Government Abolish Section 21 Notices
Today, the Government decided to abolish Section 21 notices.
The target of this action is to provide all renters with open-ended tenancies.
Soon, the Government will launch a consultation.
This consultation will reform the Section 8 evictions.
The role of Section 21 notices is just a few situations.
These are situations in which the homeowner has good reasons for evicting the tenant.
The reasons may include renovating the rental or selling it off.
To some people, the action of the Government is a welcome development.
It is a great trend for private tenants.
Also, the introduction of open-ended tenancies for tenants in England is a laudable action.
This action ensures renters who do not violate their tenancy agreement can stay for a long time.
They do not have to fear the possibility of their property owners locking them in.
Section 21 gives advantages for landlords to have control over their properties.
But lots of them are using it to evict renters without any cogent reasons.
Many landlords intimidate renters with the poor and anguishing practice.
Unfortunately, the tenants could hardly complain before Section 21 notices.
Notably, one in every five households lives in private rentals.
However, these tenants face insecure tenancies.
This is because it is difficult for them to have peace of mind in the rentals.
Section 21 is a major reason behind homelessness.
Benefits of the abolishment of Section 21 notices
With the abolishment of Section 21, all these will change for good.
Foremost, older renters and private renter families are now financially secure.
They can live peacefully and succeed in their residence and communities.
Reneza is here to work with the Government and public on this new trend.
You can always count on us for the best real estate help.
Appreciating several tenants who made this abolishment possible is good.
They signed petitions, campaigned, and spoke with the councilors and MPs.
They also shared their stories of how this section has adversely affected their tenancy.
This is a great victory for the renters in England. It is bound to lead to more positive changes.
Views of the representatives of the Residential Landlords Association (RLA)
Nevertheless, the representative of the RLA has another opinion.
He notes that the tenants pressured the Government to make this change.
And this can lead to having poorly conceptualized reforms.
In addition, he highlights that more people are in need of privately rented houses.
However, homeowners must be confident about their investments.
The landlords should be able to repossess their rentals quickly.
This should be possible when they have good reasons.
But the abolishment of Section 21 will hamper such possibility.
This will partially make tenants have more power in the tenancies.
Hence, the Government must address this issue before abolishing it.
He also goes further to negate the talk about greater security for tenants.
If the rental homes are not available, the so-called great security will not exist.
Consequently, he advises the Government to be more cautious.
Cautions for the Government
A typical rental resides in a rental home for over four years.
This is according to the Government’s data.
At the end of the tenancy, the renter ends the agreement 90% of the times.
The RLA cautions that the demand for rentals is more than supply.
Therefore, there is a risk of aggravations the problems of demand and supply.
More house owners are not confident about repossessing their homes quickly.
Therefore, they may be more unwilling to let out their properties.
The Government’s data is also examined.
It shows a homeowner spends more than five months in court when repossessing their properties.
So, the RLA says the Government should reform and enhance the court system.
Such will ease the process of repossessing rentals.
The RLA argues that the Government should do this before the abolishment.
Manchester Metropolitan University conducted research on this subject.
The study was conducted for the RLA.
The study shows the most cases of eviction under Section 21 have good reasons.
50% of the notices came as a result of three reasons.
The reasons are owed rents, damage to the rentals, and anti-social acts.
The need to sell or refurbish the property is another reason.
The study faults the argument against the use of Section 21 notices.
Also, it notes that the notices can hardly be called no-fault evictions.
The landlord community and the RLA will soon meet over this.
They will look at taking steps to make them confident in the system.
The committee will also consider important tips for house owners in this situation.
They will take these actions before the Government abolishes the section.
Views of the Association of Residential Letting Agents (ARLA)
The opinion of the representative of the ARLA is similar.
He says the news is a bad one for both the homeowners and private rented sector.
In fact, it signals bad omens.
He observes that people are still waiting for the impacts of tenant fees ban.
But the Government has introduced another regulation.
These regulations could force many property owners out of the market.
And this is bad news for the tenants too.
He believes that the Government needs to provide details of the abolishment.
If not, this will pressurize the investors to avoid buy-to-let properties.
With the demand more than supply in the sector, this could be damaging.
Finally, the ARLA is ready to work along with the Government.
This joint effort could help with understanding the effects of the abolishment.
This will help homeowners to repossess their properties when necessary.
Need tips for landlords?
Do you want more clarity on the abolishment of Section 21?
Contact us today at Reneza.
Let’s offer all the information you need.