Bad news for Landlords – or is it?By: Simon Hughes
Unless you have been in hibernation, you are probably already aware that from 1st June 2019 it is illegal to charge tenant fees (apart from for a few items which are either capped or based on a reasonable sum).
One key change is that landlords will only be able to take 5-weeks rent as a security deposit meaning that if excessive damage is caused (or there are rent arrears) then it will be difficult to reclaim the loss unless you take a legal route – which most landlords will tell you is not worth it!
We have a solution! We have partnered with a leading deposit replacement company whereby if both landlord and tenant agree then a deposit can be replaced with the tenant paying a small one-off membership fee to replace a deposit. Ultimately, the tenant pays the equivalent of one weeks rent (+ VAT) to move onto a pay as you leave model, and the landlord will benefit from up to 12-weeks-worth of protection – if needed!
Both parties win. The tenants keep more money in their pocket at the outset of their tenancy whilst the landlord will have the security of 12-weeks deposit replacement, and this doesn’t cost the landlord a penny as the tenant pays for the service.
This is a fantastic opportunity and is available right now via your local Conran office so say goodbye to excessive tenant damage or rent arrears and say hello to the new way of renting your property – however if you feel more comfortable with taking 5-weeks rent then we will still be offering this service too!
Speak to your local office about this great benefit.