More than eight in ten (84%) of landlords are unprepared for Renters’ Rights Act compliance, even though it comes into force in less than a fortnight.
Nearly 400 landlords who took Togal’s Compliance Scorecard in the first 10 days of its launch on 9 April scored an average of 38%. 84% fell into the at-risk or high-risk tiers, while only 16% scored as mostly compliant. 58% fell into a high-risk category, scoring less than 40%.
The free online self-assessment tool scores landlords on their readiness across five key areas of the new legislation. These include assessing communication records to understand how landlords are documenting conversations with tenants; safety compliance to check safety certificates are current and have been issued; tenancy documentation to cover the provision of the Information Sheet and a record of documents such as deposit protection and prescribed information; the tracking and processes for repair and maintenance, and business readiness for potential tenant disputes.
The research suggested that in many areas, a lack of evidence and documentation was letting landlords down the most.
“Most landlords are doing many things right,” said James Ashford, spokesperson for Togal.
“But the Renters’ Rights Act changes the burden of proof. It is no longer enough to say you sent a document or fixed a repair. You need to be able to demonstrate it with a clear, time-stamped trail.”
An alarming conclusion
Ashford warned that the poor readiness for compliance is even more alarming when you consider that those filling out the scorecard were self-selecting, engaged landlords who actively sought out a compliance check and so are more informed than the average landlord.
Ashford suggested that means opportunities for letting agents to help.
“Letting agents are in a unique position right now. Their landlords trust them to stay ahead of regulatory changes – but our data shows most landlords haven’t assessed their own compliance, even the engaged ones. Agents who can identify those gaps and offer practical solutions before 1 May will strengthen client relationships and differentiate their service.”
