38% of landlords have never heard of this

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Recent research has revealed that 1 in 10 private landlords has no formal tenancy agreement in place with their tenants.

The research exposes that where contracts are in place, landlords may unwittingly be asking tenants to sign documents that are not legally compliant. Of the landlords who don’t use a letting agent, 58% used adapted tenancy agreements from either old agent contracts or other landlords (38%) or an updated template they found online (20%).

More shockingly, 38% of landlords in England have never heard of the Governments “How To Rent Guide” despite it being a legal requirement to provide this to the tenants prior to the tenancy starting.

Also concerning is that 9% of landlords have not informed their tenants that their deposit is held in a government-backed tenancy deposit protection scheme.

With the changes to the rules around Section 21 notices landlords will have to prove that they have provided the tenant the correct documents prior to the tenancy starting. Failure to do so could mean Section 21 notices are invalid.

Daniel Otton, Owner of Buttercross Estates in Newark, says “With the recent changes in legislation concerning setting up a tenancy agreement, we’ve recently launched a service for private landlords to have their property advertised and setup professionally for just £80.

This service is designed for self-managing landlords who don’t want to fall foul of the ever-changing legislation. It’s our goal to raise the standards of the private rented sector for the benefit of both landlords and tenants. Although more landlords are choosing to have their investments managed, there are still a number who choose to go it alone and they run a high risk of problems later down the line.”

For a free Tenancy Commencement Checklist, email us or visit www.buttercrossestates.com/landlords/