Q&A: How does Guildhall Lettings Agency work? Why is it good news for shunned tenants?
All you need to know about the Northampton borough Council scheme, which starts in February.
What are the key objectives of Guildhall Residential Lettings?-To improve standards in the private rented sector.- Bringing hundreds of empty homes into use.- Improving access to the private rented sector- Preventing homelessness- Reducing expenditure on temporary accommodation.
Who are the tenants likely to considered for a home?- People in priority need who are homeless or at risk of becoming homeless through no fault of their own.- People who are in need of sub-market rented housing and have enough income to meet the rent in full.
Why is this a good idea for landlords?- They can seek security in knowing that their property will be rented out for three, five or seven years.- The owner recieves 76 per cent of the market rent.- The property will be handed back in good condition.- There will be an interest-free loan to fund essential repairs.
What would the landlords’ fees and charges be?- A one-off set up cost of Â£500 (covering inventory, inspection and administration).- A management fee of 12 per cent of monthly rent (more if rent guaranteed). - Tenant-finder service (for 50 per cent of first month’s rent).