Tuesday, 19 January 2016

Right to Rent Checks explained

Life as a landlord can be complex. The lettings sector is fast-paced, with legislative changes continually being rolled out and enforced.

The latest in a long line of measures to be introduced is the Right to Rent scheme.

Here at Balgores Property Group, we’ve put together a handy series of questions and answers on the topic to ensure that all landlords remain up-to-speed on this latest legislative change…

What is Right to Rent?

In the UK, only those with the permission or right to be in the UK have the legal right to rent property, and those who don't consequently are not allowed.#

It was announced by Home Office ministers last year that it is to become compulsory for all landlords to check prospective tenants' documents to ensure that they have a right to rent property legally, known as the Right to Rent scheme.

What does a Right to Rent check entail?

Your Right to Rent check should begin by checking which adults will be living at the property as their main or only home, before requesting to see original documents that permit the tenant to legally live in the UK.

While the tenant is present, you must check the documents are genuine, which can be done by looking at the photograph, or ensuring that the date of birth matches up across all documents.

You must then make and retain a copy of the documents, taking note of the date that the check was completed.

What is the reason behind this new legislation?

The Right to Rent scheme was first introduced as a pilot scheme in parts of the West Midlands in December 2014, and this extension across England is the next phase in its nationwide roll-out.

It was initially developed as part of wider reforms to the immigration system to make it fairer and more effective. James Brokenshire, Immigration Minister, says that the scheme “is about deterring those without the right to live, work and study in the UK from staying here indefinitely.”

When does it come into play?

The Right to Rent scheme officially comes into play on February 1st, so landlords only have a couple of weeks to ensure that they have implemented the new system into their pre-tenancy process.

That said, the Home Office recently encouraged landlords to begin the checks now as they can be carried out up to 28 days before the start of a tenancy – so anyone being checked in January would qualify.

What happens if you fail to comply?

If you fail to complete the checks and it is discovered by the Home Office that you are letting property to an illegal migrant, then you may be liable for a civil penalty up to the value of £3,000.

The amount you will be required to pay will be dependent on whether it is your first offence and whether you are letting to a lodger or letting private accommodation.

Whose responsibility is it to carry out the checks?

The responsibility falls to the landlord to carry out the necessary checks and obtain all documentation from tenants.

However, some landlords may instead choose to enlist the help of a well-respected and trustworthy letting agent such as Balgores Property Group.

If this is the case and you require an agent to carry out the checks, then a written agreement must be drawn up, transferring all responsibility across.

Who's immigration status am I required to check?

When completing the Right to Rent checks, it’s crucial you check every tenant over the age of 18. However, as a landlord, it is also advisable to keep an eye on those approaching the age of 18 to ensure that they are checked when they come of age.

If you require assistance in carrying out the necessary checks, then why not get in touch with Essex and Kent based estate and letting agent Balgores Property Group?

If you need further advice on becoming a landlord, then we also offer a free landlord guide.


What's more, you can take advantage of our free online property rental valuation tool to discover how much rent you could earn in the current local market. 

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