The 6 month Moratorium
At present, when landlords issue a new contract under an Assured Shorthold Tenancy, they must include a minimum 6 months fixed term. The Welsh government is looking to remove this requirement so landlords do not necessarily need to offer a fixed term, but could start a tenancy on a month-by-month basis.
Although most landlords would probably still issue fixed terms at the start of a tenancy, this barrier is being removed to encourage landlords to rent to vulnerable people that landlords may have previous considered too risky to guarantee a minimum 6 month contract.
Your Agent Comment
Our opinion is that most landlords will continue to offer fixed terms and that landlords do not want a high turnover of tenants.
We would strongly advise that normal business practice should be to issue a fixed term, as this guarantees income for the landlord over that period.
If you are a landlord who does not want to go through this onerous process then why not let YOUR AGENT be your agent? And let us take the hassle out of managing your property.
Although most landlords would probably still issue fixed terms at the start of a tenancy, this barrier is being removed to encourage landlords to rent to vulnerable people that landlords may have previous considered too risky to guarantee a minimum 6 month contract.
What this means for Landlords?
This means that if you so choose, you could rent on a month-by-month basis just like a statuary periodic contract now. This has lots of benefits, such as increased flexibility for those who want a contract shorter than 6 months and encouraging landlords to rent to people they may have previously considered too risky to give a 6 month contract.What Should I do?
The removal of the 6 month moratorium has caused lots of controversy both among Assembly Members and tenants groups. The fear is that this will lead to less security in the private rented sector and more people being evicted from PRS accommodation after just a few months. .Your Agent Comment
Our opinion is that most landlords will continue to offer fixed terms and that landlords do not want a high turnover of tenants.
We would strongly advise that normal business practice should be to issue a fixed term, as this guarantees income for the landlord over that period.
If you are a landlord who does not want to go through this onerous process then why not let YOUR AGENT be your agent? And let us take the hassle out of managing your property.
No comments:
Post a Comment