May 2021 - Newsletter
With the current UK housing market thriving, the tenant eviction ban ending imminently and that our Property Manager is commencing her maternity leave next week, we certainly have a lot to discuss in this edition of our newsletter. We are seeing a much more buoyant housing market as of late, with the success of the UK’s vaccination roll-out, we near a resolve on the current pandemic. This has installed a lot of confidence within our buyers and tenants, enticing them back into London with ‘normality’ being pledged soon. For Landlords, the Government recently announced that the tenant eviction ban will end, and notice periods will be eased back. We also wave goodbye to one of our Property Managers, Tatiana, who is expecting her first child shortly and will be commencing her maternity leave on Friday 21st May 2021.
Tenancy notice periods will be eased back:
In line with the phased easing of current restrictions, the Government have announced changes to the current notice periods. During the pandemic, section 21 notice periods were extended to 6 months as a protective measure for tenants, but as of 1st June 2021 these notice periods will be reduced to 4 months. Pre-pandemic, these notice periods were just 2 months for section 21’s, and the housing minister has hinted they won’t be returning to this duration until at least 1st October 2021.
The section 8 notice differs as it is specific to each situation, meaning these notice periods are dependent on the grounds of the breach of the contract. The notice periods for the most serious cases are as follows in a bid to protect landlords:
•             Ground 7 - Death of a Tenant (2 months’ notice)
•             Ground 7B - Breach of Immigration rules ‘Right to Rent’ (2 weeks’ notice)
•             Ground 8 - Over 4 months’ accumulated rent arrears (4 weeks’ notice)
•             Ground 14 - Anti-Social Behaviour (immediate to 4 weeks’ notice)
•             Ground 14A - Domestic Abuse in the social sector (2 to 4 weeks’ notice)
•             Ground 17 - False Statement (2 to 4 weeks’ notice)
If a tenant fails to pay their rent for four months or more, their notice period will be reduced to 2 months from 1st August 2021.
An end to the tenant eviction ban:
As a protective measure for tenants throughout the pandemic, evictions were suspended. However, it has been announced that this will now come to an end on 31st May 2021. Courts will prioritise the most serious cases, meaning those involving fraud and anti-social behaviour. Please note that a 14 days’ notice period is required before an eviction can occur, starting from 31st May 2021. This levitation of restrictions is to give landlords access to justice.
The current housing market conditions:
Here at JTM Homes were certainly experiencing a much more buoyant market, compared to this time last year. There is certainly an appetite for offering amongst buyers, meaning that stock is shifting, even those properties that have been on the market for a while. This is mirrored across London as a whole, with just 64 days being the average period to secure a buyer in the capital, compared to an average of 88 days this time last year. The post- covid economy certainly boosts prosperity and stability for the housing market as buyers and tenants are reassured that some sort of normality will be achieved promptly and therefore, they have a plethora of reasons to invest and reside in London again. This high demand for properties has seen an increase in house prices across the country, with prices increasing at the fastest rate in 5 years. Even though that this increase is marginal across the capital, it is still apparent with Rightmove stating that annual house prices in London are up 1.4% in Greater London.
Maternity Leave:
Our property manager, Tatiana, is expecting her first child and is due in mid-June. As a result, she will be commencing her maternity leave on Friday 21st May 2021. I am sure you will agree that this is an amazing milestone for Tatiana and that you will join us in sending our best wishes to her. We have welcomed a new member to our Property Management team, Letisha, and she has already settled in perfectly. I am sure that those of you who have already spoken with her, can agree that she will make an amazing new addition to our already dynamic team. So, we wish Tatiana all the best in her new chapter and we know that she will be the wonderful mother that she has always been destined to be, and we welcome Letisha with open arms.
As the current restrictions are lifting, we look forward to seeing you in person shortly. We are very excited to welcome you back into our office; we will have a hot drink waiting for you. Take care of yourselves and we will speak soon.