ARLA has once again appealed to the Government to exercise more control over both landlords and agents in the private rented sector.
It said in particular that unlicensed agents pose a ‘real threat’ to the sector.
ARLA’s own licensing scheme is voluntary, and applies only to its own members, while letting agents do not have to belong to an ombudsman scheme.
Ian Potter, operations manager for ARLA, said: “Many agents offer no consumer protection by means of Client Money Protection or fail to offer consumer redress through an ombudsman scheme. Both elements, when combined with a professional training and qualification programme, will allow tenants to enter this market with confidence.
“The threat posed by unlicensed agents grows more pressing as the market expands, placing both landlords and tenants at increased risk of financial loss.
“Until such time as the Government steps in to regulate, our advice to anyone looking to rent a property would be to use an ARLA-licensed lettings agent to ensure they are protected against unethical agents.
“It was only last week that an agent in the East Midlands was reported to have disappeared with client funds. This type of behaviour cannot and must not be tolerated.”
Potter also referred to the ‘Generation Rent’ report issued by Halifax this week. He said: “As Britain is apparently on the verge of becoming a ‘nation of renters’, renting is now a necessary choice for many people who cannot afford the deposit needed to buy their own home. Indeed, for some it is a more flexible option than buying.
“It is critical, therefore, that the private rented sector is treated with greater seriousness by the Government.
“The first step in this approach should be enforcement of existing requirements to protect tenants, with action being taken by local authorities to ensure a landlord provides a safe home.”
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Comments
Does ARLA not have a PR adviser?
They should call the Samaritans as they appear suicidal.
Its simple - explain the problems to the PUBLIC not on here - we know
Support the various scheme providers to show that the customer is at the forefront of their intentions -
Then sell the ARLA brand to industry by making themselves the best known and best value, (either £ or added value) by engaging members and actually doing something rather than cr4p press releases which achieve nothing other than to alienate others.
Whatever the Pro's & Con's of licensing, will they never learn! Any organisation that asks or wants a government to interfer in their market is asking for trouble. It's like turkeys voting for Xmas.
Nice one Mr P. Get rid of bent agents - aka We want more members. No mention of the other regulators - just self serving PR as usual. This is precisely why a single message has been missing for all the years I can remember.
All the various self proclaimed regulator are fighting it out instead of actually educating the public - ie. Customers.
I am miffed he is promoting LICENSED members - what about the rest of the ARLA members? The only good thing is that consumers wont know the difference.
All we need now (and I expect it) is for RICS to send out their own version telling people to use a RICS agent. Then perhaps NALS will follow - or maybe the Law Society.
Finally - these generic ground hog day releases always appear in industry press - but do the public ever see them? No.
Why? .... because they are poorly disguised adverts for recruiting new members.
Nothing more than an exercise to increase its membership and revenue, hidden behind a principle.
Would Mr Potter explain why, when his email is a facsimile of the SAFE agent initiative, he wont announce his support for it?
Seems to me that ARLA's membership is more important to them than consumer awareness.
Can he not see that membership of a redress scheme is utterly useless if an agent goes bust or does a runner?
Again, ARLA simply add to consumer confusion by brining TPOS into their release - surely its about CMP - nothing more. Its statements like this which have fractured the message to the public that there are more than one scheme and all offer peace of mind.
ARLA is to consumers what German beansprouts or Spanish cucumbers are to salads. i.e Left out
Is this for real?
ARLA tell the public to use an ARLA member - what about RICS, NAEA, NALS? They are just adding to the confusion landlords already face in not knowing who is a regulator and who isnt.
"Until such time as the Government steps in to regulate," FOR HEAVENS SAKE - they have already said that they wont! ARLA need to accept that and move on and not wheel out the same old strap-line of 'use an ARLA agent' - its not about YOU guys - its about the consumer and the image of the industry
" not covered by the ARLA redress schemes "
No one actually complains to ARLA in the real world. Anyone with a brain wouldn't write to club run by its members - they would write to TPOS who are credible and respected by the public.
ARLA are so out of touch. Genuinely, how many people actually ask if you are ARLA?
I am appalled that Ian Potter hasnt mentioned that there are other ways of getting CMP. Self serving as always.
Stonehenge - should you be drinking so early in the day?
What has TPOS got to do with it?
stonehenge
Er - I am a Director - I am part of TPOS - not a licensed member though as its as stupid an idea as NAEA licensing.
Search for an ARLA agent on their website. Underneath is some text:
It says:
"By using a licensed ARLA agents you are guaranteed:
-to be consulting with a qualified ( either by formal --qualification or by many years of professional body membership) and trained agent who can give you professional up to date advice and guidance
that you are dealing with an agent who voluntarily follows the Code of Conduct and Rules of Conduct laid down by their professional body
-that your agent has Professional Indemnity Insurance
that you have a route to redress should something go wrong."
