Eight new laws homeowners, landlords and renters need to know about in June 2021

There will be a number of changes that renters, homeowners and landlords need to know in June.

With the coronavirus restrictions easing and new laws in place, there will be a number of things that everyone, regardless of their location, needs to know about.

Some of these rules include ending the bailiff ban and banning land rents to protect lease owners from massive increases in new builds.

There will also be more rights for pet owners that pet owners want to know about.

Thanks to them Mirror, We have a number of changes in the series you may need to know, around the corner.

Here are just eight of them:

1. Basic rent prohibition

Basic rental fees for new buildings are to be banned to protect millions of tenants from dismal increases each year.

Under the proposed laws, which were confirmed in the Queen’s speech earlier this month, people on residential leases do not pay a basic rent other than a fixed amount of peppercorns that would protect them from escalating fees.

However, this only applies to new buyers of new buildings. This means that 4.5 million tenants in England and Wales are not protected by the change in the law.

Millions of households in England currently own their houses on a lease basis and pay the owner of the property an annual base rent

However, some new builds have clauses in their leases that allow rents to be increased by large amounts on a regular basis.

Worse still, owners can increase base rents without offering tenants any benefit.

These loopholes mean millions of people are being forced to pay staggering land rents and lease renewal costs, sometimes making them unable to sell their homes.

However, the new law prohibits the basic pension from rising above the peppercorn amount.

2. Covid bailiff to end ban

As of June, a ban on bailiffs using enforcement measures to evacuate tenants will be lifted.

The ban was introduced as an emergency measure during the coronavirus pandemic.

Among them, bailiffs have been asked not to evict if someone who lived on the property had Covid-19 symptoms or was self-isolating.

It ends on May 31st, which means landlords can use enforcement measures to remove renters.

3. More rights for pet owners

New rules introduced earlier this year mean landlords can no longer automatically prevent renters from having pets on their property.

The Department of Housing, Communities and Local Government announced new guidelines for common pets in February.

According to the new model rental agreement, landlords can no longer impose blanket bans on pets.

Instead, pet consent is the default position and landlords must object in writing and give a good reason within 28 days of a renter’s pet request in writing.

It hopes to stop landlords from banning pets across the board for no good reason.

You must also provide a valid reason, such as: B. the size of the property or problems in the area, e.g. B. a block of flats where owning a pet can be inconvenient.

However, landlords can still ask for a higher deposit for tenants with pets as long as they are within the upper limit of five weeks’ rent.

Research by Generation Rent in 2019 found renters are being charged up to £ 600 more rent per year for having pets.

4. Help with your purchase

For all participants in the Help-to-Buy program from 2013 to 2021, the applications were extended until May 31 due to the Covid outbreak and the delays in new buildings and the transmission of documents.

However, this extension ends on May 31st and Homes England has confirmed to The Mirror that it will not be extended any further.

That is, if you are still going through the requests of a sale, you will have to be exempted from the transaction by the developer or reapply the new scheme.

Under the new system, only first-time buyers can participate, while credit is capped at 1.5 times the average first-time home in the area – and not a national limit.

There are also changes to the mortgage rules and how much of a loan you can get.

5. Mandatory electrical checks for tenants

Thanks to new rules for dangerous houses, tenants now have stricter rights against illegal landlords.

New laws introduced a month ago mean that all existing rental properties in England are required by law to undergo an electrical safety inspection every five years.

The inspection, known as an EICR or electrical installation health report, highlights any urgent work needed to ensure the safety of the property.

Landlords who fail to comply or have necessary repairs carried out can face fines of up to £ 30,000.

6. Lifetime deposit

The government is discussing a new lifetime security deposit that would allow tenants to automatically transfer security deposits between landlords when they move to a new property.

The measures would allow tenants to “pass” deposits electronically rather than depositing a deposit on their next property while waiting for a refund from their former landlord.

The measures add to a new five-week cap on rental deposits that came into effect in 2019.

Ministers are considering what is known as the deposit passport to simplify the system for tenants.

During the Queen’s speech, Her Majesty confirmed that a tenant reform white paper was being drawn up to review the reforms for tenants – namely, a lifetime deposit that they can pull from apartment to apartment.

The proposed program is designed to ease pressure on millions of tenants who typically need up to five weeks of rent to fund a security deposit on a new rental home while the money is tied to an existing landlord.

According to the Deposit Protection Service, the average rental deposit in England and Wales is £ 1,040, while renters in London pay around £ 1,750 when moving properties.

A passport would allow a direct transfer of funds from the previous landlord to the new one on the day of the move.

The previous landlord could still use part of the deposit for any damage and the tenant could top up the deposit if necessary.

7. The notice period has been shortened to 4 months

The notice periods, which were previously extended to six months as an emergency measure during the pandemic, will be set at four months from June 1.

Subject to public health recommendations and progress on the roadmap, notice periods will return to pre-pandemic levels starting October 1.

The Department of Housing, Communities and Local Government said the new measures would give landlords access to justice as 45% of private landlords own only one property and are very vulnerable to arrears.

The courts will continue to prioritize the most serious cases, such as those with antisocial behavior.

Cllr David Renard, spokesman for the Local Government Association, said: “We recognize that the eviction ban, which provided an important security for tenants during the pandemic, cannot continue indefinitely.

“However, the councils remain concerned about the potential increase in homeless households and the pressures this will put on already overburdened homeless services.”

“It is important to have a plan in place to support and protect households so they can stay in their homes in as many cases as possible.”

8. New disguise fund – but not for everyone

A new £ 3.5 billion fund is on the way to replacing flammable cladding in England – more than three years after Grenfell.

Private homeowners in blocks over 18 meters (six stories) no longer have to pay for the replacement of the hazardous material after construction companies hit them with five-digit bills.

This doesn’t benefit everyone, however, as the fine print shows that support is excluding those in smaller chunks who are instead asked to pay up to £ 50 per month for “many years”.

Homeowners in blocks of four to six stories – or 11 to 18 meters – are not covered, the government said.

Instead, these groups are required to take out a £ 50 per month loan attached to the property, potentially making it difficult to sell.

The loans will be “long term” and “low interest” – no guidelines have been shared on how long these loans could last.

.

Leave a Comment