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Getting Ready
for the new
letting season:
Legal Update
A talk for Accommodation for Students
By Tessa Shepperson
14 October 2021
About me
• Tessa Shepperson –solicitor
• Landlord & Tenant Specialist
• Runs Landlord Law online service
• Author and speaker
What we will be
talking about
today:
• Tenancy types, HMOs and
licensing
• RROs and recent case law
• Disorganised comings and
goings & deposit registration
• Notice periods
• Green Improvements
• Pets
• YOUR questions
• In most cases occupiers will have a
tenancy
• If you provide services as part of the
agreement (and actually provide them)
you may have a residential license
• Often confusion about this - in
particular in ‘rent to rent’ situations.
• See this video about possible ‘rent to
rent’ issues (and a link to our training).
• Most student lets where more than 2
occupiers will be an HMO
Student lets and occupation type
Tenancy Type & HMOs
• When renting to students sharing,
you can either rent
• To a group signing the same
tenancy agreement on a joint and
several basis or
• To individual tenants renting a
room in a shared house
• Both will almost certainly be HMOs.
• But the HMO status of the property is
not affected by this, or the type of
occupation (eg tenancy or license).
• Find out about the Landlord Law
tenancy agreements (& student let
agreements)
There are actually 4 types of
HMO
1. S254 of the Housing Act 1988 – 3 or
more occupiers in 2 or more
‘households’ (+ 3 or more storeys in
Wales)
2. S257 certain converted flats - if the
building does not comply with Bldg
regs 1991 & 1/3 or more flats on
short leases
3. Council Tax – as set out in set out
in Regulation 2 Council Tax (Liability
for Owners) Regulations 1992
4. Planning
Significance of HMOs
If your property is an HMO:
• You must comply with the HMO
Management Regulations
• You MAY also need to get a license
for your property from the Council.
• The rules vary from LA to LA so best
to ask (some have additional
licensing requirements)
• If you do not need a license, this
DOES NOT mean your property is not
an HMO or that the management
regs do not apply
Penalties for failing to license
• Prosecution or Penalty Charge
Notice – brought or served by Local
Authorities
• Rent Repayment Orders – can be
brought by tenants or LAs where the
rent is paid by benefit – standard
order is 12 months rent!
• Inability to serve a valid s21 notice
until the property has been
registered.
Some recent case law:
• Vadamalayan v Stewart and Others –
the starting point for calculating the
award is the full rent paid less utility
bills if included in the rent (blog post)
• Awan v. Hooley – order cannot be
made when tenants in arrears and bad
behavour taken into account
• Rakusen v. Jepson – in a rent to rent
situation, the head landlord cannot be
liable (case may be going to the
Supreme Court)
• See the blog post here.
The Importance of Training for HMO Landlords
Landlord Law resources:
• Free HMO 101 course
• Landlord Law articles and FAQ
• Video course featuring solicitor
David Smith (from 2019)
• HMO training day recordings
(from November 2020)
• Full details here
• More training planned for 2020
Disorganised comings
& goings
Sturgiss & Anor v Boddy & Ors [2021]
• In a shared property, if the original
occupiers have gone gone, an
occupier change will result in a
‘surrender and regrant’ of the
tenancy.
• Landlord deemed to accept this as he
accepts the rent
• The deposit is deemed to be repaid to
the landlord meaning it needs to be
protected.
>> Landlord Law Blog post
Notice Periods
• Notice periods are now back to
pre pandemic levels with effect
from 1 October 2021
• New forms now apply
• Government guidance– see here
• Long delays still likely
• Mediation – Court, PRS or TDS
• Landlord Law service
Green issues (1)
• Landlords currently need to have an
Energy Rating of E
• Expected to go up to C by 2030 at
the latest (could be earlier)
• BUT
• Gov tax rules encourage fossil fuel
solutions and
• EPCs encourage gas and discourage
other more energy efficient
solutions
Green issues (2)
Recommendations:
• Never buy properties at risk of flooding
and sell any that you have
• If possible do what you can to improve
insulation of properties
• So far as other solutions are concerned,
best to wait and see whether the gov sort
out the discrepancies in the tax and EPC
rules.
• Hopefully the government will rectify this
before the COP26 in November
• LA’s can offer grants (see our blog series)
Landlord Law Blog posts:
• Three legal and tax changes that would help landlords green their properties
• Why landlords need to worry NOW about energy efficiency
Pets
• No new laws but gov’t have amended
their model tenancy agreement
• LL can prohibit pets via the tenancy
agreement if it’s properly drafted
• Pet rents – increase in rent as a
condition of allowing pets, are legal
• MPs and tenants' groups pressing for
a change in the law to allow tenant
fees for pet deposits or pet insurance
• Landlord Law Pets Form
Landlord Law Blog Post: The law has NOT
been changed to allow tenants to keep pets.
• It would help us greatly to get your feedback on
our talk and on your experience and needs as a
student landlord.
• We have set up a ‘survey monkey’ – we would be
grateful if you could complete this for us
• On submission of the form, you will be re-directed
to a page with a 50% money off coupon for your
first Landlord Law membership payment (new
members only)
>> Click here for the survey form
Take our survey (and get a
50% discount for Landlord
Law membership)
Landlord Law
• Weekly bulletin (+ FREE eBook) – sign
up at landlordlaw.co.uk/bulletin
• Landlord Law Membership:
• Tenancy Agreements
• Articles, FAQ and Guides
• Members forum
• More …
• Find out more at landlordlaw.co.uk
• See also the Landlord Law Shop – for
more courses, kits and training
Any questions?

