Latest news with #rentals
Telegraph
17-06-2025
- Business
- Telegraph
Labour's latest EPC idea would be laughable if it weren't so pernicious
I've said it before and I'll say it again: sometimes I feel I live in an alternative reality. I don't know how this escaped me, given how up to speed I am with all things EPC (I always need some good bedtime reading), but I can only think after my last painful and expensive experience where I tried to achieve a grade 'C' and failed, I switched off. It's the only explanation I can find for how I missed the latest shenanigans when it comes to the EPC proposals for 2030 – they apply to all 'rentals'. We're not just talking about private rentals now. Nope, these plans are so much wider reaching and damaging than I had ever realised, because the proposal is to also include all holiday lets, temporary accommodation such as immigrant housing and social housing. Now, you may not know this, but holiday letting and social housing currently do not have to comply with any EPC regulation, so have been spared the burden while the private sector has had to carry it. Anyway, the good news is that all of these rental sectors are apparently going to be measured by the same metric as the private sector. It's a surprise move given the level of outright discrimination landlords have had to suffer, but I can only surmise Labour wants to spread misery to every corner of the housing market for full impact. It's also the only reason I can think of – apart from money making – for the fines increasing to £30,000 for non-compliance. However, while I welcome the equality, I have no idea if Angela Rayner is secretly planning to bring a load of talented tradespeople over to fill the gaping skills gap. Currently, there's no way all rental properties can be retrofitted to meet the 'C' grade standard by 2030. And anyway, does anybody care to remember that there is still a cost of living crisis going on? I'm not sure where all this extra cash is going to come from. Landlords have been squeezed in recent years and few are likely to have the sort of sums required for upgrades to hand. There are ways to improve your EPC rating, without breaking the bank, but the Government's target is still unrealistic. But this is all before we even get to the heart of the matter, which is the unreliability of the EPC test in itself. This has been proven time and time again to be defective – and yet still they persist. To give just one example, electricity is more expensive and so even though only using electricity to heat your home is better for energy efficiency, the expense means you will get a worse EPC score. Last week Labour unveiled a reformed EPC assessment with more stringent criteria that is more expensive for landlords and could see properties drop a rating. What is it with brick walls and banging your head? The worst thing is, I feel like a fool. I try to be a good landlord. I try to see what I can do to get to an EPC 'C' because even if I don't like all the noise and stuff going on, I know my tenants appreciate upgrades that make properties cheaper to run, particularly given the Government still hasn't got a handle on the utility bills crisis. Such is the level of this eco Shakespearean farce that it's little wonder to learn about the lack of enforcement when it comes to EPC certificates. Since 2020, private landlords have been unable to let a property unless it got an 'E' or was exempt. But – and here's the plot twist: a Freedom of Information request by technology provider Reapit has found only 147 fines were issued between October 2008 and August 2024, and only by Liverpool, Bristol and Newham for non-compliance. Now, before you start getting all excited, I have to remind you – if you don't have a valid EPC, you'll get fined. But more importantly, for anybody thinking of flouting the law, if you don't have a valid EPC certificate at the start of the tenancy, trying to recover possession will be extremely difficult. Providing a tenant with an EPC is a legal requirement, and if landlords have not done this correctly, they will not be able to use a s21. notice to evict a tenant. And that, dear reader, is the madness of the world we live in: the tenant may not be paying rent and may well have destroyed your property, but if you haven't got the right EPC and served it on the right day, you can kiss goodbye to what was once yours.
RNZ News
10-06-2025
- Health
- RNZ News
Healthy homes standards in full next month
law housing 25 minutes ago All rentals must meet healthy homes standards from next month, so what do tenants and landlords need to know ahead of the deadline? Healthy homes standards first became law in 2019 and require rental properties to have sufficient heating, insulation, moisture controls and drainage, and draught stopping. Up to now the standards have been staged, with newer tenancies needing to meet the standards earlier, but now all tenancies must meet the standards. The Sustainability Trust is concerned that even with the healthy homes standards coming into force, there are likely still homes that are inefficient, leaving tenants with large power bills to keep them warm. MBIE's head of tenancy is Kat Watson. and Sustainability Trust's Fair Energy Manager is Phil Squire.
