Major property owner says Act will “weed out bad landlords”
Rick Gannon tells the BBC he supports the Renters' Rights Act as it will make renting fairer for tenants.
A property owner with a portfolio worth £10million has backed the Renters’ Rights Act, saying it will “weed out bad landlords”.
Rick Gannon (pictured), who owns 70 properties, believes the new laws will make things fairer for tenants.
It’s the biggest change we’ve seen in this industry for many, many years and I think most of it is for the better.
“I think it’s the biggest change we’ve seen in this industry for many, many years and I think most of it is for the better,” he told BBC News.
Most property owners have kicked back against measures in the Act such as the abolition of Section 21 ‘no fault’ evictions and fixed-term tenancies.
Indeed, other landlords quoted in the same BBC article bemoaned the effects of the Act, making it more difficult for them to remove problem tenants.
Unpaid rent
One landlord featured is grappling with a situation where the tenant owes £15,000 in unpaid rent and is refusing to leave the property.
At the same time, another landlord described how tenants caused £8,000 worth of damage to his properties.
There are reports of huge numbers of landlords planning to exit the PRS directly because of the Act.
Strict criteria
And the exodus could amount to a quarter of all landlords, according to research by LegalForLandlords.
Nearly half – at 43% – said their biggest area of concern was the abolition of Section 21 ‘no fault’ evictions.
The research also revealed 60% of those landlords who plan to keep going, want to implement much stricter criteria when vetting tenants.
Greater scrutiny
They are now less likely to let to ‘high risk’ tenants, such as those who are on lower income, or have a limited rental history.
Income and affordability checks are set to face greater scrutiny, with more than half of landlords saying they will require rent guarantors.
