Welcome to our first newsletter We are the new one-stop shop under the umbrella of Somerset West Private Sector Housing Partnership bringing together services for owners, owner/occupiers, private sector landlords and tenants offering services in Sedgemoor, Taunton Deane and West Somerset. Inside this issue Date for the next Landlords Forum Universal Credit - what it will mean to you What is a credit union? Financial assistance for all If you re a landlord look for the blue pages If you re an owner/occupier look for the yellow pages If you re an owner look for the green pages If you re a tenant look for the pink pages
Welcome and foreward by The SWeLT Board Welcome to our first newsletter. SWeLT (Somerset West Landlords and Tenants services) is an exciting new service combining the expertise from the Housing Options and Private Sector housing teams working with the skills and services of Taunton Association for the Homeless and Bridgwater YMCA, bringing them together under one SWELT umbrella. This provides advantages for landlords and tenants alike as they can obtain help in one telephone call or certainly be guaranteed if the caller needs more detailed information, to be forwarded to the right person. SWeLT offer a raft of products such as the Guaranteed Bond scheme, and Landlord Accreditation. It is important that we listen to our clients. This is evidenced through the new products that are continually being developed to meet the needs of our customers. Our Officers are currently in the process of putting together an insurance package for landlords. The aim of the product will be to reduce insurance premiums for landlords but offer them a comparable amount of cover. This is an exciting time to be a landlord as the private rented sector continues to grow. There are a lot of challenges out there as well as opportunities. Opportunities such as the Hinkley C nuclear power station and the need for housing by the construction workers and engineers. Challenges brought about by the Welfare Reform changes which will have an effect on the benefits awarded to cover rents. The team hope that you will find the newsletter informative in meeting those challenges and opportunities and we all look forward to working with you over the coming year. SWeLT Team Our Vision To provide a service to landlords and tenants in a timely, courteous and efficient manner. The customer should feel that they have experienced a professional service and have received the information that they wanted to obtain across the private rented sector in Somerset. What s on offer for Landlords? See the blue pages Landlord Accreditation, Financial Assistance for essential repairs/home improvement energy efficiency measures and advice, a Management service, discounted insurance, housing advice What s on offer for Owner/Occupiers? See the yellow pages Financial Assistance for essential repairs/home improvement, buying oil and spreading payments interest free, energy efficiency measures, park home loans and disabled adaptions What s on offer for Owners of empty properties? See the green pages Landlord Accreditation, Financial Assistance for essential repairs/home improvement, bringing Empty Properties back to use, energy efficiency measures and advice, a Management service, discounted insurance, housing advice What s on offer for Tenants? see the pink pages Tenant accreditation, Deposit Bond, Deposit Guarantees, Credit Union, Tenant Passport Scheme, Taunton Association for the Homeless and Bridgwater YMCA
Your SWeLT team and what we do Strategic Housing The Strategic Housing officers have been working together to agree initial principles and the general shape of proposed bids to the EDF Energy Housing Fund for specific initiatives to mitigate the impact of Hinkley C development on accommodation in the districts. This includes stimulus investment into affordable housing schemes, making better use of existing accommodation and providing bed spaces from empty properties and space above shops. Housing Advice/Housing Options The Housing Advice Service at Sedgemoor, Taunton Deane and West Somerset provides advice and assistance on a wide range of housing related issues including renting privately, affordable home ownership, homelessness, illegal eviction, registering for social housing (Council or Housing Association accommodation). All of our advice is free and confidential. Private Sector Housing Team The new scheme is a partnership between Councils and agencies who offer private sector landlords, tenants and owners unique access to a range of local housing products, services and support including Landlord Accreditation, Energy Efficiency, Empty Homes, Housing Standards, tenancy support and Disabled Facilities Grants. TAH Taunton Association for the Homeless (TAH) was established in 1973 and is now a key provider of accommodation and support for Somerset s single homeless. Wessex Home Improvement Loans Wessex Home Improvement Loans is a Community Development Finance Institution (CDFI) working in partnership with your Local Council. We are a not for private profit organisation providing finance to home owners for essential maintenance and improvement Bridgwater YMCA Offering Tenant Accreditation Scheme, a 6 day intensive programme of tenancy management and sustainment helping 18 24 age group to access Private Rents
