The Tenant Fees Act 2019 Is Coming – Are You Aware of the Changes?
It’s only a matter of days until the Tenant Fees Act 2019 kicks in and this will bring an end to upfront fees being charged by landlords and agents to their tenants. It will also limit the levels of security and holding deposits – with most security deposits capped at five weeks’ rent and holding deposits at one week’s rent.
The bill commences from 1 June 2019 and applies to England only, however similar legislation is being introduced in Wales.
The Act of Parliament behind this – like any legal document of this kind – is not the easiest of reads and some of the language in this can be complex/bewildering at times. Thankfully the government has also produced a helpful guidance document, written in plain English, that explains the impact of the Act which is available to view here.
The NLA has also launched a comprehensive guide which contains all the information that landlords need to know about the upcoming legislation. You can find the guide here.
This is one of the biggest modifications in the lettings industry for quite some time. With research finding that this Act is likely to cost landlords somewhere in the region of £83 million in the first year alone, it’s vital that all landlords are fully aware of these imminent changes and the impact this may have on their costs.
And if you remain in any doubt, seek professional advice.