<body><script type="text/javascript"> function setAttributeOnload(object, attribute, val) { if(window.addEventListener) { window.addEventListener("load", function(){ object[attribute] = val; }, false); } else { window.attachEvent('onload', function(){ object[attribute] = val; }); } } </script> <iframe src="http://www.blogger.com/navbar.g?targetBlogID=35268800&amp;blogName=LettingFocus&amp;publishMode=PUBLISH_MODE_FTP&amp;navbarType=BLUE&amp;layoutType=CLASSIC&amp;searchRoot=http%3A%2F%2Fblogsearch.google.com%2F&amp;blogLocale=en_GB&amp;homepageUrl=http%3A%2F%2Fwww.lettingfocus.com%2F" marginwidth="0" marginheight="0" scrolling="no" frameborder="0" height="30px" width="100%" id="navbar-iframe" allowtransparency="true" title="Blogger Navigation and Search"></iframe> <div></div>


Unbiased buy to let, property investment and letting coaching, mentoring, advice and seminars for landlords from top selling property author and media commentator.

Rugg Review Government Response by Lawrenson of Lettting Focus

In this bog I will look at the Government Resposne to the Rugg Review
But first, did you know that 90% of UK households are potentially eligible to access state aid to cover their housing costs?
I have to say that surprised me too when I read it in a piece of research from Knight Frank.
So, no longer do you need to be a key worker to get help. Knight Frank say that £60,000 of household income is now the accepted limit for eligibility for access to most shared ownership schemes and they add that there is talk of this limit being raised to £74,000 in London where Mayor Boris Johnson has “equated eligibility to cover everyone paying basic rate income tax.”

Front of Queue
Of course, just having a household income of £60K won’t cut you to the front of the queue for one of the many schemes.
A friend of mine who tried to find out more was told that most of the schemes were already fully “sold” out of cash within a very short time of getting the money in from the state.
Mmm, what a strange state of affairs it is when money for housing is rationed to those fastest off the mark for one or other of the subsidised or shared ownership housing schemes?
It all show that we really need a fresh debate and new thinking on housing.

Government Response to Rugg Review and Consultation
Talking of fresh thinking, if you ever have a few hours to spare you really ought to read the generally excellent and well observed Rugg Review into the Private Rented Sector.
For the most part it is full of good ideas and reasoned arguments.
Also, worth a read is the Government’s Response to the Rugg Report and Invitation to Consultation. Put "Government Response to Rugg Review" in your Search Engine.
Whilst I liked the Rugg Review, I did have a few issues with the Government’s Response to it.
In particular, the Government does not think that landlords have to “wait too long to get a possession hearing.”
Well that is a matter of debate.
What they don’t seem to understand is that once a landlord has an order in his favour, it does not end there.
If the tenant does not go by the end of the period in the possession order notice, then the landlord has to appoint a bailiff – and this all takes a long time.
In the experience of one of my clients (who by the way got his tenant from hell from one of the many fly by night letting agents), at least another 6 weeks can be added to the process.

Section 21 and Section 8
Also, they don’t understand that you can only use Section 21 (the so called accelerated possession procedure) when the fixed term in a tenancy agreement has ended.
If it hasn’t ended and is not is nearing the end soon, then you must use the Section 8 notice and normally you cannot even start proceedings until at least 2 months is overdue in rent.
This actually means that from the last time you received rent to having a bad tenant forcibly evicted by bailiffs can easily take 5 to 6 months. I’m sure most people - even the Government - would accept that this is an unreasonable period of time.

Government Fixation with "Build to Let" Won’t Die
Also, unless I have got this wrong, I recall that Dr Rugg recommended against the involvement of big institutions in “build to let” given that she found that small landlords did a pretty good job as it is on the whole. (All we need to do is weed out the rogue landlords – a thing we are all agreed on!)
So, given the good growth of private rented sector (from 8% of all housing stock in the late 80s to about 12% now) and the generally happy view that most tenants have of their experiences in it, why does the Government seem to be so determined to get the big institutions involved in the sector?
Is there something we should know? Is it just me, but I always smell a rat when a Government wants to give something to big business even when its own advisors have indicated it may not be such a bright idea.
There goes the gong for my dinner. Must go!

We are LettingFocus.com - the property experts and I’m David Lawrenson, the author of “Successful Property Letting” - the UK’s top selling property book for the last 3 years.
What’s unique about LettingFocus is that I offer independent unbiased
property seminars covering property investment and letting because unlike most people in the buy to let and property “advice” business I am not linked to a property company, developer, agent or bridging loan financier.
I can tell you where to buy (which areas), what type of property to buy, when to buy, how to buy property at a low price, how to make sure you get tenants who are going to pay the rent and how to manage a rental property to make money.
I can also comment on how to avoid getting a bad tenant.
I can answer most questions on letting property because I have been a landlord and property investor myself for over 25 years.

Find out about GREAT DEALS we have arranged for landlords by clicking here: Services for Landlords and seeing our Landlords’ Affiliate page. If you sell products to landlords and property investors and you have national coverage, get in touch!
For our NEXT SEMINAR AND NETWORKING EVENT for Landlords and Property Investors click here:
Next Seminar Event
For ONE TO ONE CONSULTANCY help click here: Private One to One Consulting
For TESTIMONIALS from past customers click here: Testimonials
To BUY THE BOOK click here: Buy the Book at Amazon
For THE HOME PAGE OF THIS BLOG click here: Blog
For THE HOME PAGE OF OUR MAIN SITE click here: LettingFocus Home Page
For GREAT OFFERS on Products and Services for Landlords, click here: Landlords Resources
To JOIN our Free QUARTERLY NEWSLETTER simply send an email to [email protected] - Please note we WILL NOT send spam or sell our mailing list to advertisers!
Copyright of Blog: David Lawrenson 2009.
This blog is updated roughly once a week usually on a Monday or Tuesday.
Over on the right hand side under all the previous blog entries you will see a button which says “Site Feed.” Simply copy the site feed link into your News Reader or News Aggregator.
If you have a website & are thinking of reproducing material here, that’s fine but we DO require a link to the blog to be included, including also all the links in this section. (The full article including all links must be available to ALL VIEWERS of your site and not restricted.)
To view posts on related topics select a “Category” at the bottom of this page.
To add a comment to this post, you just click on “link to this post” then simply add your comment.
To view past comments, again, you’ll need to click “link to this post” and view comments (which will appear at the bottom of the post.)

Labels: , , , , , ,