I recently wrote for Property Industry Eye about the Renters’ Rights Bill and the uncertainty around when it would become law. That question has now been answered. It is no longer a Bill, it is an Act. The key word there is ACT, because we now have the timeframe and guides available for agents to start preparing.
At the recent National Residential Landlords Association conference in Liverpool, attended by around 900 delegates, one session in particular caught my attention. During his Ask Paul Shamplina Live Q&A with an audience of around 100 landlords, Paul asked, “How many of you have had problems with your letting agent?” Around three-quarters of the hands went up.
The question was a generalised straw poll, but it revealed a clear lack of trust between landlords and agents and, following further exploration, revealed a gap in knowledge on the part of property professionals at a time when the industry is facing enormous change.
This theme was echoed at the event on the Mersey, in a panel debate in the main auditorium. Both Paul and leading estate agent Nicola Thivessen used the opportunity to urge landlords to review their agents in light of the Renters’ Rights Act, encouraging them to check qualifications, competence and understanding of the new legislation, and reminding them not to be driven by price alone.
The Renters’ Rights Act is now through Parliament. We know what is coming: the end of Section 21, the move to periodic tenancies, the new Ombudsman for the private rented sector, the extension of the Decent Homes Standard, limits on rent bidding, greater protections against discrimination, and stronger tenant rights across the board.
This has been six years in the making. No one in our industry can say they were not warned. Yet, despite that long runway, it is apparent that far too many letting agents are still unprepared. A recent survey found that 46 per cent of agents are either only partially aware of the Act or not aware of it at all. That is astonishing. This is not a minor tweak to tenancy paperwork, it is a fundamental reset of how the rental market operates.
From where I sit, that lack of awareness is not just concerning, it is a red flag for the months ahead, because when landlords are confused or feel they are being treated unfairly, the problems land on my desk. Therefore, if agents are not up to speed, the number of complaints coming into redress schemes like ours will inevitably rise.
Some agents may have taken the view that the changes predominantly affect landlords rather than themselves, but that is shortsighted; letting agents are now the linchpin in making these reforms work. Landlords will be relying on their agents to interpret the new rules, guide them through the transition and keep their tenancies compliant. Those who get it wrong risk damaging not only their clients’ confidence but their own credibility.
Many agents will already be feeling the impact of fewer landlords in the market, and competition for instructions has never been higher. In that environment, knowledge and professionalism become a genuine differentiator, and potentially even an opportunity. This is a chance for agents to stand out by showing competence and leadership, but if agents do not fully understand the reforms, how can they expect their landlords to? More to the point, it will be uncomfortable and potentially damaging if a landlord arrives armed with questions about the Act and the agent is unable to answer them. This is a moment where knowledge is not only power, it is credibility.
Now, I don’t wish to repeat myself, but in terms of what to do next, I really cannot stress this enough at this point in time. Educate yourselves and your teams. If you have not already done so, read the details of the Renters’ Rights Act. The government has produced a series of guides to the Act, with more to follow. There are also guides produced by experienced experts in the sector to help. Use them as a study aid, think of it like revising for an exam. Have your key notes to hand and keep referring back to them.
Secondly, regulation of the sector is not here yet but it is coming, so invest now in proper training and qualifications. Make sure you hold membership or accreditation with one of the recognised bodies, Propertymark, UKALA, Safeagent or Guild of Letting and Management. Technical competency is not a luxury, it will bea basic requirement for the new world we are entering.Remember, however, it will take some time, effort and investment to get you and your staff through the process and the preparation time will not be long. You will be running to catch up, even if you start now.
Most importantly, aim to build trust. This reform will be as much about relationships as it is about regulation. Landlords are nervous. Many are tired of change and worried about how they will manage without Section 21. Agents who can reassure them and explain the new rules clearly, offering practical solutions, are more likely to keep their clients. Those who brush off questions or cut corners will lose them.
Finally, price will not win this race. Competing on the lowest fee might look attractive, but if you short-change your landlords or your own business on service quality, the cost will be far greater later. Invest in training, education and systems now. The landlords who stay will be the ones who trust you.
Agents also have a duty to steer their landlords towards reliable information and products. Make them aware of the protections and services available, and recommend what genuinely suits their needs, not what pays the highest commission. A well-informed landlord is far less likely to panic or blame you when things go wrong. However, stay compliant and protect yourselves, you know the law on redress, client money and fees but also make sure you have right and robust indemnity insurance in place.
My final message is that you are not on your own. Help and guidance is out there in abundance; it is your choice whether you look at it or not. Our HF Assist helpline is also there to support agents with any questions you might have. If you are unsure about any aspect of the new rules, use it. The worst mistake you can make in this environment is to guess.
The Renters’ Rights Act will test this industry’s professionalism. The agents who know the law “like the back of their hand” will be the ones who succeed. The ones who wait for the final guidance before acting will find themselves on the back foot when their clients start asking questions.
For six years, we have talked about this reform as something that might happen “one day.” Well, that day has come; agents get Renters’ Rights ready now. As the famous poem The Ambulance Down in the Valley by Joseph Malins puts it succinctly, “To rescue the fallen is good, but ’tis best. To prevent other people from falling.” So it is better to build a fence at the top of the cliff to prevent accidents than have an ambulance at the bottom!
The countdown without a clock – preparing for Renters’ Rights Bill
Read the orginal article: https://propertyindustryeye.com/its-no-longer-a-bill-to-talk-about-its-an-act-to-act-on/?utm_source=rss&utm_medium=rss&utm_campaign=its-no-longer-a-bill-to-talk-about-its-an-act-to-act-on
