While you should do your best to avoid disputes with tenants, landlords should be aware that disputes will occur. At Andrew Lees, we are pleased to say we work closely with landlords and tenants. We also stay in touch with the latest research in the sector.
The latest information released by The Dispute Service, the TDS, is of interest. The headline figures are as follows:
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The private rented sector (PRS) remains larger than the social rented sector in England, while smaller in Wales.
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The number of private rented homes has risen in England from 2.13 million in 2001 to 4.8 million in 2018 and in Wales from 90,000 to 204,000.
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The value of tenancy deposits has increased year on year from £885,098,501 in March 2008 to a total of £4,307,902,071 in March 2020.
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The value of the average deposit has increased from £880 in March 2010 to £1,040 [a drop from £1,108 in the previous year] in March 2020.
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There has been an increase in protected tenancy deposits with 924,181 protected in March 2008 to 4,141,467 protected in March 2020.
Reasons for disputes in England and Wales
Of the cases submitted to TDS Insured in 2019-20, cleaning appeared as a reason in 42% of cases, with damage arising in 41%.
74% of disputes raised with TDS Insured were raised by tenants in 2019-20, with 19% raised by the agent and 7% raised by the landlord.
Number of tenancy deposits protected in England and Wales
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March 2015 3,066,130
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March 2016 3,425,718
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March 2017 3,691,242
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March 2018 3,840,216
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March 2019 3,949,202
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March 2020 4,141,467
Total value of tenancy deposits protected in England and Wales
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March 2015 £3,187,501,867
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March 2016 £3,566,784,769
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March 2017 £4,017,045,899
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March 2018 £4,159,663,783
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March 2019 £4,408,543,068
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March 2020 £4,307,902,071
Adjudications as a percentage of tenancy deposits protected in England & Wales
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March 2015 A dispute percentage of 0.89% and 27,816 total disputes
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March 2016 A dispute percentage of 0.82% and 28,100 total disputes
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March 2017 A dispute percentage of 0.83% and 30,742 total disputes
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March 2018 A dispute percentage of 0.85% and 31,865 total disputes
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March 2019 A dispute percentage of 0.89% and 35,513 total disputes
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March 2020 A dispute percentage of 0.84% and 34,993 total disputes
Reasons for tenancy deposit disputes in TDS Insured in 2019/20
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Cleaning 42%
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Damage 41%
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Redecoration 39%
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Gardening 23%
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Rent arrears 14%
As you can see, cleaning is the most pressing issue which leads to tenancy deposit disputes, but there is a broad range of matters which impact on the relationship between landlord and tenants. Therefore, it makes sense for all parties to work closely, and to know what is expected from them, as detailed in the tenancy agreement.
As an experienced letting agent serving the Bridgwater community, and many of the surrounding areas, we are here to help. We promise to stay in touch with the latest technology, helping our clients to achieve more, and we aim to support the local community as best we can. If there is anything, we can assist you with; please contact Andrew Lees Lettings today.