Much has been covered regarding the terms of the rent cap within the Cost of Living Emergency legislation, however, many landlords are unsure of the actual steps to take if they’re experiencing increased costs and feel it necessary to raise rents higher than the stipulated cap.
During these financially challenging times, many landlords have been experiencing considerable financial pressure to retain their buy to let property (and home to their tenants). From mortgage interest payments to insurance premiums, costs have risen considerably in the past year.
Episode 77 of LetsTalk features Laura Chapman, Director of Edinburgh based Chapmans, giving advice to landlords on the procedure of applying for a rent increase and what’s involved.
Scottish Governments ‘Prescribed Property Costs’
A landlord can apply for a rent increase above the 3% cap in order to partially cover financial increases related to three prescribed property costs. Laura explains what these are, and the conditions for each one.
Host, Gillian Semmler, asks Laura what evidence landlords will need to prove their increased costs and the considerations they must make before applying for the rent increase. She also raises the fact that tenants must be informed of the landlords intentions to raise rent, and ensure they include specific details within their letter to the tenant. click here for Scottish Governments sample letter.
Laura informs about a typical timeframe to expect for the application review process and the high success rate for her landlords who have felt the need to raise rent above the cap.
Chapmans has been established for 13 years and Laura, herself, has been a landlord for over 20 years. Laura chats about her career journey, as she didn’t originally start in property. Chapmans has been awarded Gold for ‘Best Letting Agent of the Year’ five times now, in the allAgents Awards, and has been nominated Gold again for this year’s awards.
To listen to the podcast in full click here
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