There has been a great deal of activity in the real estate market over the last six months, and a number of changes in law which have an impact on property owners.
In this update we look at the Tenant's Fees Act, which has received Royal Assent, and will come into force on 1 June, impacting all landlords of residential property. Additionally, the Government has stepped in to launch a consultation on banning "no fault" evictions, which allow Landlords to serve two months' notice at the end of a fixed term, regardless of whether or not the Tenant has breached any of the lease terms. At the same time, the Housing Minister has promised to expedite the court processes so that Landlords can settle disputes quickly.
The recent High Court case of Fouladi v Darout has demonstrated the far reaching consequences on landlords of multi tenanted units (both residential and commercial) when there is a breach to the 'right to quiet enjoyment' even when they aren’t the cause of the disturbance. Our article " Supreme Court's new Acid Test" turns our attention to the process for evicting commercial tenants and takes a look at guidance laid out by the Supreme Court.
We also review the case of "Wells v Devani" which looks at the Supreme Court's take on payment of estate agent commissions, before we finish with a round-up of the case against Tate Modern by nearby residents who have discovered that the are exhibitionists following the completion of their new 360° viewing platform.
Meanwhile as Brexit rumbles on, and whilst there are some sings of Brexit fatigue starting to show, the housing market continues to be lacklustre. HM Land Registry's House Price Index for February 2019 showed that on a month to month basis, house prices have fallen 0.8% since January 2019 but there has been an annual price rise of 0.6% taking the average property in the UK to £226,234.
Regional data shows the North West as the Property 'Power House', with London showing dropping prices. However, it's not all doom and gloom, Rightmove and the Halifax suggest that there is a Brexit bounce on the horizon, with people bored of waiting for Brexit and pressing on with transactions leading to rising prices in April.
We hope you enjoy our update.
The UK Real Estate Team