National Landlords Association Richard Blanco NLA London - - PowerPoint PPT Presentation

www.landlords.org.uk

National Landlords Association Richard Blanco

NLA London Representative

London Borough of Islington Private Sector Rented Housing Communities Review Committee

www.landlords.org.uk

I n My Presentation…

• The NLA: who we are and what we do
• Changing landscape of the PRS in UK & London
• NLA’s vision for the PRS in London
• Current challenges facing landlords
• Working with local authorities
• Selective Licensing
• Rent Controls

www.landlords.org.uk

About The NLA

• 20,000 full members
• 100 local authority associate members
• UK wide network of representatives, six in London
• Head office in Albert Embankment
• Take part in numerous national and regional government

task forces - examples

• London Rental Standard
• Review of Tenancy Deposit Protection
• Welfare Reform & Green Deal

www.landlords.org.uk

NLA Aims

• Comprehensive range of services
• Policy, campaigning & press work
• Seek fair legislative & regulatory environment
• Ensure landlords are aware of rights and responsibilities

www.landlords.org.uk

NLA Services

• Support the whole letting cycle
• Examples - Tenant referencing, Insurance, Mortgages, Inventories,

Lease extension, Green Deal, Conveyancing.

• Recognised Suppliers
• Advice Line
• Landlord Development and Accreditation
• Bi-monthly UK Landlord
• National network of landlord meetings

www.landlords.org.uk

Changing Landscape Of PRS

• Growth
• Tenure of choice
• Changing demographic – more families, high spec HMOs
• Battle with media stereotypes
• Difficulties obtaining finance
• Collaboration with local authorities
• Increased regulation

www.landlords.org.uk

I n London...

• Shortage of supply
• Population increase by £1m in next 10 years
• Size of PRS is 26% expected to reach 35% by 2025?
• PRS used equally by all 5 income groups
• Rising rents & calls for rent controls
• Welfare Reform jeopardised role of PRS in benefit sector
• Selective Licensing & Article 4
• London Rental Standard

www.landlords.org.uk

Exploding The Myths

• 69% of tenants in PRS accommodation in London are

satisfied with their landlord

• Average tenancy lasts 2 to 3 years
• 67% of landlords had no rent rise in last 12 months
• NB Lack of regulation of letting agents

www.landlords.org.uk

NLA Vision For London

• To support landlords to provide excellent homes for

Londoners

• Positive and dignified relationship with tenants
• Enable landlords to maintain, improve and develop their

businesses

• To provide a high quality, flexible complement to social

and owner occupied sectors.

www.landlords.org.uk

Putting it into practice

• Light touch regulation of good compliant landlords
• Mutually supportive relationship with local authorities
• Collaborate with staff and landlord forums
• Providing advice through rep network
• Schemes such as grants for empty property renewal
• Accreditation
• Leasing schemes
• Proper enforcement of rogue & criminal sector
• Opposed to Selective Licensing & Article 4 Directions

www.landlords.org.uk

Challenges for Landlords

• Difficulties Obtaining Finance
• Rising house prices, reducing rental yields
• Arrears, homelessness policy, universal credit
• Empty Property Strategies
• Isolation
• Rogue tenants, scams and other crime
• Agents and maintenance
• Hostile attitudes, explaining the business to stakeholders

www.landlords.org.uk

Working with Local Authorities

• Crucial for creating a positive business environment
• Landlord Forum
• Grant & leasing schemes
• Evidence based approach
• Dangers of headline grabbing policy
• Promoting, encouraging & modelling good practice

www.landlords.org.uk

Selective Licensing

• Licensing is punitive approach to regulation which

alienates landlords

• All borough approach in Newham
• Over 40,000 PRS properties (37%), 31,000 applications so far
• Estimate 5,000 units in criminal/rogue sector
• Deters landlords from investing in the area
• Good landlords pay for enforcement against bad landlords
• Introduction of Article 4 Planning Directions
• Prevents shared housing

www.landlords.org.uk

Housing Profile I n I slington

• 29% Owner occupied
• 27% Council rented
• 26% Privately rented
• 15% Registered providers
• 3% Other
• Flexibility that PRS provides

www.landlords.org.uk

Calls For Rent Controls

• In 2012, rents up by 7.9%, House prices up by 6.8%
• Housing shortage – need to build more social housing
• Household formation outstrips demand by 3:1
• London population to rise by 1 million in next 10 years
• Global nature of London’s market
• We are running businesses and need to make

reasonable profit

• 67% of tenants had no rent rise in last 12 months

www.landlords.org.uk

Effect of Rent Controls

• PRS shrank to 8% in 1992 (now 18%)
• Deters institutional investors
• Will drive private landlords out of market
• Lack of social housing means PRS is vital
• Increase homelessness, temporary accommodation

www.landlords.org.uk

National Landlords Association Richard Blanco

NLA London Representative

richard.blanco@landlords.org.uk