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TA L K I N G B U S I N E S S | H O L I DAY H O M E O W N E R S H I P

No fault eviction ban can the government have their cake and eat it? Last month there was an announcement

which were roughly half price so there has

property would be compromised and no

which on the face of it was very significant

to be some sort of compromise as nobody

lender would allow a mortgage on it, if the

and progressive. The government indicated

is going to reduce the value of a property

rules are to have no effect on the value or

it’s intention to ban ‘Section 21’ evictions

by signing a contract with no right to give

mortgage security then they can’t provide

often described as no fault evictions which

notice and herein lies the challenge.

a secure tenancy.

There are issues where middle ground can

Looking at the situation in Scotland the

be found - the minimum wage was in the

headlines seem to indicate that middle

Currently virtually all tenancies in England

headlines again recently and it’s another

ground has been found, the tenancy

are on an assured shorthold tenancy

policy which was controversial. In the end

is secure and there’s a long list of

meaning they are for a fixed term which

it wasn’t the about the principle of the

specific circumstances which allow for

in theory can be for any length over 6

rules, what mattered was the rate- at £5/

possession by the landlord such as tenant

months but in practice are almost always 12

hour it would have made no difference

misbehaviour,

months or less. As the end of the tenancy

to anyone and at £20 the effect would be

by

approaches the landlord may give notice

significant and almost certainly damaging

repossessed by the lender. This all seems

two months in advance and the tenant one

to the economy so it’s been possible to

to be carefully thought out to stop no fault

month. If the tenancy is not renewed then it

gradually work towards a level that works

evictions except buried in the long list of

rolls over indefinitely with either party able

for everyone.

grounds for eviction is this:

are perceived as one of the biggest causes of families being made homeless.

religious

let worker

property (!?)

or

required property

to give notice on the same basis. As we’ve seen with the Brexit impasse,

“Landlord intends to sell the property - you

This may be fine or indeed desirable for a

sometimes there is no middle ground -

can be evicted if your landlord plans on

young single person but for a family with

either you have a border or you don’t and

putting the property up for sale within three

kids in a local school and no possibility of

freedom of movement with restrictions

months of you moving out. Evidence must

buying a house of their own it means living

is not freedom of movement!

be provided which could include a letter

with the constant fear that they could find

evictions is one of those issues, the

themselves without a home at short notice.

government has said they are consulting

It’s hard to argue against the good intentions

and will make sure that landlords are not put

Like me you may find this both hilarious

here and there’s certainly a lot more votes

in an impossible position and many people

and tragic at the same time. After all the

in young people and ordinary families

are pointing to Scotland which introduced

posturing about Scottish independence

than there is in landlords. Perhaps analysis

indefinite tenancies in 2017 with safeguards

delivering better terms for Scottish people,

shows that the impact on voting intentions

for landlords without significant impact on

tenants have a completely secure contract

following the reduction in mortgage interest

the property market.

unless the landlord pops into his local

No fault

tax relief for landlords and the tenant fee ban

from a solicitor or an estate agent.”

estate agent and asks for a note to say he’s

has been positive for the government or in

The problem is that there is no real middle

this case maybe it really is those in power

ground here, either your tenancy is secure

trying to do the right thing.

or it isn’t. If it is secure then the value of the

putting the property on to the market. Sometimes you just can’t have the penny and the bun or even have your cake and

Unsurprisingly organisations representing

eat it!

landlords have expressed concern and there have been some sensational articles

Simon Tolson owns Rumsey of Sandbanks,

predicting a property market meltdown

a holiday letting agency. Contact Simon on

with investment properties being dumped

01202 707357.

onto the market and thousands being made

simon@rumseyofsandbanks.co.uk

homeless. I’m old enough to remember properties being sold with a sitting tenant

JUNE 19

www.rumseyofsandbanks.co.uk

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House & Lifestyle | 205  

Your free monthly property and lifestyle magazine in available in hundreds of outlets throughout Dorset & Hampshire.

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