Generation Rent takes a swipe at both agents and tenancy deposit service
Tuesday, November 24, 2015
Controversial lobbying group Generation Rent has taken a swipe at letting agents.
It has also slated tenancy deposit protection service DPS.
In a new blog on its site, Generation Rent is repeating calls for longer tenancies.
But the blog says: “Achieving this is going to entail hacking through a thicket of special interests.
“Where it’s not the landlord replacing tenants every six months, it’s letting agents who want their annual renewal fee, or mortgage lenders demanding easy access to the property if the landlord does a runner.
“Even deposit protection schemes – government-licensed organisations which supposedly exist to protect tenants – are throwing up roadblocks to reform by spreading misinformation.
“Last week, the Deposit Protection Service (DPS), one of the three schemes, put out a press release claiming that private renters don’t want longer tenancies.
“Luckily it didn’t get picked up beyond the property press because it’s a load of rubbish.”
The DPS survey found that by far the most tenants wanted a tenancy duration of up to 12 months, on a rolling contract with two months notice.
But Generation Rent says in its blog: “This whole line of questioning is a red herring.
“It’s probably true that most renters want flexibility to move out when they want, but the whole point of the long-term tenancies that are being proposed is that tenants get both the knowledge that the landlord can’t turf them out with two months’ notice, and the flexibility to leave if their circumstances demand it.
“I bet this wasn’t communicated to the respondents, who might reasonably decline an inflexible 3-year tenancy if they’ve just moved into a new place with a landlord of whom they know nothing.
“A better question would have been about how easy it should be for landlords to kick their tenants out.”
The blog goes on: “It is, of course, in DPS’s interests to promote their fantasy about tenant desires when the company benefits directly from churn in the lettings market.
“Every time a tenant moves, that’s another fee they stand to pocket if they protect the new deposit.”
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