Rising Panic Reported Among Student Landlords
The NRLA has backed the growing number of student landlords ‘panicked’ by the Government’s plans to bring in periodic or ‘open ended’ tenancies across the private rental sector.
Concern is widespread within the student community, new research reveals, with 84% saying they are worried about about the Government’s plans.
While Ministers claim that blanket periodic tenancies will deliver greater certainty for both landlords and tenants in the general private rented sector, the NRLA says this will cause ‘widespread uncertainty’ for students as to whether housing will be available at the start of each academic year.
The looming Renters Reform Bill, which is due to be introduced in parliament in the New Year, will mean all housing, except purpose-built student blocks, will be subject to open-ended tenancies.
Landlords of traditional student properties therefore will be unable to offer guaranteed tenancies for the start of each academic year unless sitting tenants have handed in their notice to leave.
Students looking for housing will be unable to plan where they want to live and with whom they want to live, the NRLA says.
Exemption
The Government has made it clear that private purpose-built student accommodation will be exempt from plans to make every tenancy open ended, but the NRLA has told Ministers at a recent meeting that this must include the whole market.
The trade association has proposed that student landlords should be able to repossess a property with two months’ notice where it is required for new students each year. To provide protections, the earliest such notice could be served to sitting tenants would be in the last two months of a tenancy agreement, or at the 10th month of a 12-month fixed term.
“The student housing market works unlike any other, operating from one academic year to the next,” says Ben Beadle, Chief Executive of the NRLA.
“It is common sense that landlords should have certainty that accommodation can be made available for new students each year, as has already been reflected for the Purpose-Built Student Accommodation sector.
“Without changes the Government risk causing chaos, confusion and anxiety for students unable to plan where they live for the start of each academic year.”
In June this year LandlordZONE interviewed four leading student landlords over their attempts to persuade the Government that its period tenancy plans are misguided.
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