New legislation for tenant find?

by Readers Question

4 years ago

New legislation for tenant find?

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New legislation for tenant find?

I recall reading something about some new legislation that was coming into force around October (though I cannot find it!) regarding anyone acting as an agent would need to register with a professional body (like The Property Ombudsman) and have Indemnity insurance. New legislation for tenant find

Is this true?

The reason why I am asking is that I rent out my own properties and my families (for free), though I do also offer a tenant find service for a few friends who have properties. With the tenant find service, I just do the viewings – handle the AST’s and protect the deposit (which i return to the landlord). I do charge to find tenants for my few friends if this matters?

If anyone knows that would be great as if it expensive to register with a professional body & take out the insurance, then i will just drop helping my friends out (they are not that good friends :p ).

Any advice would be great.

Many thanks

Mark Cundall



Comments

Mark Alexander

4 years ago

Hi Mark

I am aware of the legislation you are speaking of and have sent the following Tweet to The vProperty Ombudsman to ask them to comment on this thread in order that we can "get it from the horses mouth" so to speak.

Until there comment appears I would respectfully ask all readers who use Twitter to re-tweet the following .....

Romain Garcin

4 years ago

Having quickly read the legislation, my feeling is that you will be required to register with one of the authorised redress schemes.

I read this and the Property Redress Scheme - http://www.theprs.co.uk - is the scheme I believe coming into practice. I downloaded a membership application and the cost is £95 plus VAT per head office and £95 +VAT for each additional office.
As an independent agent (not earning a great deal) I think this is the best scheme for me. I don't use an accountant as I self certify (being self employed) and schemes such as ARLA want an accountant to verify accounts, etc. More expense.
I think this new scheme is a very good idea for small businesses and have been looking for something like this for a while.

TPO Membership

4 years ago

The Department for Communities and Local Government approved The Property Ombudsman (TPO) to provide a free and independent redress service to landlords and tenants in April, as part of new legislative changes that will require all letting agents and property management agents in England to register with a redress scheme later this year.

Under the new legislation, you would be required to register with a redress scheme and have the appropriate cover in place (more information on this is available via http://www.tpos.co.uk/join-tpo.php)

As the UK's largest property redress scheme, TPO operates an independent dispute resolution service for member agents and consumers. More than 11,000 lettings offices have already voluntarily registered with TPO and follow the scheme’s unique Code of Practice.

TPO is the longest-running property dispute resolution service – specialising solely in property redress. Our 24-years’ experience is a testament to the knowledge we have on all things property-related to review complaints fairly and independently.

TPO is unique as it is the only government approved scheme that does not charge a case fee and we’re proud of the transparent fee structure we’ve maintained to ensure there are:

• No complaint case fees
• No hidden charges
• Flexible membership terms: Agents can follow one or more of TPO’s Codes of Practice for no additional fee

As the only redress scheme offering agents a Code of Practice to raise standards in the industry, TPO agents have a unique point of difference to promote peace of mind among buyers, sellers, landlords and tenants about the service they can expect to receive.

I hope this answers your question and please do feel free to contact our Membership team on 01722 335458 or email membership@tpos.co.uk.

**MODERATORS COMMENT**

Special permission has been granted to allow TPOS to place self promotional links and contact details in this post.

Dear Maureen

Thank you for the message.

The Property Redress Scheme is the new consumer redress scheme for the property industry, designed with both the consumer and property professional in mind.

In order to prepare and create a scheme where there are benefits for property professionals as well as consumers, we have undertaken research on the market and have been speaking to array of agents and other property professionals, from large multi branch to single manned operations.

From the feedback we were given and using our experience in the property industry, we have decided to offer two membership options and a straightforward application and complaints processes. We will also offer discounts and special offers to Property Redress Scheme members giving them added value to their membership. The first benefit we are able to offer is a discount on their professional indemnity insurance.

With regards to membership options we have the entry model which costs £95.00 plus vat for the head office (main contact) application and also £95.00 plus vat for any other branches of the company. There are then complaint fees of £60 plus vat if the agent holds valid client money protection insurance or £90 plus vat for all others. Members will only pay this fee if they do not resolve any complaint we inform them of after the first 10 working day period. We see this as a vital period in which the Member can communicate with the complainant to resolve the issue.

We also offer an all-in Enhanced model which will cost £199 plus vat for the head office application and a further fee of £199 plus vat for each branch. With this option the Member will not have any complaints fees - subject to a fair usage policy which we can explain in more detail by email or over the telephone.

The Property Redress Scheme does not have its own code of practice for members to sign up to and be required to agree to comply with. If the Member is a also a member of a trade association then we will use the code of practice that association requires it's members to abide by. If the Member is not a member of a trade association then we will instead rely on good industry practice as set out by the various lettings trade associations when considering any complaint.

We hope this has been helpful.

We currently have a holding website available at http://www.theprs.co.uk. Keep an eye on this site as we will be updating it shortly.

Kind regards

Property Redress Scheme


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