Government proposals to enforce private landlords to be licensed could threaten those in the buy to let market. The reason for the licencing is to control the behaviour of troublesome tenants in some areas of the country. Basically, an attempt to reduce unsociable behaviour.
Our View
According to statistics, the majority of tenants live in privately run accommodation. We believe the Government's plans relate to landlords with a number of properties let, rather than a couple with two properties, one of which they rent out.
When properties are owned on mass and need to generate income, very little research tends to be undertaken when obtaining a suitable tenant. Basically, if they are willing to pay the money, the property is theirs. Obviously, this is not always the case. If the tenants are troublesome it can affect all other residents in the area and actually affect property prices.
By licencing landlords, the ability to take action against them becomes easier and problems can be tackled quicker. This will obviously benefit everyone. Whilst licencing will make people think twice about becoming a landlord, if they stick to the rules, they will be left alone.