Why the Renters’ Reform Coalition is bad for landlords AND tenants

Why the Renters’ Reform Coalition is bad for landlords AND tenants

10:27 AM, 3rd November 2023, About 6 months ago 3

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The Renters’ Reform Coalition (RRC) is a group of organisations that claim to fight for tenants’ rights, but in reality, they are harming both landlords and tenants in the private rented sector (PRS). They are pushing for radical changes that would make renting more expensive, less secure, and less available for millions of people who rely on it.

The RRC includes groups such as Crisis, Citizens Advice, Generation Rent, Shelter and others.

They have been lobbying the government to pass the Renters (Reform) Bill, which aims to end section 21 ‘no-fault’ evictions – though these are ‘no reason given’.

Abolishing s21 would mean that landlords would not be able to regain possession of their properties without proving a specific ground, such as rent arrears, anti-social behaviour or selling the property.

Getting rid of s21

The RRC claims that getting rid of s21 would give tenants more stability and protection, but they ignore the negative consequences that this would have for both landlords and tenants.

Landlords would lose their flexibility and control over their own properties, which are often their main source of income or retirement savings. I’ve mentioned before that by effectively losing control of our property, we are giving the rights over it to a tenant.

And we would face more risks, costs and delays in dealing with problem tenants that would have to be evicted. To hear Angela Rayner and the RRC say it, there’s no such thing as a problem tenant. Only problem landlords.

We would also be discouraged from investing in new properties or improving existing ones, which would reduce the supply and quality of rental housing. Why would we help resolve the housing crisis when we are the bogeymen and women? We wouldn’t – we are on a hiding to nothing.

Landlords become more selective and cautious

The upshot of losing control of our property is that tenants would suffer as landlords become more selective and cautious in choosing who lives there.

And that tenant would face higher rents and deposits to cover the increased risks and costs of renting.

They would also have fewer options and opportunities to find suitable and affordable housing, as many landlords would exit the market or switch to short-term lets.

They would also lose their freedom and flexibility to move when they want or need to, as they would be tied to longer and more rigid contracts.

The worst part of it is that tenants on low incomes would be disproportionately affected.

RRC does not represent landlords or tenants

The RRC does not represent the views or interests of most landlords or tenants in the PRS. According to a survey by the National Residential Landlords Association (NRLA), 84% of landlords said they were satisfied with their current tenants, and 82% of tenants said they were satisfied with their current landlord. That isn’t the media portrayal of the PRS – they like to pitch as adversarial.

And get this Shelter and Generation Rent – the majority of tenancies are ended by tenants themselves, not by landlords.

The average length of a tenancy in the PRS is over four years, which shows that most tenants have stability and security without needing legislative intervention.

NRLA appealing to the RRC to work together

Property118 has a story this week of NRLA appealing to the RRC to work together on improving the PRS for everyone. The NRLA agrees – as will most good landlords – with many of the RRC’s goals, such as ensuring tenants have access to quality housing and fair benefits. However, the NRLA also warns that reform of the rental market needs to carry the confidence of responsible landlords, who provide much-needed homes for millions of people.

The NRLA has sent an open letter to the RRC’s leading members, inviting them to engage in constructive dialogue on areas of agreement.

The letter also asks them to explain and justify their positions on some of the contentious issues, such as court reform, grounds for possession and pets in rented homes.

Debate about the future of the PRS

The NRLA’s chief executive, Ben Beadle, said that debate about the future of the PRS has become increasingly polarised and divisive between landlords and tenants. He can say that again!

He also said that this divide is not helpful and that both parties mutually depend on each other.

He wrote: “We do not think this has to be the case and we are concerned at some of the language which gives the impression that someone can be pro-landlord or pro-tenant, but not both. This is simply not true.”

Stop demonising landlords as greedy

The RRC should listen to the NRLA’s reasonable and balanced approach and stop demonising landlords as greedy and heartless exploiters.

The RRC should recognise that landlords are not enemies but partners in providing housing for millions of people who choose or need to rent.

The RRC should work with the NRLA to find solutions that benefit both landlords and tenants and help shape a better rental market for everyone.

The RRC is ruining the PRS with its unrealistic and unfair demands.

It is time for them to stop ranting and start talking – because all decent landlords are listening.

Until next time,

The Landlord Crusader


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Comments

Mick Roberts

8:38 AM, 4th November 2023, About 6 months ago

It's easy in't it. If they stopping us having our house back, they have no homes to start with. What they don't get about this is baffling.
None of 'em can ever have started a business.

Grumpy Doug

9:27 AM, 4th November 2023, About 6 months ago

The problem is that these so-called "housing charities" have all morphed into shouty activist organisations with highly paid executives. They thrive on conflict, and the worsening housing situation is just brilliant for them. I've never seen them so active - the government will be just hosing vast amounts of taxpayers' cash around in panic, and they've smelt it. Those of us on this forum know that they supply zero housing between them but they shout loudly and make all the right noises, and in today's current political climate, that counts more than actually doing something.
Edinburgh is a classic case in point - they've declared a housing emergency and it's become a noisy talking shop for the council and all the non-housing providers! There's a noticeable absence of those that actually provide housing.
So in summary, more pain for housing providers (landlords), and more gain for non-housing providers (Shelter, Gen Rant etc)

Easy rider

11:10 AM, 4th November 2023, About 6 months ago

If we want to have sufficient housing, there are two primary choices.

1. Increase supply. Build more housing and/or ensure empty properties are brought back. Use the tax system to ensure private renting is more attractive than holiday letting.
2. Reduce demand. Manage population growth. Encourage better use of housing stock. Stop unemployed couples having a free house each

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