • Tenants will be given a written contract setting out their rights and responsibilities
  • The ‘no fault’ notice period is extended from two to six months
  • There’s more protection for tenants from eviction.

Changes affecting landlords

Among other changes affecting landlords is an improvement in succession rights which sets out who has a right to continue living in a property, for example, should the current tenant die.

It is also easier to add or remove joint contract-holders and there are two types of contract:

  • ‘Secure’ contracts are for the social rented sector
  • ‘Standard’ contracts are for the Welsh private rented sector.

The new law also makes clear that rental properties must be fit for human habitation (FFHH) and landlords will need to carry out electrical safety testing and have working carbon monoxide detectors and smoke alarms.

Also, an abandoned property can be repossessed without a court order.

New laws will help to make renting simpler

Julie James, the climate change minister, says the new laws will help to make renting ‘simpler and more transparent’.

Kerry Barber, the head of compliance at Goodlord, said: “This is really significant legislation and the implications for landlords and their agents are myriad.

“There’s a lot to get to grips with. Those who haven’t prepared for the changes must move quickly to ensure their house is in order and they don’t fall foul of the new regulations.”


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Comments

Jonathan Doyle

0:55 AM, 4th December 2022, About A year ago

Reply to the comment left by Jonathan Doyle at 03/12/2022 - 09:53and it was on the TV last week that 600 students waited up all night to view a one bed flat in Edinburgh..this is disgraceful and is all the fault of the Scottish Gov crazy rules and regulations surrounding a private owner renting a flat to consenting tenants

Martyn Ashcroft

9:54 AM, 4th December 2022, About A year ago

Reply to the comment left by Happy Landlord at 01/12/2022 - 12:01
I totally agree . 47 years in rentals my colleague and have 148 flats and houses after decades of toil. Low rents and some tenants for over 30 years but now the politicians and councils are making us feel as though we are greedy awful people. All we can look forward to is more legislation massive inheritance tax bills and a struggle to survive. How to kill off the private rented sector in two decades. A disaster. I would love to be on air to answer those left wing politicians who slag us landlord's off without rebuttal. No surprise that private rented stock is diminishing rapidly and the people who suffer are normal working class familys who need to rent.

Jonathan Doyle

12:31 PM, 4th December 2022, About A year ago

Reply to the comment left by John Taylor at 03/12/2022 - 17:20
Me too I am selling 6 houses with 18 tenants all who I consider to be nice people but I am no longer prepared to be a slave to the lazy Scottish Gov..the damage that the Scottish Gov have done to the Private and I repeat ` Private` rental sector is disgraceful...no other Nation in this world would put up with the way that the Scottish Gov treat ` private` owners who decided to offer homes for people that need them..as soon as I sell these 6 houses and the unfortunate tenants who I know want to stay and are happy with their houses I will retire to another country that does not treat people who had aspiration to hopefully help others and hopefully help people that desperately need a home to live in but not in Scotland

Jonathan Doyle

13:20 PM, 4th December 2022, About A year ago

Reply to the comment left by Jonathan Doyle at 04/12/2022 - 12:31Its funny that the Scottish Gov always yap on about independence for the people that live in Scotland but the very same Scots Gov restrict and punish with decronian fines and sanctions the independence of Private home owners who decided to rent their own house or flat to consenting tenants who need a house or flat to live in...you could not make this up its totally nuts bananas but that is the way it is in Stalinist Scotland now

Jonathan Doyle

13:27 PM, 4th December 2022, About A year ago

Reply to the comment left by Jonathan Doyle at 04/12/2022 - 13:20
oops typo should read draconian but I am sure you get my meaning

Jonathan Doyle

13:40 PM, 4th December 2022, About A year ago

Reply to the comment left by Jonathan Doyle at 04/12/2022 - 13:27
and just to be sure wee Willie Cranky or as me and my pals call her wee Burney and her cohorts has caused all this devastation in the `Private ` rented sector in Scotland...... at least wee Willie Cranky can still jump in and out of her limo with a poor Scots man dressed up like some sort of processional guard and tipping his hat and opening the door of the limo when wee Willie Cranky enters the limo..so much for Scots independence

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