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Landlord Law updated

  • 1. Getting Ready for the new letting season: Legal Update A talk for Accommodation for Students By Tessa Shepperson 14 October 2021
  • 2. About me • Tessa Shepperson –solicitor • Landlord & Tenant Specialist • Runs Landlord Law online service • Author and speaker
  • 3. What we will be talking about today: • Tenancy types, HMOs and licensing • RROs and recent case law • Disorganised comings and goings & deposit registration • Notice periods • Green Improvements • Pets • YOUR questions
  • 4. • In most cases occupiers will have a tenancy • If you provide services as part of the agreement (and actually provide them) you may have a residential license • Often confusion about this - in particular in ‘rent to rent’ situations. • See this video about possible ‘rent to rent’ issues (and a link to our training). • Most student lets where more than 2 occupiers will be an HMO Student lets and occupation type
  • 5. Tenancy Type & HMOs • When renting to students sharing, you can either rent • To a group signing the same tenancy agreement on a joint and several basis or • To individual tenants renting a room in a shared house • Both will almost certainly be HMOs. • But the HMO status of the property is not affected by this, or the type of occupation (eg tenancy or license). • Find out about the Landlord Law tenancy agreements (& student let agreements)
  • 6. There are actually 4 types of HMO 1. S254 of the Housing Act 1988 – 3 or more occupiers in 2 or more ‘households’ (+ 3 or more storeys in Wales) 2. S257 certain converted flats - if the building does not comply with Bldg regs 1991 & 1/3 or more flats on short leases 3. Council Tax – as set out in set out in Regulation 2 Council Tax (Liability for Owners) Regulations 1992 4. Planning
  • 7. Significance of HMOs If your property is an HMO: • You must comply with the HMO Management Regulations • You MAY also need to get a license for your property from the Council. • The rules vary from LA to LA so best to ask (some have additional licensing requirements) • If you do not need a license, this DOES NOT mean your property is not an HMO or that the management regs do not apply
  • 8. Penalties for failing to license • Prosecution or Penalty Charge Notice – brought or served by Local Authorities • Rent Repayment Orders – can be brought by tenants or LAs where the rent is paid by benefit – standard order is 12 months rent! • Inability to serve a valid s21 notice until the property has been registered.
  • 9. Some recent case law: • Vadamalayan v Stewart and Others – the starting point for calculating the award is the full rent paid less utility bills if included in the rent (blog post) • Awan v. Hooley – order cannot be made when tenants in arrears and bad behavour taken into account • Rakusen v. Jepson – in a rent to rent situation, the head landlord cannot be liable (case may be going to the Supreme Court) • See the blog post here.
  • 10. The Importance of Training for HMO Landlords Landlord Law resources: • Free HMO 101 course • Landlord Law articles and FAQ • Video course featuring solicitor David Smith (from 2019) • HMO training day recordings (from November 2020) • Full details here • More training planned for 2020
  • 11. Disorganised comings & goings Sturgiss & Anor v Boddy & Ors [2021] • In a shared property, if the original occupiers have gone gone, an occupier change will result in a ‘surrender and regrant’ of the tenancy. • Landlord deemed to accept this as he accepts the rent • The deposit is deemed to be repaid to the landlord meaning it needs to be protected. >> Landlord Law Blog post
  • 12. Notice Periods • Notice periods are now back to pre pandemic levels with effect from 1 October 2021 • New forms now apply • Government guidance– see here • Long delays still likely • Mediation – Court, PRS or TDS • Landlord Law service
  • 13. Green issues (1) • Landlords currently need to have an Energy Rating of E • Expected to go up to C by 2030 at the latest (could be earlier) • BUT • Gov tax rules encourage fossil fuel solutions and • EPCs encourage gas and discourage other more energy efficient solutions
  • 14. Green issues (2) Recommendations: • Never buy properties at risk of flooding and sell any that you have • If possible do what you can to improve insulation of properties • So far as other solutions are concerned, best to wait and see whether the gov sort out the discrepancies in the tax and EPC rules. • Hopefully the government will rectify this before the COP26 in November • LA’s can offer grants (see our blog series) Landlord Law Blog posts: • Three legal and tax changes that would help landlords green their properties • Why landlords need to worry NOW about energy efficiency
  • 15. Pets • No new laws but gov’t have amended their model tenancy agreement • LL can prohibit pets via the tenancy agreement if it’s properly drafted • Pet rents – increase in rent as a condition of allowing pets, are legal • MPs and tenants' groups pressing for a change in the law to allow tenant fees for pet deposits or pet insurance • Landlord Law Pets Form Landlord Law Blog Post: The law has NOT been changed to allow tenants to keep pets.
  • 16. • It would help us greatly to get your feedback on our talk and on your experience and needs as a student landlord. • We have set up a ‘survey monkey’ – we would be grateful if you could complete this for us • On submission of the form, you will be re-directed to a page with a 50% money off coupon for your first Landlord Law membership payment (new members only) >> Click here for the survey form Take our survey (and get a 50% discount for Landlord Law membership)
  • 17. Landlord Law • Weekly bulletin (+ FREE eBook) – sign up at landlordlaw.co.uk/bulletin • Landlord Law Membership: • Tenancy Agreements • Articles, FAQ and Guides • Members forum • More … • Find out more at landlordlaw.co.uk • See also the Landlord Law Shop – for more courses, kits and training