Running any business can be tricky and when it involves renting out property for people to live in there are lots of things to take into consideration.
Of course a landlord will expect to make a profit on their investment but the vast majority will want to do it in a fair and equitable way. Treating tenants properly not only helps establish stability when it comes to incomes, it’s also going to take on a whole new dimension when the Renters’ Rights Bill comes into effect soon.
So just as some supermarkets highlight animal welfare and other businesses promote sustainability and fair trade, how can a landlord run their rental portfolio in a truly ethical way?
The Law
The first and probably most important thing for any landlord to do is to make sure they are fully compliant will all the laws, rules and regulations governing the rental sector.
It sounds simple but many DIY landlords will find to their cost that it is far from that! The cost may just be in time spent, but in the worse cases can lead to significant financial penalties and fines if you don’t know exactly what needs to be done.
Things are about to become far more complicated too – under the new Renters’ Rights laws, all tenancies will be periodic meaning an end to fixed-terms. So-called ‘no fault’ Section 21 evictions will be entirely abolished and rent increases will be restricted to once a year.
All of these things will impact the way in which even the most ethical landlord runs their business, because as usual more paperwork and red tape will be there to be dealt with.
Right to rent
An ethical approach to business will of course already involve a non-discriminatory policy. However, the ‘right to rent’ laws mean that a potential tenant has to prove with appropriate documentation that they do indeed have a legal right to reside in the UK.
The process is really quite straightforward, but is another example of something that a landlord may prefer to delegate to an experienced lettings management agency.
Likewise, the new laws on the horizon will also affect the way that ‘friends and family’ tenants are treated, with strict documentation needed to clarify the situation.
It’s a perfect example of the way that the responsibilities of an ethical landlord are always twisting and turning in the legal framework, often making it difficult to keep up with.
Trust
Membership of industry organisations and regulatory bodies is another way to show that a business is run along ethical principles. We take pride in being a licensed member of the Association of Residential Letting Agents (ARLA). We think this gives both tenants and landlords peace of mind to know that they are dealing with a regulated agent.
We are also a member of the Property Redress Scheme (PRS) and subscribe to their code of practice for Letting Agents. Working with integrity and care is important to us and if you share our values it lets you know that we will always work in tandem with you.
Another way we approach this is by having long-standing relationships with local contractors based on trust. They have worked with us on the properties we manage for our clients for many years.
If you are a landlord in Taunton and the surrounding villages and would like to work with a lettings management service that shares your values, we’ve built up a reputation of giving outstanding customer satisfaction.
If you’d like to know more about how we work, call Jane or Nick on 01823 257 400, email info@townsend-property.co.uk or pop into the office at 16 Bridge Street, Taunton TA1 1UB 9am to 5pm Monday to Friday.
