Abolishing Section 21!

ABOLISHING SECTION 21!

The Government’s levelling up Rental Reform white paper bill has included this in detail.

Section 21, often referred to as the ‘No Fault Eviction’, has been a security blanket for landlords. If you as a landlord wanted your property back, then a Section 21 will guarantee you your property back.

By abolishing the Section 21, this will no longer be the case. The tenant will be able to give 2 months’ notice at any time and the landlord must give a reason as to why they want the property back and that reason must be one of the grounds of a new updated Section 8 notice.

If I look at the occasions we have issued a section 21 over the last 30 odd years (and there really has not been that many), 95% of the time, it was because the tenants were in rent arrears, the landlord wanted to sell his property or the landlord wanted to move back in. The new Section 8 notice will have additional grounds to cover these reasons.

There are additional caveats to these. If you decide you want to sell the property and give the tenants notice, you must prove it was on a portal for sale and if your situation changes and you decide to put the property back up to rent, then there must be a gap of 3 months between the tenants.

If you are seeking possession because the tenant is in the minimum 2 months of arrears and they decide to pay a nominal amount that takes them under the 2-month threshold the day before court, then you will not regain the property (as it is now), however, if the tenant does this 3 times in 3 years, the court will give the property back.

Feeling deflated? Exhausted with all the changes? Then let us take care of your property needs. We promise to hold your hands throughout this process, giving you less stress and more free!

If yancy an informal chat any time, then email me sharon@moveon.biz with your phone number.

Sharon

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NOTICE PERIOD CHANGE FROM 1ST JUNE TO TENANTS

If there is one thing that has kept letting agents busy over the last 3 to 4 years, it is the continuous changes within legislations.

COVID-19 has also had a massive part since March 2020, with how much notice a landlord can give a tenant to gain their property back. In normal times, (pre-COVID) a Section 21 (Form 6a) notice would be given to the tenant giving 2 months notice to vacate. However, the Government extended this notice to 6 months, which in some circumstances across the country caused absolute mayhem. This being particularly difficult for landlords whose tenants were already in serious rent arrears. If there was ever a time for a landlord to have a rent guarantee in place then this was and still is the time.

From the 1^st June, the notice period is being reduced to 4 months and then to 2 months notice from the 1^st August 2021.

Notice periods for the most serious cases that present the most strain on landlords will remain lower:

Anti-social behaviour (immediate to 4 weeks’ notice)
Domestic abuse in the social sector (2 to 4 weeks’ notice)
False statement (2 to 4 weeks’ notice)
4 Months’ or more accumulated rent arrears (4 weeks’ notice)
Breach of immigration rules ‘Right to Rent’ (2 weeks’ notice)
Death of a tenant (2 months’ notice)

Bailiffs are also able to carry out evictions from June too.

If you would like help in managing your rental property then please contact me on sharon@moveon.biz

Remember a good agent is worth every penny when you know you can sleep peacefully at night.

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