The importance of relationships

The private rental market in Scotland is undergoing changes, with the Scottish Housing Bill currently progressing through Parliament. As a landlord, navigating these changes can sometimes be challenging, and having a trusted, responsive lettings agency by your side has never been more important. 

Our Company Director, Laura Chapman, has been keeping a close eye on these developments and is passionate about helping landlords through these shifts. At Chapmans, building strong relationships with our landlords is at the core of what we do. As more landlords transition away from larger agencies, it’s clear that personalised service and trusted partnerships are key to long-term success in the rental sector.

The Scottish Housing Bill, which has recently passed Phase Two, introduces several measures that will impact landlords. These include rent control measures, changes to the ability to end joint tenancy agreements, and expanded rights for tenants to personalise their homes and have pets. 

Trusted partnerships are key to long-term success in the rental sector

 

For us, the overarching theme of these changes is reasonableness. More and more, it will take a common sense approach to determine what is fair and reasonable regarding Tenants’ rights and expectations. Having a good relationship with tenants and a knowledgeable lettings agency is essential for a smooth rental experience.

How could the changes to the Housing Bill impact Landlords?

1. Rent controls and the need for proactive management

One of the most talked-about aspects of the Housing Bill is rent control. While local councils already have the ability to set Rent Pressure Zones within the Private Residential Tenancies, the new legislation introduces rent control areas lasting for five years. 

The Scottish Government has responded to industry lobbying and, instead of a blanket ban, will now allow rent increases. These will be capped at the lower of CPI + 1% or 6%, even between tenancies. This means that landlords can no longer rely on increasing rents when a property becomes vacant. Instead, regular, modest rent increases will become the norm to keep pace with market rates. “It’s crucial to take a proactive approach and stay ahead of the game,” Laura advises. “At Chapmans, we work closely with our landlords to ensure they remain competitive and compliant.”

2. Joint Tenancy Reforms: Potential Pitfalls

Under the new bill, tenants will have the right to end a joint tenancy without needing agreement from their housemates. While this addresses serious issues such as domestic abuse, it also could be problematic for landlords of shared properties (HMOs), particularly student lets. It could throw up issues around the deposit and what happens to it, lack of cooperation from the remaining tenants, or how landlords can ensure financial stability in shared rentals.

Having an agency that understands the complexities of these changes and can proactively manage tenant transitions will help to minimise disruption and financial loss.

3. Tenants’ Right to Personalise Their Homes and Request a Pet

Another key change is the right for tenants to make their rental feel more like home. They will be able to request non-structural modifications (such as painting walls), and landlords will not be able to unreasonably refuse. “We completely understand why tenants want to feel at home, but there needs to be a balance,” says Laura. “For example, painting walls may be fine, but not original woodwork or cornicing. We’ll keep working closely with landlords to set clear policies so that changes are made in a way that protects the property’s long-term value without compromising the tenants’ right to enjoy their home.”

The bill also gives tenants the right to request permission for a pet. Being unable to refuse this without reason is another big shift in the market. “Whether a tenant can have a pet at their property will all come down to understanding personal circumstances,”  Laura explains. “The potential outcome for somebody who’s starting a new job and moving into a flat to live independently for the first time will be different to tenants moving into a family home on a long-term basis. How these situations are managed will depend on the relationship between the tenant and agency.”

Chapmans will always act in the best interest of everybody involved to achieve the best possible outcome. If you’re looking for a lettings agency that values relationships, delivers a first-class personal service, and truly cares about your property, get in touch with us at Chapmans. We’ll help you manage the evolving rental landscape with confidence.

If you’d like to talk to us about managing your property, book a discovery session here.