In this article, we explore what the Act means for issues such as keeping pets, tackling damp and mould, preventing discrimination, and managing rent-to-rent agreements and guarantors — helping landlords stay compliant and well-prepared for the changes ahead.
Information in this article is based on guidance from the National Residential Landlords Association (NRLA).
Will I have to accept pets?
Tenants will have the right to request a pet, including tenants in HMOs. As the landlord you cannot unreasonably refuse this request, however you would be able to refuse consent where there is a reason to do so, e.g. if a superior landlord prohibits pets.
Can I require pet insurance as cover for any damage?
Landlords cannot pass the cost of pet liability insurance onto tenants or require a higher deposit for accepting a pet.
The Act originally enabled landlords to require pet liability insurance as a condition for accepting a pet, but this was removed.
The Government has not yet set out when Awaab’s Law will apply to the PRS and further regulations are needed on the precise requirements that will apply. We will update members when these are published.
What we do know it that, under Awaab’s Law, landlords will have to address damp and mould issues in a timely manner and show that work is being done to deal with the issue. This means landlords will need to keep records on when the issue/issues are reported, when contractors are called, when work begins and any other relevant communications.
The Act makes it unlawful to discriminate against prospective tenants in receipt of benefits or those with children. You will not be able to deter these households from enquiring about a property, attending viewings, accessing information about the property or entering into a tenancy.
The exception to this is where you can demonstrate that discrimination is reasonable in the circumstances. For instance, if a room in a house in multiple occupation (HMO) is unsuitable for a family to live in.
Most rent-to-rent agreements are based on fixed term tenancies and stipulate that a property will be returned with vacant possession at the end of the agreement. However, the Act will abolish fixed term tenancies and Section 21, meaning vacant possession will not be guaranteed at the end of any rent-to-rent agreement.
Once in force, the Act will also extend rent repayment order liability to superior landlords. This means if a rent-to-rent operator commits an offence (including failing to obtain a licence for a licensable property or continuing to offer fixed term tenancies), a superior landlord will be able to be pursued for up to two years’ rent.
This will overrule the Supreme Court’s decision in Rakusen v Jepsen, which determined that a rent repayment order could only be made against an immediate landlord.
Yes, landlords will still be able to require a guarantor. However, should a tenant die during a tenancy, the guarantor will not be liable for any rent after they pass away.
The majority of the Act only applies to tenancies in England. However, the provisions affecting discrimination do apply to tenancies in Wales.
This means terms of the tenancy would need to be updated with a written statement, or statement of variation, provided to the tenant within 14 days of the legislation coming into force.
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