Buy-to-let landlords could be forced to offer longer tenancies
Government plans to be announced later today could see buy-to-let landlords being forced to offer long-term tenancies.
Communities secretary Eric Pickles plans to introduce a new set of rules which would give tenants the right to demand long-term rental agreements,The Times reports.
Branded a ‘tenants’ charter’, the government want to provide renters with greater security and drive down unfair charges and letting agency fees.
“The last thing we want to do is hurt hard-working tenants by increasing costs and strangling the sector with red tape,” Pickles is expected to tell the Conservative party conference.
“But families deserve stability for their children. Today’s proposals will raise the quality and choice of rental accommodation, root out the cowboys and rogue operators in the sector, and give tenants the confidence to request longer fixed-term family-friendly tenancies.”
At present the majority of tenancy agreements are between six and 12 months, with many buy-to-let lenders unwilling to lend to landlords who wish to let for longer periods. However, Nationwide eased its own criteria earlier this year by allowing buy-to-let landlords to sign three-year contracts with tenants.
Article courtesy of Mortgage Solutions