"For me, the biggest challenges facing the Private Rental Sector is the increased legislation we are seeing, and the costs involved with this. "
PR: How did you enter the property industry, and why?
I often laugh when I’m asked this! Normally when I carry out my own interviews and ask this question, the answer I usually get is that they’ve always been interested in property. But for me, it purely happened by chance.
I happened to be in a very good sales job at the time with a high-profile wine company and was considering moving house and buying. I went to an independent agency in the town and must have been their dream customer because I managed to get a valuation beforehand and agreed to the mortgage appointment. That evening, I received a call from the director of the company, who said that I had made such an impact on the branch staff with my manner that they thought I was a mystery shopper!
Following this, he asked if I’d ever considered estate agency work and when I answered no, he convinced me to come in and interview. He succeeded - I joined as a valuer and after 32 years, the rest is history.
PR: What do you think are the biggest challenges facing the private residential sector in Scotland? Do you think the buy-to-let sector is in trouble?
For me, the biggest challenges facing the Private Rental Sector is the increased legislation we are seeing, and the costs involved with this. Similarly, taxation and stamp duty charged on second homes coincides with this. Whilst we have to ensure all properties meet an acceptable standard of living and all landlords should ensure their properties are safe, most come into the market with only one or two properties - and the PRS plays a vital role in housing our growing population.
So, the last thing any agent or local authority would want to do is drive landlords off the radar, or stop them from entering the property market.
PR: Introduced at the end of last year, what have the changes to the private residential tenancy in Scotland meant for both tenants and landlords?
The introduction of the Private Residential Tenancy has been a major change in our industry and has clear benefits for both parties. This new legislation offers tenants an increase in security of their tenure, along with a reduction of ways in which they can be subjected to eviction. On the other side, the PRT has meant increased security for landlords, as the changes to rent arrears legislation means that landlords are able to refer a case for repossession more quickly.
Most importantly, I believe that as agents we have a valuable role to play, by having informative conversations with both parties to guarantee their tenancies run as smoothly as possible and offering – often much needed – guidance to them. Of particular importance is the need to constantly monitor the market for potential changes to existing legislation or to understand the impact of any new legislation – particularly on landlords. It’s often the case that the sooner landlords know, the better chance they have of working with their agent to ensure they continue to operate compliantly and ultimately satisfy the aim of the legislation in the first place.
PR: What advice would you give to landlords doing it alone? What are the advantages of using a letting agent?
For any DIY landlords out there, please do take the time to read up on the new legislation and processes. This advice doesn’t just apply to PRT, however, but also to how the First Tier Tribunals work in Scotland. Despite the First Tier Tribunals being free, for those going it alone, the amount of time, effort and documentation needed can often outweigh this benefit.
Here, is a key advantage of using an agent. Dealing with different tenancies day in day out, having processes in place and qualified staff under the new Lettings Agent registration requirements means we can be in a better position to get it right for landlords and their tenants. Agents also have the wealth and breadth of experience in both the front-end marketing, credit referencing and the ending of the lease should there be challenges about Security Deposits.
PR: If you could read one property headline in the news tomorrow, what would it be?
At last - no tenant arrears reported in Scotland!
