The Old Cliche - Knowledge is Power rings True

How many times have we heard that knowledge is power? Countless no doubt and now more than ever this rings true in the Private Rented Sector (PRS). Twenty years ago the PRS was not deemed as important as estate agency commercially and also by the consumer. The PRS had a stigma attached to it that only those who could not get on the property ladder would have to rent - the UK was a nation of would be homeowners.

Yet, the recession in 2009/2010 changed this perception, driven predominantly by Supply V Demand, repossession and the lack of housing stock. Not only has the demand for rental property increased, the Letting Sector became an industry in its own right and Letting agencies and lettings departments played a key role in the property sector.

Compliance is Key

It was, however, important to distinguish between the sale of a property and the letting process - both required a strong foundation of compliance, however, the difference between the two disciplines only became relevant as the sector grew and the Government began to legislate and update existing laws. And legislate they did. Landlords are now required to adhere to approximately 300 pieces of primary and secondary legislation, which meant that if a property was let by a letting agent or managed by an agent, they too needed to be aware of the landlord’s obligations.

Know your Stuff

The complexity of letting a property starts pre-tenancy, continues throughout the duration of the tenancy and comes to an end post tenancy, therefore each step needs to be carefully monitored in order to ensure that the landlord does not breach their Duty of Care to the tenant and be certain that the property is fit for purpose. This takes time, commitment, dedication and training, and consistency. Not only will landlords and letting agents who have participated in training and development are much more confident in their knowledge and ability. This confidence fosters a sense of achievement and accountability, but also promotes the expertise and professionalism that tenants need to see.

Qualifications and ROPA

Since the ROPA working group issued their report in 2019, the PRS has been waiting with baited breath for the regulation of the property sector and for qualifications to become mandatory. As the PRS waits to see what the Department for Levelling Up will do next, many agents make the decision to become qualified, setting themselves apart from their competitors.