News at Supa Rent

Tennant deposit protection schemes seem to be proving popular with tenants. It gives tenants a sense of security thinking that their money is being held by a third party, instead of a landlord. In cases where there is a dispute over a bond, in most cases the case is settled in favour of the tenant.

Good news for tenants, bad news for landlords – which ultimately means bad news for tenants. Landlords are mostly looking to let properties to pay mortgages as investment. Paying out for repairs and re-decoration of properties not left in the same condition as when let, is leaving some landlords weary of who they allow into their homes.

In some cases, landlords are deciding to increase the bond, in order to find tenants they feel will be more suitable and look after the property better in the first place.

The tenancy deposit scheme seems like a good idea, but until it protects the landlords as well as the tenants, landlords are going to look for other ways to safeguard their homes, like changing the contracts. In the survey of over 1,000 tenants, only a small minority (9%) said that the legislation had made no difference at all. This 9% are probably the ones who have ended tenancies, and realised how long it actually takes to get money back from the deposit schemes, a lengthy and time consuming process.  

Vulnerable tenants are also being failed by new legislation from the benefits system. Instead of housing benefit being paid direct to the landlord or agents, it is now being paid direct to the tenant.........surely someone in charge thought this might not be the best idea, somewhere along the line, before it became practice!?  

This new system will not work – people who are on benefits struggle to live on the tiny amount of money allocated to them to live on each week. The temptation to ‘dip into’ the rent money will be too great for most. Landlords again will be left footing the bill as rent will go un-paid and more tenants will be getting served notice fro non payment of rent. Ultimately – the council will end up being left trying to re-home thousands, as private landlords start to refuse applications from anyone on benefits due to the ludicrous new system.

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