NO MENTION OF CLIENT MONEY PROTECTION
RATHER ODD THAT - they are just jumping on the PR bandwagon
Because Dave mere ARLA members are not principals of Lettings Agencies and therefore not covered by the ARLA redress schemes or TPOS. Licensed agents MUST be.
Hang on. Did Potty Potter say.....
"our advice to anyone looking to rent a property would be to use an ARLA-licensed lettings agent to ensure they are protected against unethical agents."
What about the agents who AREN'T ARLA ' licensed' but are members of ARLA - thanks for that.
RICS will be well impressed - as will Mr Shapps.
Guys - This a HUGE PR gaff by ARLA.
Just days after 'safe agent' launches and get 100's of members plus support from loads of consumer groups - ARLA roll out same old press release dusted down and have a pop at Government and then unashamedly claim to the 'best' regulator which is a snub to RICS, NALS and Law Society.
PUT YOUR OWN HOUSE IN ORDER ARLA - you have had long enough. All they care about is getting members. They are ruled by committees and sub committees making decision at a rate a lame glacier would be embarrassed to meet.
I gave up on ARLA and NAEA years ago - joined NALS and recently SAFE agent because it simple and non political.
Instead of focussing on consumers, these ARLA fools 'Potter' around planning dinners at the Savoy whilst agents suffer.
Let them Eat cake?
My goodness, an educated man! Matthew 7:3 and there was me thinking that we are a bunch of morons or that is what the public keep telling me.
Occam's Razor is my response to you sir. And this is aimed at all toothless clubs not just ARLA and the ones I mentioned.
Welcome to the club!
For the avoidance of doubt, my comment was aimed at ARLA.
And why beholdest thou the mote that is in thy brother's eye, but considerest not the beam that is in thine own eye?
I took an agent to task over lies in the local rag and the ASA did zip. From what has been noted below ARLA and the NAEA fall into the same category of all wind and pi55.
I dont belong and have no desire to join any toothless club. When asked by clients am I a member I point out their shortcomings in not being able to do anything about unscrupulous agents.
ARLA.
Association for ripping off Lettings Agents.
What do they do apart from demand you pay for their training courses, charge fees for membership, promote thier own products etc... Then say because you are a member you are a safe bet to do business with.
Can they say with hand on heart that an ARLA member has never indulged in sharp or illegal practices, of course not.
What do ARLA do when a member turns rouge, apart from evict them and lose the subscription?
What protection do they offer tenants who are ripped off by rouge ARLA agents?
What protection do they offer agents & landlords who lose hundreds of thousands of pounds yearly in damages to property and unpaid arrears?
In fact can someone please tell me what ARLA does apart from setting up a 'club' charging membership, then telling people to only deal with members of that club.
If ARLA want to do something positive how about forcing councils to repay landlords the housing benefits paid to tenants , then stolen by those tenants. I have one tenant who has just told my landlord that he has taken his first 8 weeks rent to start a business, when the council was informed they said, 'it's not our policy to prosecute tenants for not paying the rent, as far as we are concerned when we give the tenant the rent we consider it paid'.
Maybe we should set up an association of independent agents which uses subscriptions to fight against these unfair polices which are weighted against landlords & agents, and puts the emphasis on the thousands of bad tenants. Instead of ARLAs mantra that all agents are rouges unless we pay ARLA subs.
Thats right ARLA is doing this out of self interest and increasing revenue by effectively slagging of all agents who wont pay them. Then they say they are acting in our interest
".....ARLA’s own licensing scheme is voluntary........",
Then ARLA should make it compulsory for membership!
AND promote ARLA "protection" to the public more widely by using membership subs for the benifit of the members instead of only promoting training courses, insurance, mortgages etc. to increase profit to increase wages, pensions and perks for the staff. .
Will they never learn! Any organisation that asks or wants a government to interfer in a market is asking for trouble. It's like turkeys voting for Xmas.
I agree with Vossy, ARLA Tells Ministers, that sounds about right.
Who controls Solicitors? The Law Society do but we still get bent Lawyers.
We have too many rules and regulations as it is, we need to be getting rid of some not adding to. Let the present law control the bad element.
Perhaps if these organisations did more 'positive' press releases and fewer statements that said that a lot of agents are crooks (which is what Mr Potter is effectively saying to the public, even if that is not what he means) the whole industry would benefit. A better opinion od agents in general would lead to increased professionalism and perhaps more ARLA members.
Unreal. The Government have categorically said they WONT regulate. So why the renewed appeal..... or perhaps SAFE Agent is getting to them?
ARLA would say that wouldnt they. They want every Agent to be part of their organisation so as to improve their bank balance and, once we are all members, they can use the threat of expulsion to ensure we buy this policy and that policy...just like the NAEA.
We live in a democracy and have laws which, if broken, the Police and Courts will deal with. There will always be one or two rogues in every industry however doesnt mean our industry is full of sharks and conmen, on the contrary most Agents I work with are professional and honest... There is enough legislation in place....I say leave well alone.