Is the Glasgow AirBnb market being deflated?

Glasgow City Council recently banned a landlord from renting out a flat as a short term let on Airbnb.   

This follows new regulations introduced by Glasgow Council in March 2017 that bans landlords renting out an entire flat for short-term lets, including Airbnb, in a property with a communal entrance. An individual room can still be rented out if the owner remains living in the property or if the property has its own entrance.

The recent ban followed complaints from other residents of the building who were unhappy about the constant stream of visitors entering the building. The council upheld their complaint and issued an enforcement notice banning the landlord from renting out the property. The ban was then upheld following the landlord’s unsuccessful appeal against the Council in a recent court ruling.

If you want advice on letting out your property on a longer term basis, we would be happy to advise.

For details of the full story see:

https://www.eveningtimes.co.uk/news/17315246.airnbnb-glasgow-city-council-bans-estate-agent-from-running-holiday-let/

Will your rental property meet the new energy efficiency standards by 1st April 2020?

If you rent out a residential property in Scotland, you will need to comply with the Scottish Government's new energy efficiency standards based on the EPC (Energy Performance Certificate) rating of the property.

From 1 April 2020, any new tenancy will require the property to have an EPC of at least band E. By 31 March 2022, all properties will need to have at least an EPC band E.

From 1 April 2022, any new tenancy will require the property to have an EPC of at least band D.

By 31 March 2025, all properties will need to have at least EPC band D.

What do you need to do?

With just over 12 months to go until the new standards take effect, you should review your current EPC. If it is band D or higher, you do not need to take any further action.

If you are band E or lower, then you should plan the steps you need to undertake to improve the energy efficiency of the property and the timeframe for doing it.

We would advise landlords that if you are planning improvements to your rental property you consider the likely energy efficiency benefit.  So if you need to replace an old boiler, install double glazing or improve insulation, these should all help you achieve an improved EPC rating. If your property has an EPC rating of E or lower, we can help advise you on how to improve the efficiency. 

If you would like further information or discuss how we can help you, please get in touch.

Is your Letting Agent Registered?

We are pleased to announce that Douglas Dickson Property Management are among the first Letting Agents to have their Letting Agent Registration application approved by the Scottish Government.

Under the newly introduced Letting Agent Code of Conduct, from January 2018 all Letting Agents in Scotland must comply with the code and be approved by the Scottish Government.

The registration opened on 31^st January 2018 and we are pleased to say, we have had our application approved.

At Douglas Dickson, we are fully compliant with the regulations that include:

·         meeting a minimum level of training for key managers. We are qualified through the Chartered Institute of Housing;

·         having Client Money and professional indemnity Insurance; and

·         our letting agent registration number with the Scottish Government is LARN1806015.

If you rent out a flat or house on behalf of a relative, close family member or friend in Scotland you too may need to register as a letting agent. 

If you do not and you manage the tenancy yourself, you could be committing a criminal offence. If convicted you could face a fine of up to £50,000, up to 6 month imprisonment or both.

All those who carry out ‘letting agency work’ will be governed by the new rules. This includes acting on behalf of a landlord entering into a tenancy agreement with a tenant, collecting rent or carrying out repairs. If you manage a property for a family member or friend you will likely come under the regulations.

If you are concerned you may be caught out by the new regulations or would like to discuss how we can help you manage your property, please contact Neil Livingstone on 0141 221 1827.

Will your rental property meet the proposed minimum Energy efficiency standard?

The Scottish Government is proposing to bring in a minimum energy efficiency standard for the Scottish private rented sector.  For 10 years now, all rental properties are required to have an Energy Performance Certificate (EPC) before they can be advertised.

The Scottish Government has released a consultation document aiming for all rental properties to have an EPC rating of C by 2030 where this is technically feasible and cost effective.
The government is planning to legislate in 2019 to introduce a minimum standard in the PRS. The proposal will require properties to have at least an EPC rating of E at a change of tenancy from 1 April 2020 and in all properties by 31 March 2022; and to have an EPC rating of D at a change of tenancy from 1 April 2022 and in all properties by 31 March 2025. 

While costs to achieve the standards will vary across dwellings depending on their built form, fuel type, and current levels of heating system efficiency and insulation, the government estimates that the median cost in the private sector will be in the region of £3,500, which means that half of all properties can be upgraded at a cost of £3,500 or less.

What should you do?

We would advise landlords that if you are planning improvements to your rental property you consider the likely energy efficiency benefit.  So if you need to replace an old boiler, install double glazing or improve insulation, these should all help you achieve an improved EPC rating. If your property has an EPC rating of E or lower, we can help advise you on how to improve the efficiency.

The consultation can be found at:  https://consult.gov.scot/better-homes-division/energy-efficient-scotland.  The deadline for responding is 27July 2018.

If you would like further information or discuss how we can help you, please get in touch.