Generation Rent want open ended tenancies and Landlords to cover moving costs

Generation Rent want open ended tenancies and Landlords to cover moving costs

10:17 AM, 1st September 2021, About 4 weeks ago 30

Text Size

Generation Rent wants landlords to cover the moving costs of tenants if they are looking to gain possession to sell or return back to the property as their main residence. They claim these types of unwanted moves cost private renters in England £229m per year and are also calling on the government to introduce open-ended tenancies as part of its reforms to the rental market.

Generation Rent has come up with a median household typical upfront cost of an unplanned move at £1,709 which includes:

The deposit on a new home, worth five weeks’ rent- £808. Two weeks paying rent on two properties while moving – £323. Time off work to view properties, pack, and move home – £250 for 28 hours at minimum wage. Cleaning costs – two hours at £24. Van hire – one day at £34. Broadband installation – £20.

Generation Rent said: “Our summer survey, which had responses from 884 people who have rented from a private landlord in the last 5 years found that over half (56%) paid more rent when they last moved home. Alongside financial costs, almost half (44%) reported having to move further away from friends or family, 15% were further from a hospital, and 5% had to move their children’s school.

“The government has promised a White Paper on reform of the rental market this autumn. We are calling for open-ended tenancies, which would give tenants stability and flexibility, enabling them to put down roots in secure homes that they can call their own. Where landlords wish to sell or move in, they should pay the equivalent of 2 month’s rent towards tenants’ moving costs, to minimise the stress of moving.

“Renters are shelling out millions to pay for house moves that they have no choice but to make. Not only is moving home expensive, it can force renters to move away from essential support networks, family and friends, and can disrupt children’s education. Renters deserve secure and stable homes where they can put down roots in their communities and thrive. With tenancies so short and evictions so common, this right is out of reach for millions of private renters. Generation Rent is calling on the Government to commit to open ended tenancies in the upcoming Renters Reform White Paper, and to make landlords contribute to renters’ moving costs in the event of an unplanned and unavoidable move.”



Comments

by SimonP

9:58 AM, 4th September 2021, About 3 weeks ago

The deposit will always belong to the renters and is not a cost unless it is needed to rectify any damage etc. So, all things being equal, renters would pay 5 weeks deposit on a new place and receive 5 weeks return of deposit from their old home.

So that disposes immediately of 50% of the unaudited figure put forward by Generation Rent.

Maybe I am different but when I last moved, I viewed properties after work and moved over a weekend so it didn't interfere with my job.

Broadband: according to my quick internet search, many companies offer free installation. And let's be clear, it's not just broadband, it's also TV & phone. And since the survey used minimum wage to calculate some costs, maybe those low earners should think about saving money and not spending it on broadband which they seemingly cannot afford.

Cleaning: don't landlords already clean between rentals? I know I don't pay £24 per hour for my cleans.

Do renters think that they are going to stay in one place for ever? Provided they are good tenants, as a landlord I'd like to hold onto them for ever but at some point they'll move. Will I be compensated because they want to leave? Why should I pay for their moving costs when it is a fact of live that (virtually) everybody moves home during their lifetime? Ridiculous!

I find it scandalous that schools and hospitals have been built in the wrong places for these tenants: they should be moved closer immediately. I'm now thinking of those military kids who were brought up on bases around the world and having to move at a moment's notice when Mum and/or Dad were posted elsewhere. "Sorry General, we can't move because I don't want to have to find another school for my child and I like my house too much."

If 44% had to move further away from friends and family, that means 56% moved closer or stayed the same distance away. So, accommodating the 44% would have meant inconveniencing the 56%. Oh well! You can't please all of the people all of the time but you can . . . you know the rest.

The survey did not indicate why people moved over the 5-year period. Perhaps they had increased the size of their family, hence required large housing and therefore paid a higher rent.

The article mentions that 884 people were surveyed but does not say how many were from the same household. As a survey the so-called results are tainted and meaningless.

by SimonP

10:03 AM, 4th September 2021, About 3 weeks ago

Reply to the comment left by Paul Shears at 04/09/2021 - 08:55
That's £24 x 2 = £48.

by SimonP

10:05 AM, 4th September 2021, About 3 weeks ago

Reply to the comment left by David Judd at 04/09/2021 - 07:40
Not exactly right. The clean was calculated as £24 x 2 = £48.

by Paul Shears

10:56 AM, 4th September 2021, About 3 weeks ago

Reply to the comment left by SimonP at 04/09/2021 - 10:05This is just enough to get a carpet cleaner to turn up round my way.
By the time you factor in their overheads, assuming that they are properly equipped, and the transport costs, I can easily see a cleaners problem.
My own tenants were paying around £25 for an hour's work per month to clean the communal areas.
I pay £250 to clean the carpets between tenancies with myself removing all obstructions and I consider that excellent value.

by bob the builder

16:47 PM, 4th September 2021, About 3 weeks ago

The harsh reality of the future for GN is that they will get a 'Soros pod' and like it.

by Paul Shears

18:26 PM, 4th September 2021, About 3 weeks ago

Reply to the comment left by bob the builder at 04/09/2021 - 16:47
The overwhelming evidence that has been in front of me for years is that you are absolutely right. It sickens me and I want out.

by Hardworking Landlord

9:33 AM, 7th September 2021, About 3 weeks ago

Its no wonder that Generation don't actually provide any housing, they simply could not afford the risk

by Gromit

10:15 AM, 7th September 2021, About 3 weeks ago

It's long overdue for Generation Rent to put up or shut up!
If as Generation Rent make out, all tenants are model tenants then they should offer to act as guarantor. Deposits (one of their bugbears) would become unnecessary (maybe), and Landlords wouldn't need to apply income rules (e.g. No DSS) another of their bugbears.
Generation Rent wouldn't lose any money as tenants wouldn't damage a property nor default on payment of rent, would they?

Perhaps they should pool resources with Shelter, Acorn, LRU, et al.

It's funny they haven't thought of that themselves!🤔🤔

by JB

13:24 PM, 7th September 2021, About 3 weeks ago

Reply to the comment left by Gromit at 07/09/2021 - 10:15
Its a pity I cannot post photos. I was looking at some checkout photos the other day. What a B***** mess.

Thankfully now I only take better tenants as I can take my pick from all those poor devils desperately trying to find sonewhere/anywhere to rent.

So in a weird way Shelter and co. have done me a favour in making rental properties a scarce commodity.

by moneymanager

14:13 PM, 18th September 2021, About A week ago

Reply to the comment left by Ian Narbeth at 01/09/2021 - 14:49
"I'm from the government and I'm here to help" Ronald Reagan's Most frightening words in the English language.


Leave Comments

Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.

Forgotten your password?

BECOME A MEMBER