Landlords have an obligation to their tenants to ensure that properties are safe to live in. Sadly, a small number don’t understand their responsibility or choose to ignore it. As a result, it can lead to councils having to take action. A rare case of this has happened recently in south London. We want to have a closer look at it today. Then, if you want services from a lettings agent in Merton, we have a great alternative for you that offers even more benefits.
Powers
The Housing Act 2004 actually gives local authorities the power to seize properties from landlords if they fail to provide adequate services to tenants. Surprisingly though, it is rare for it to happen. In most cases councils begin by giving warnings to the property owners, asking them to make improvements. Most do in a timely manner so the situation doesn’t get worse.
Some councils also have additional powers because of local licensing. This is true for Merton Council. They introduced a Selective Licensing Scheme last year, covering all private rental properties in four wards. So, all properties must have a license and owners have to ensure they are in good condition.
The decision
Merton Council recently chose to utilise their powers to seize 18 properties from a landlord. All of them are in Graveney, one of the wards that is part of the Selective Licensing Scheme. The decision is one every landlord and lettings agent in Merton should take a close look at. The Council said they will look to use the powers more in the future if they need to.
The local authority took action because the landlord had not responded to notices to improve the condition of properties. There had been numerous complaints from tenants. As a result, the council was able to build a case against the owner. The most damning thing is the landlord had not provided adequate services to tenants for over a year.
Ultimately, the Council chose to issue an order to take control of the properties. They did so in order to protect the tenants living in the homes.
What happens now?
The powers mean Merton Council appoint agents to manage the properties. They will be in place for 12 months. In that time, the agents will collect rent for the homes. This money will be used to do repairs. When all properties are up to the Council’s standard, remaining money will go to the landlord.
This situation really shows why landlords should be taking the best care of their assets. The council is now in control of the properties and money will go first to repairs. However, the owner will still be liable for any bills like mortgages. As a result, it could mean a really difficult period trying to cover bills without any income from the properties.
Do you need help from a lettings agent in Merton?
Finefair Ltd offers a fantastic range of services for landlords and investors. Our goal is to help them achieve stable, impressive income for their assets. We specialise in guaranteed rent, but can also help with other things like managing homes, reviewing portfolios, and finding new investment properties.
So, if you want help from a lettings agent in Merton, speak to us first to see how we can help. We have solutions that can offer more value and convenience.