The eviction ban is extended… again
The ban on evictions seems to have no end.
The ban on evicting tenants has been extended until at least January 21, following the most recent lockdown. The ban was to end today.
Oli Sherlock, Goodlord Insurance Chief, and Rental Expert, said: “The government’s motives here are completely understandable, and it is vital that we continue to support renters during this latest phase of restrictions.”
“In fact, landlords and tenants, in general, have been working well together during the crisis to create payment plans and strategies that keep people in their homes.”
“However, we are concerned that a further extension of the ban without additional provisions for landlords and tenants is mounting even more problems for the future.”
He added: “For tenants, the accumulation of arrears cannot be ignored. These debts will eventually catch up with them, and the small proportion that does not proactively relate to their owners will eventually face sentences from county courts, which can have a long-term impact on their credit scores.”
“For the owners, many are reaching the limit. Scores of people are facing financial difficulties as a result of unpaid rent and ongoing mortgage costs. Some are faced with uncommunicative tenants who refuse to vacate properties even as leases come to an end. However, this is a minority of tenants.”
“Unless more support is provided to those struggling, we can expect large numbers of homeowners to withdraw their rentals from the housing market in the next year.”
“This will put pressure on a vital source of housing in a time of critical need. Decision-makers must begin to think about how tenants and landlords can recover from these challenges during and after evictions are suspended.”
It is necessary to end the ban on evictions.
The government legislated to prevent the courts from hearing cases of possession during the first national lockdown.
This lasted until September 20, 2020; although the cases were allowed to proceed to court, the bailiffs did not enforce them.
Franz Doerr, CEO of rental technology platform flatfair, said: “Around half a million tenants are in arrears, but the government is once again kicking its way as private tenants still face debt plus.”
“Unlike Scotland and Wales, England has not introduced a tenant loan scheme that provides distressed tenants with a means to cover their properties. It means mountains of debt continue to accumulate at the feet of landlords, which the government unfairly expects will continue to prop up the rental market.”
“Landlords are quickly getting fed up with the lack of support coming their way, which could ultimately lead to a departure from the buy-to-let sector. This would also be disastrous for tenants, as it depletes the number of most affordable rental properties on the market.”
“Instead of desperately needed additional government support, landlords and tenants must work together to find a solution. Ultimately, communication is key, and tenants who are concerned that they will soon find themselves in financial trouble should inform the landlord as soon as possible.”
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