Irish Times
10-06-2025
- Business
- Irish Times
The Irish Times view on rental reform: the perilous task of fixing a broken market
Reform of the rent pressure zone rules was always going to be one of the trickiest issues facing the Cabinet. It is difficult to get the balance right between protecting tenants and encouraging development. And the topic is politically toxic, allowing the Opposition to make charges of incompetence and favouring international capital over hard-pressed renters. The backdrop is clear, even if the solutions are not. There is a supply crisis in the rental market. Doing nothing is not an option. The shortfall cannot be dealt with through State investment alone – private capital is also needed. Yet just scrapping rent pressure zones and allowing market rents across the board is not an option, as this would place an unacceptable burden on many renters. The Government has tried to square this circle by allowing market rents to apply for new developments – and to increase with inflation – while leaving current rental price protections for existing renters. Built around this are some new protections for tenants, including the extension of rent pressure zones to the entire State. Not surprisingly, the reaction is mixed, with warnings of new pressure on some renters and investors warning that the changes are not enough. The Government, too, knows pain lies ahead . Average rents are likely to increase, at least in the short term, and new supply will be unaffordable to many. Fixing a broken market is not easy. READ MORE The hope is that an increased level of development and new supply will eventually lead to more properties and falling rental costs. But in the short term a key question for investors will be whether there are enough people able to pay rents which are sufficiently high to give them the return they are looking for. The extent to which the loosening of the rules will bring forward new investment thus remains to be seen. In this mix, a significant issue is that current renters will remain in a better position than future ones, unless in time higher supply brings down new rental costs. To have enough properties affordable for lower and middle earners, this means that the Government needs to increase the supply of cost rental properties – as well as social and affordable housing – to provide options for those who cannot pay market rents. If the plan is to to lead to any kind of sustainable rental market, this type of State-led investment is essential. And other reforms are also needed to speed both private and public development. Here we are in familiar territory. The chronic shortages of infrastructure must be tackled. The planning system needs to operate much more efficiently. And further efforts are needed to bring down the costs of development. These fundamental factors are much more important than considering yet more financial incentives for developers. If the Government is to move the dial, a relentless push is needed.
Yahoo
04-06-2025
- Business
- Yahoo
Landlord converting more than 120 Halifax apartments into condos
Two apartment buildings in Halifax's north end with more than 120 units between them are being converted into condominiums, and the owners say it's because operating the properties as rentals has become financially impracticable. Many tenants of the two four-storey buildings on Mont Blanc Terrace started to hear rumblings about the conversion last fall. Some have already moved out or are making arrangements to leave. Others, like Andrew Macdonald, aren't ready to go. "This puts me into a bit of a conundrum 'cause I don't know what's gonna happen next," said Macdonald in an interview. He said he's been in unstable housing for years, and just prior moving into his current apartment, he was living in his car. The news that he will have to move again is a blow. "Part of me wants to throw my arms up in exasperation and actually get on an airplane and go to someplace like Thailand or the Philippines where I can live off of what savings I've got and maybe teach English," he said. Following Nova Scotia law, the owners of the two buildings have given tenants until the end of September to stake a claim on buying their own unit. Otherwise, they have to move out by Aug. 29, 2026. Macdonald said he's not in a financial position to buy. One of his neighbours, Jon Frost, said he's simply not interested in buying. He doesn't think the units are as valuable as the owners do. Frost accepted a letter from his landlord earlier this month, sent by registered mail, confirming the rumours that began swirling months ago. It explains the rationale for the conversion and what rights the tenants have, including the right to buy. The letter doesn't provide exact prices, but it says listings will "reflect normal market conditions." It says average condo prices in the neighbourhood are $400 to $600 per square foot, putting the buildings' units — which range from about 1,000 to about 1,500 square feet — anywhere from about $400,000 to about $900,000. "We're just going to ride it out and see what happens," Frost said in an interview outside the building he, his wife and son have called home for close to 20 years. He said he isn't worried for his own family, but some of his neighbours are in a panic and he understands why. Rental vacancy improved in Halifax last year — it rose from one per cent to two per cent — but experts say a healthy vacancy rate is in the range of three to five per cent. The market is still tight for renters. However, the owners of the Mont Blanc apartments say the situation isn't favourable for them, either. The buildings are owned by GBRF Properties, whose directors are Peter Polley, the president of development group Polycorp, and Robert