Market Update | September 2021
Wow! Well, September has been yet another eventful month in the industry – there really is never a dull moment for landlords.
We now have another Housing Secretary following the PM’s cabinet reshuffle and this time it’s a big hitter and much more of a household name than many of his predecessors – Michael Gove!
Alongside his introduction to the role, the Ministry of Housing, Communities and Local Government has been rebranded the Department for Levelling Up, Housing and Communities.
So, we might see some bolder policies and initiatives now that Gove has been given the responsibility for levelling up – or perhaps he’ll just be spending more time on his Xbox!
While this change won’t give any certainty over future policy just yet, there is much more positive news for landlords as it has been confirmed that notice periods will finally return back to the pre-pandemic requirements.
This means that from the 1st October 2021 a landlord wanting to use a Section 21 notice to end a tenancy will need to provide just two months’ notice as a minimum. This had increased to three, then six and then down to four again over the last 18 months.
This welcome return coincides with the end of the Job Retention Scheme (or Furlough) so may well be just in the nick of time for some landlords, as we could see a further rise in unemployment leading to an inevitable rise in rent arrears.
Talking of rent arrears, we have been working really hard with our landlords and tenants to make sure rent is paid on time.
We are really pleased with the progress we are making and are getting close again to pre-pandemic levels which, against the current backdrop and in the face of increasing levels of fraudulent tenancy applications in the industry, is a great result for our landlords.
You can read more about renter fraud in this article, along with some other really interesting pieces from the last month.
With that, I’m off to “level up” the business!
If you want to do the same for your investment, contact your local branch to find out how we can help – from maximising rental income to lowering outgoings like mortgages and buildings insurance.
We can help you get more bang for your buck and, for worst case scenarios, our rent protection will make sure you are covered when you need it the most.
Until next month,
Managing Director of Lettings