Landlords… did you know there are over 170 pieces of legislation landlords are expected to abide by when renting a property? Scary, isn’t it; and the big question is, are you fully compliant?
As a landlord, your primary responsibility is to provide a safe, habitable and compliant rental property for each tenant. However, navigating the maze of rules and regulations can be daunting. Ensuring compliance is crucial in avoiding hefty fines, which could be as much as £30,000, and/or prosecution.
The good news is that Surrey Abodes is here to keep landlords fully informed and compliant This blog will guide you through the key aspects of rental property compliance and the steps you can take to meet current legislation.
Understanding rental property compliance
Rental property compliance is making sure you, as a landlord, and your rental properties adhere to local and national, even EU, regulations that govern housing standards, safety requirements, tenant rights and landlord responsibilities. They are designed to protect landlords and tenants, creating a fair and safe housing market.
Key areas of rental property compliance in the UK
There are approximately 2.82 million landlords in the UK; 68% are over 55 years old. They are responsible for ensuring a safe, habitable and compliant rental home for more than 4.4 million tenant households – and that’s just the private sector. If we include the social sector, i.e. those renting from local authorities and housing associations, that figure is nearly double at 8.6 million.
So, as a responsible landlord, what are the key compliance areas you must be aware of, and comply with?
- Health and Safety Standards
- Housing Health and Safety Rating System (HHSRS): ensure the property is free from hazards, such as damp, mould, pests and structural issues.
- Smoke and carbon monoxide alarm regulations: install and maintain functional smoke alarms on every floor, and carbon monoxide alarms in rooms with solid fuel-burning appliances.
- Gas safety (installation and use) regulations: ensure annual gas safety checks are carried out by a Gas Safe registered engineer, giving each tenant
- a Gas Safety Certificate (CP12). No gas certificate could result in a £5,000 fine.
- Electrical safety standards: make sure all electrical installations are safe and have an Electrical Installation Condition Report (EICR) conducted every five years.
- Building codes and planning permissions
- Ensure the property complies with all local building regulations, including structural integrity, electrical wiring and plumbing.
- Adhere to planning permissions and building control approvals relating to alterations and/or extensions.
- Tenancy agreements
- Always use legally compliant Assured Shorthold Tenancy (AST) agreements that clearly outline the terms and conditions of the tenancy.
- Include mandatory clauses, such as the tenancy deposit scheme information and Energy Performance Certificate (EPC) details. Not complying with the Immigration Act 2016 could lead to a £30,000 fine.
- Energy efficiency
- Ensure the property meets the Minimum Energy Efficiency Standards (MEES). Tenanted properties in the UK need an EPC rating of at least ‘E’ for new tenancies and renewals.
- Fair housing laws
- Abide by the Equality Act 2010, which prohibits discrimination based on protected characteristics, like race, sex, disability and more.
- Implement policies and practices that promote equal housing opportunities.
- Tenancy Deposit Protection
- Register the tenant’s deposit with a government-approved Tenancy Deposit Scheme within 30 days of receipt.
- Provide tenants with the prescribed information about the deposit protection scheme you are using.
- Tenant privacy and entry rights
- Respect tenants’ privacy by providing at least 24 hours’ written notice before entering the property for inspections, repairs or showings, unless it’s an emergency.
- Maintenance and repairs
- Address all maintenance requests promptly and carry out the necessary repairs, keeping the property in good condition.
- Establish a clear process for tenants to report issues and track their resolution.
- Eviction procedures
- Follow all legal eviction procedures, including giving tenants the proper eviction notice using Section 21 or Section 8 notices, and obtaining a court order if necessary.
- Avoid self-help evictions, like changing locks or shutting off utilities, which is illegal.
According to the NRLA’s Ben Beadle, 82% of landlords in the UK decide not to use an experienced property agent to manage their rental properties, therefore ensuring compliance. This is a staggering figure and while the reasons for not choosing an agent often involve cost and trust, it potentially opens up a big margin of error for landlords and tenants.
At Surrey Abodes, we offer landlords a full compliance audit of their rental properties in the Surrey area for an affordable £99 plus VAT. It’s a small price to pay to ensure your properties and their management are compliant. Get it wrong and it could cost you far more.
Staying informed and up-to-date
Laws and regulations can change. Landlords need to stay informed about updates that may affect their rental properties. Here are our tips to ensure ongoing rental property compliance:
- Regularly review legislation: set aside time regularly to review local and national housing laws. Subscribe to updates from relevant government agencies and industry associations.
- Attend workshops and seminars: participate in landlord training programmes and attend property-related seminars to stay up-to-date with best practices and legal requirements.
- Consult with property/legal professionals: work with qualified estate agents, property managers and compliance experts who can provide guidance, ensuring your landlord practices are current.
Making sure your rental properties are compliant with current legislation is not just a legal requirement, it’s a fundamental aspect of being a responsible landlord. Through regular property inspections, dealing promptly with any issues and keeping up-to-date with compliance regulations, you can provide a safe and enjoyable living environment for your tenants while protecting yourself from potential legal challenges. Remember, a compliant property is the cornerstone of a successful and sustainable rental business.
At Surrey Abodes, our professional, knowledgeable and experienced lettings team is always available to help you. Whether it’s assessing your property for the rental market or you need informative advice, get in touch with us at any time.