Richardson, the executive vice-president of rental giant Killam Apartment REIT. GBRF Properties built the apartments about 20 years ago. According to the notice sent to tenants, the company had intended to keep the buildings and operate them as rentals "forever." But, the letter continues, operating costs have ballooned in the intervening decades, while rent increases — which have been capped since 2020 — have failed to keep pace. CBC News asked Polley and Richardson for interviews. Polley responded with a written statement, which includes the same rationale that's outlined in the letter that tenants received. Heating oil, garbage removal, water, insurance and property taxes have all gotten more expensive, Polley said. He highlighted that rental apartments are not covered by the province's capped assessment program for property taxes. "With rent control in place in Nova Scotia, and with no help to deal with property taxes, there is no way we can pay for the skyrocketing costs of running Mont Blanc," the statement said. The letter to tenants singles out water rates and Halifax Water's proposed increases as a significant concern. Polly said the buildings' mortgages are up for renewal for the first time in 10 years, and current interest rates are higher, adding to the "significant cost pressures" that are motivating the conversion to condos. Converting rental apartments to condos is not without precedent in Nova Scotia, though it is not common. Provincial law dictates that any time a property owner wants to convert rental housing into something else, it has to notify the director of residential tenancies. CBC News asked Service Nova Scotia for details of past conversions, but the department did not share them by deadline. A spokesperson said conversions are "rare" and the last one happened in 2018. Neil Lovitt, a vice-president at real estate consulting firm Turner Drake, said this case might be a sign of a new trend. "I think it may be, perhaps, something that will become more common in the near-term future," Lovitt said. He said other property owners could be feeling the same cost pressures as the owners at Mont Blanc. Some, Lovitt said, are probably also thinking about selling. He noted that parcelling off and selling individual units involves more work than selling a building as a whole, but the condo approach also stands to bring in more profit. "If you're trying to sell a 64-unit building, there's a fairly small number of people that would have the resources and interest of buying that type of property," Lovitt said. "But if you're selling individual units that are much more accessible price-wise … that's a much larger potential pool of buyers, and so supply and demand kicks in." Service Nova Scotia Minister Jill Balser said her department will monitor to see if this case kicks off a trend, or if it remains one among a rare few examples. Provincial law makes room for cabinet to limit or prohibit property owners from converting rental housing into anything else, but the government would have to introduce new regulations to use that power. Balser said that isn't in the works, but isn't off the table. "It is important to make sure that we are watching if any trends are to change," she told reporters after a cabinet meeting Thursday in Halifax. Balser noted that the property owners have been following the rules, informing tenants and the province as required, and that they are entitled to make the conversion as a "business decision." In other Canadian cities — namely Toronto and Vancouver — the condo market has been slowing down, but Lovitt said comparisons can't be drawn between those markets and Halifax. He said there's been significantly less condo construction in Halifax than in larger centres, where condo markets are flooded. GBRF Properties said it plans to start listing condo units for sale in the next couple of months. MORE TOP STORIES
South China Morning Post
01-06-2025
- Business
- South China Morning Post
Hong Kong's Link takes rental hits amid fight to retain retail tenants
Hong Kong-based Link Asset Management expects more tenants to negotiate lower rents in the near term as it prioritises keeping its properties occupied, according to top executives at the company that manages Link Reit , Asia's largest real estate investment trust. While Hong Kong continued to suffer a retail slump, assets in Singapore and Australia performed better than expected, the company said on Tuesday as it reported revenue and profit increases for the financial year ended in March. Link is not ruling out acquiring properties in challenged markets including Hong Kong, added George Hongchoy Kwok-lung, executive director and group CEO. 'There will be ongoing pressure' in the year ahead for rent reductions, but 'one of the things that we're very focused on is preserving occupancy', he said. The company's rental rate reversion – the industry term for when tenants negotiate lower rents upon renewal – was negative 2.2 per cent in Hong Kong during the financial year. Retail assets in Singapore had a positive reversion of 17.8 per cent. Link's earnings rose 4.6 per cent to HK$7.02 billion (US$896 million) for the year, while revenue increased 4.8 per cent to HK$14.22 billion. Net property income jumped 5.5 per cent to HK$10.6 billion. Its total portfolio was worth HK$226 billion as of March 31, with more than 150 properties in Hong Kong, mainland China, Australia, Singapore and the UK. Three quarters of its assets were in Hong Kong, spanning retail properties, car parks and offices. Link owns 12 properties in mainland China, accounting for about 14 per cent of its portfolio, with assets in retail, office and logistics, while overseas, it also owns 12 properties in the retail and office segments.
