As of 1st April, 2019 anyone managing a property for someone else needs to belong to a recognised property redress scheme.
After our successful campaign over 3 or 4 years, in 2016 Portsmouth City Council finally agreed to stop sharing the names and addresses of HMO landlords. We had hoped that the introduction of GDPR last year would cement our right to privacy and control of our personal data but unfortunately, this has not been the case and PCC have reversed their position and are now sharing our details with all and sundry.
We know many of our members do not trust banks or financial institutions and attempt to fund their pensions by buying and letting property. This may make sense, but with increasing regulation and also, the high cost of maintaining property to a good standard and the significant overhead of either managing your tenants or paying someone else to do so, sometimes we wonder whether it is worth it.
To present a contrarian view, we publish an article originally published in the Financial Times by columnist and Money Week editor, Merryn Somerset Webb.
The government have been swayed by pressure from Shelter and others and have decided to stop landlords regaining possession of their property using Section 21 notices. What will replace it is unclear and there will be consultations before anything is finalised, but you can rest assured that the PDPLA will be articulating the impact upon its members of any of the proposed alternatives.
We received extensive coverage in The News when our Vice-Chair, Alwin Oliver focussed on the fact that currently, many mortgage lenders depend on the availability of the Section 21 when offering finance and one unexpected outcome could be that mortgage cover requirements could rise considerably, making funding much harder to acquire.
Have you ever used a Section 21 to get your property back? If you have, we'd like to know why as if the 'Shelter perspective' is inaccurate, we need to be able to show evidence of that. Read on for member comments and our press release explaining more of our concerns
The answer is obviously, no - tax is periphery and everyone pays it, so while you should take care to only pay what is due and not overpay, happy tenants, safe houses and stable finances are more important.
If only it were that easy though. Britain's 'tax code' which defines which taxes are due, runs to 17,000 pages - the longest in the world (the average bible is 1,200 pages, Lord of The Rings (all 3 books) is about the same). So in a way, it is not surprising the average landlord seems to spend far too much of their time trying to work out how much tax they need to pay. It also explains why there are 200,000 working accountants in this country - just think of all the useful things 200,000 people could do if they were not wasting their working lives worrying about other peoples taxes...
There follows a summary of current tax changes from the Federation of Small Businesses, a link to one of HMRC's webinars (which are well worth attending as the 'onscreen chat' gets you answers to specific questions far quicker than their telephone helpline) and a reminder of our forthcoming PDPLA tax education sessions running through May and June - do make sure you book your place.
The PDPLA has input to discussions by the APPG (All Party Parliamentary Group) who have been looking at the impact that poor housing has on health. We have long argued that HHSRS is not fit for purpose - allowing council officers across the country to 'appear to be doing something useful' whilst in reality, having little impact on health or safety.
We are hopeful that this APPG will come up with something better. Read on for an interesting graphic of their findings so far including details of the £2.5Bn cost to the NHS of poor housing and the £18Bn social and economic cost.
In the first of the current string of appeals against PCC licensing decisions to come before a Tribunal, PDPLA member Lucy Fryer has won her appeal against PCC"s judgement on what constitutes a small room.
The legal requirement for a bedroom in an HMO is that it be at least 6.51 sq m. That is small, but subject to layout and furnishings it can be quite acceptable and it avoids wasting the small bedroom that was added to many Portsmouth houses when they were built in the 1920"s and 30"s. They are popular, as landlords tend to offer them much more cheaply than larger rooms and when living with a group of friends, having a small room and low rent, but still having access to the rest of the house is often seen as a very desirable solution.
The room in question was larger than required, it had a sloping ceiling, two Velux windows and ensuite facilities. The Council wanted the latter removed. The Tribunal decided this "would be a waste of time, effort and money which would not serve any statutory purpose."
We have at least 7 more appeals coming up starting on the 8th May and will update on those in the next newsletter.
The tribunal made some interesting observations, read on for a summary of their key points.
The consultation on Portsmouth"s proposed Homelessness Strategy ended this week - there were some issues as the email address for responses does not exist, but hopefully all those who wished to participate found alternative contact details.
The PDPLA"s response is below.
You may have seen the articles in The News this month summarising the dismay (and often unfounded and ill-advised ranting) of those on the Portsmouth Planning committee as HMO"s have been allowed on appeal after the Planning Committee went against the advice of planning officers employed by the council and rejected applications for HMO developments that met all of Portsmouth"s very stringent local rules….
If you are a local landlord, we encourage you to attend some of the training courses we have scheduled this year - many of us became landlords as an investment but those of us who have been doing it for a while will have realised that you either outsource everything to an agent or you treat it as a profession and for that, you need training.
(And even if you outsource, you are still legally responsible for the actions of your agent - so if you are better educated, you can better judge whether the agent is doing what the law requires he/she do for you).
Written & oral information and advice from the Portsmouth & District Private Landlord's Association is given in good faith, but no responsibility whatsoever is accepted by the Association or it's officers for the accuracy of it's information & advice nor shall the Association be held responsible for the consequences of reliance upon such information.