All landlords now required to register under new licensing laws

Wednesday 20th May 2009

All private landlords could soonNew licensing laws have to register as a professional landlord before being allowed to let out their residential properties, the government has revealed.

Following a rise in private landlords over the last decade due to easy to access buy-to-let mortgages, the government hopes by introducing this registration scheme they can prevent the rental market becoming abused and put a stop to the exploitation of tenants.

How does it work?

Targeted at anyone choosing to rent out residential properties they will have to pay approximately £50 in order to register with the national body.

Those affected include:

Property developers
Buy-to-let investors
Accidental landlords

Once registered, these landlords will have to abide by certain rules and standards which if they fail to follow will result in them being struck off the list.

And the consequences of being struck off are very serious.

You could find your name being struck off the list for simply failing to carry out repairs on your tenants property. This would lead to all of your tenants being forced to move out of every property that you own and having to look elsewhere.

When will this be implemented?

These reforms have just been outlined in the Green paper – a document provided for the benefit of the government – but already this topic is creating heated debate amongst the National Landlords Association.

The biggest issue being small buy-to-let investors. Whilst filtering out ‘rogue’ landlords this system could also make it difficult for small property investors to keep investing.

At Property Mentor they can help.

If you are new to property investment and are just starting out, by working alongside the Property Mentor Finance Team, they can provide you with the support and networking skills you need to ensure your properties remain strong; that you understand all the standards set out by the government and more importantly help you to expand your property portfolio.

Interested in learning about how this new registration scheme could affect your property investments? Why not attend one of the 2 hour taster sessions to find out more.

Click here to book your free Property Mentor Taster Session


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