There are a number of ways to develop packages to attract private landlords to let directly to local authority clients and to make it easier for people who need accommodation to rent in the sector.
Single point of contact
Authorities who have successfully increased access to the private rented sector have generally identified a single point of access, usually a senior officer within either housing or HB, so that landlords, lettings agents and potentially tenants can contact them as soon as there is a problem. This trouble-shooting post greatly increases confidence in direct lets and minimises the chance of problems becoming overwhelming, leading to loss of tenancy and the possibility the landlord will withdraw his or her property.
Landlord accreditation schemes
As part of a strategic approach to tackling housing need, local authorities are establishing voluntary accreditation schemes that recognise and reward private landlords who manage their properties to a good standard.
These vary from area to area, but there are 2 main types - schemes that accredit the person who manages the property and those that accredit the property itself. Most schemes combine elements of both but the "unit" of accreditation is normally the property.
Schemes may include criteria relating to property condition, management practices and the landlord's past management record. Standards can either be high at the outset or increase progressively over time. Incentives for landlords to become accredited may include:
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Having a liaison officer within the council
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Improved relations with housing benefit
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Access to training and development opportunities
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Access to grants, e.g. Warmfront and loans to renovate properties
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Advice on how to tackle antisocial behaviour
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Discounts and group purchase on services such as property
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Insurance
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Access to rent deposits or rent guarantee schemes
Participating landlords will also benefit from the status of being publicly identified as a good landlord and distancing themselves from incompetent or unscrupulous landlords.
Accreditation schemes are a valuable tool for increasing the supply of good quality accommodation, which will benefit existing and potential tenants and reduce the need for intervention by council officers.
For further information on accreditation go to
www.anuk.org.uk
Rent deposit/bonds/rent in advance
These can make it significantly easier for people to secure accommodation in the private rented sector and also provide comfort to prospective landlords. Local authorities vary in both the amount of deposit or bonds they will provide and also the eligible groups. However they are equally helpful for both single people and families with children, and can make it easier for people nominated by local authorities to compete in the private rented market.
On their own they are unlikely to be sufficient to increase access to the private rented sector, but as part of a package of incentives they can encourage both landlords and tenants to consider direct lets.
The National Rent Deposit Forum is a useful point of contact for authorities looking for examples of best practice in setting up rent deposit / rent in advance schemes.
Contact: Karen Hunt at
training@nrdf.org.uk
Case study-Swindon BC
Swindon BC has 3 types of rent deposit schemes. They have successfully run a deposit guarantee scheme for the past 12 years, which can either be used to secure temporary accommodation in the private rented sector for households owed a main homelessness duty or for households who have become homeless intentionally, for whom authorities are only required to provide advice and assistance and secure accommodation for a limited period to give them a chance to find a home for themselves.
Their deposit and rent in advance scheme is used by their homelessness prevention officers either to enable people to stay in their existing accommodation in the private sector or help them find fresh accommodation in the sector as an alternative to making an application for help under the homelessness legislation.
Since October 2004 they have been using a deposit and rent loan scheme administered by a worker funded through the DAT, and designed to assist ex offenders and substance misusers.
Contact
cmartin@swindon.gov.uk
Making tenants responsible for repaying any rent deposit/bond through small weekly payments can help to ensure properties are kept in good condition. If this is done through a bank account it will result in the tenant not only having a deposit for any new property, but also a bank reference, which will be helpful when securing new accommodation.Dispute resolution
Authorities are increasingly using mediation services in cases of parental and other exclusions, in order to prevent homelessness. Mediation and other forms of dispute resolution can also be offered to private landlords and tenants, either to prevent loss of tenancy or as part of a range of incentives to landlords to offer tenancies to people nominated by the local authority. Terminating a tenancy is time consuming and expensive and dispute resolution can be an effective tool for both landlords and tenants in preventing homelessness.Use of grants and other funding
As part of its corporate approach to tackling empty homes and disrepair in the private sector, authorities can use a number of funding streams to bring properties back into use for letting.
Temporary Social Housing (TSH) grants, administered by the Housing Corporation, can be used to repair, renovate or convert empty properties which are subsequently leased to RSLs for a minimum of 3 years at affordable rents. These schemes do not require rent deposits or rent in advance and are suitable both for families and single people.
Private landlords who have poor quality accommodation, in particular, houses in multiple accommodation (HMOs) can be offered renovation grants in return for nomination agreements. In one authority, Bournemouth, one landlord with a large portfolio of HMOs has not only brought them up to Decent Homes standard but has bought new properties to offer for letting to council nominees, encouraged by the range of incentives and service the authority offers.
Decent Homes Grant applications can also be linked to agreements on direct lets to council nominees.References
It can sometimes be difficult for people to provide adequate references when applying to rent in the private sector. Local authorities can help with this by confirming any support packages, benefit entitlement and any other incentives such as rent in advance to the landlord or lettings agent prior to the tenancy being agreed.