Landlords have to register with compulsory redress scheme

Landlords will have to register with a compulsory redress scheme under new rules announced at the Conservative Party Conference.

While exact details are not yet clear, we can expect further information in the November Budget as the Government aims to raise standards in the private rented sector.

The announcement from Communities Secretary Sajid Javid came alongside proposed measures to create incentives for the availability of longer tenancies, while industry commentators believe the new redress scheme would make it easier to raise and resolve tenant disputes.

What about existing redress schemes for private landlords and letting agents?

Currently, there are no legally binding redress schemes for private landlords although some voluntary schemes do exist.

Meanwhile, letting agents are required by law to sign up to one of three Government-approved redress schemes: The Property Ombudsman; The Property Redress Scheme and Ombudsman Services Property.

At Redrose, we work with The Property Ombudsman. This means that in the (rare) event of a dispute, our tenants and landlords can access free, impartial advice.

We’ve been happy to do so, too. A redress scheme means tenants and landlords can complain to an independent person if they are not happy with their service.

While the vast majority of letting agents are ethical and responsible, there are a minority who fail to meet the high standards we should all aspire to. The redress scheme requirement was introduced to weed out bad agents. As such, we see it as a welcome initiative.

Next steps for private landlords

These new regulations for private landlords will not come into force just yet. However, it certainly pays to prepare for the anticipated changes. The buy-to-let sector has faced huge changes over the past 12 months and is becoming subject to increasing regulations.

Choosing to let through a reputable letting agent with years of experience helping landlords make the most of their property investment and keep on the right side of the regulatory framework, could ease the burden of managing these competing demands. Plus, a letting agent who abides by the spirit of the law and not just the letter of the law is always going to work in your best interests.

If you’re looking for a letting agent you can trust to handle your rental property so you don’t have to worry, get in touch with our team.


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