Our day-to-day lives have changed dramatically since the arrival of the pandemic. We go out with masks and hand sanitiser at the ready, and millions of fellow UK citizens have been furloughed – the list goes on!
But just recently, our government has formulated and tweaked pieces of legislation to reassure landlords like yourself, your tenants, and also homebuyers, such as the new Stamp Duty Holiday and the extension to landlord eviction ban periods.
Let’s dive into the adapted world of property legislation. What new rules do you need to know about as a landlord?
Landlord eviction ban extension
The UK government has pushed the eviction ban period back for the third time to September 21st 2020.
Courts will then continue processing the “most egregious cases”, for example, tenancies involving anti-social behaviour with more severe cases being exempt from the ban altogether.
This news comes hand and hand with the six months notice period extension for tenants facing arrears and resulting in no tenants being evicted until after March 31st, 2021 as part of the government’s “winter truce”.
However, if your tenant has been in rent arrears for the last six months – you’re required to give only four weeks notice.
A restriction on evictions enforced by bailiffs has also been announced for UK areas facing local lockdowns which include the control of gatherings within homes.
New Coronavirus clause in home buying contracts
You may be looking into buying a house for the first time this year due to incentives like the Stamp Duty Holiday. But how can you be assured if COVID suddenly impacts a link in your buying chain?
The new coronavirus clause is inserted into a regular home-buying contract and acts as a protective bubble for all parties involved if COVID related situations arise. Such as when a party has to self isolate, your conveyancer faces business disruptions, or when inspections are not possible due to local lockdown restrictions.
Typically, if one party ceases to complete the sale by the agreed date, their counterparty can serve them a ‘notice to complete’. The notice shall grant ten working days to finalise the transaction.
But thanks to the new clause, buyers and sellers have leeway to agree to a more suitable ‘longstop date’ if the sale has been delayed, or either party can terminate the deal without incurring financial penalties.
One more thing to note is that if your ‘longstop date’ falls after March 31st 2021, you will be liable to stamp duty fees which are currently exempt when buying a home worth up to £500,000.
Would you like tailored advice about the recent legislation updates? Get in touch with our experienced agents at Oakland Estates on 0208 597 2626 or visit our contact page.
We specialise in landlord legislation advice and management services throughout East London. No matter the day or the hour – we’re here to support you throughout these unprecedented times.
For stamp duty exempt buy-to-let properties, check out our list of quality homes for sale.
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