The Renters’ Rights Act will substantially increase setbacks in possession claims, according to Mike Carter, a litigation partner in the Manchester office at law firm Bermans.
He warns that failure to follow the correct legal processes could send landlords’ cases back to square one in a high-stakes game of snakes and ladders.
He said: “The new legislation will bring sweeping changes and fundamentally tip the balance further in favour of tenants, significantly reducing the limited flexibility that landlords have historically relied upon, and making it much more difficult for a landlord to regain possession without a clear and valid legal ground.”
Burden of proof is a challenge
The burden of proof is also a challenge, he said. “The requirements of the Act increase complexity and create a heavier evidential burden on landlords. There will be greater scrutiny and longer notice periods when seeking possession.
“Unless they get their paperwork exactly right, it could feel like snakes and ladders – where missing a step or failing to meet the criteria will likely result in them having to start the process all over again.”
In addition to the abolition of no-fault evictions, new rules include tenants being at least three months in arrears before landlords can seek possession rather than two, while the notice period for tenants in arrears has doubled from two to four weeks.
Landlords who want to sell or move back into a property will have to give four months’ notice, must respect the first 12 months of a tenancy and can’t relet or market the property for a further 12 months after.
Increased awareness by tenants of rights
Increased tenant awareness of their rights is also putting pressure on landlords, said Carter, with tenants in most cases encouraged by housing charities and local authorities to remain in properties until the end of the legal process, further extending the timeline for landlords.
“There is already a shortage of housing stock, and tenants will understandably want to stay put for as long as possible. That makes it even more important to get things right from the outset,” he added.
He said landlords must plan, review processes and ensure all documentation is fully compliant. “Those who fail to plan and satisfy all the criteria simply won’t get possession and could find themselves sent back to square one. Understanding the reforms is essential for landlords to remain compliant, avoid costly delays and protect their assets.”
This article is taken from Landlord Today