Albert Goodman Chartered Accountants Landlords, are you claiming full relief for furnishings in your furnished let? Landlords of properties that are let to tenants furnished should ensure they are claiming relief for the furnishings included in the property. What is a furnished let? The property must have sufficient furniture, furnishings and equipment for normal residential use. A tenant should be able to move in and live without being required to provide anything other than their clothing and food. In general, certain items such as beds, chairs, tables and a cooker will be essential. What relief is available? Landlords have two options available to claim relief for the cost of the extra equipment they provide in a furnished let. The first is to claim relief on a renewals basis. This means that after the property is first equipped, any replacement of equipment can be claimed in full as a deduction. No relief is available for the initial fit out costs. The second option is to claim the wear & tear allowance. This tends to be the most popular option due to its simplicity and the possibility of earlier tax relief. The allowance is calculated as 10% of the rents received less a restriction for any expenses paid by the landlord that would normally be borne by the tenant, such as council tax, utility charges and water rates. Once a decision has been made on which relief to claim, this is a once and for all choice. There can be no swapping from one system to the other and all furnished lets belonging to the same landlord must be dealt with on the same basis. Normal repair expenditure Claiming the wear and tear allowance does not preclude the landlord from claiming replacement or repair of items that would be present in an unfurnished let e.g. replacement of kitchen, bathroom, windows or light fittings. These remain deductible. If you need advice on any tax or accounting aspect of being a landlord, please contact Tara Hayes Telephone: 01823 286096 or e-mail: tara.hayes@albertgoodman.co.uk
The Green Deal for residential landlords The Green Deal helps you or your tenants make energy-saving home improvements to make your rental property more comfortable. The person responsible for paying the electricity will pay for some or all of the improvements over time through their electricity bill. Repayments will be more than what a typical household should save in energy costs. Improvements that could be made to your rental property include: Loft Insulation Renewable Energy Windows Boilers Draught Proofing External and internal solid wall insulation Cavity wall insulation. Five things landlords need to know 1. The current electricity bill payer always pays the Green Deal Repayments 2. Your tenant needs your permission before taking out a Green Deal 3. You need tenants permission before you take out a Green Deal 4. All improvements are quality assured 5. New tenants need to be aware of the Green Deal and acknowledge the repayments they need to make. 2011 Energy Act The 2011 Energy Act states that private landlords will not be able to refuse any reasonable requests for Green Deal measures from tenants. From 2018 onwards landlords will not be able to rent out homes that do not meet minimum energy efficiency standards Landlords are encouraged to take steps improve homes now. Get a Green Deal To start, you or your tenant will need a Green Deal Assessment. Many different organisations including energy companies, DIY stores, and local tradespeople are authorised to do this. For help finding a Green Deal Assessor, call the Energy Saving Advice Service (England, Scotland and Wales) on: 0300 123 1234 or visit: www.direct.gov.uk/greendeal When you book an assessment you may be asked if there are any accessibility issues, like access to your loft, and whether you can provide bills showing your recent energy use. Keep in mind that some Green Deal Assessors may charge for their service it s best to check when you make an appointment.
Landlord Accreditation Landlords in the three districts of Sedgemoor, Taunton Deane and West Somerset are being encouraged to join the hugely successful Accredited Landlords in Somerset Scheme. It is a FREE voluntary scheme and you could enjoy a market advantage from other Landlords. You will be entitled to a 1k grant* You can apply for a loan up to 5k at only 2% (2.1% APR) interest no hidden costs You can apply for a loan from 5k 15k at only 4% (4.1% APR) interest We can advertise your empty lets You could lease your property to Management Service where you can claim 90% of the LHA rent even if your property has a void period * subject to availability It s a simple application process, just fill out the forms and send them to us with a copy of an up to date Gas safety certificate, Electrical Periodic Assessment, EPC and copy of your tenancy agreement. Contact the Landlord Accreditation Officer on Telephone: 0845 408 5328 or visit the website: www.swpshp.org Don t miss our Autumn Landlords Forum Make sure you keep informed with what s on offer to Landlords Thursday 17th October 2013 at Bridgwater and Albion Rugby Football Club Information on The Green deal, The New homes bonus for Empty properties, Accreditation, Council Tax & Welfare reform Landlords could you recommend a good contractor? We would like to collate a list of Contractors recommended by landlords for landlords. If you have any contractors that you think would like to be added to this register please let us know. Telephone: 0845 408 5328 or e-mail: swelt@sedgemoor.gov.uk
Are you a landlord? The South West Real Estate team specialise in insurance for landlords. As standard we provide cover for your buildings, contents and property owners liability insurance for a wide range of tenant types. We aim to provide you with the highest possible peace of mind by offering a complimentary review of your existing policies and an overhaul of your needs at each renewal, to ensure your policy remains the most suitable for you. Our team of dedicated insurance advisors will provide expert information and advice to help you make an informed decision when choosing cover. For a no obligation quote give a member of the team a call. Telephone: 0117 945 2989 or send us your contact details and renewal date to: propertysouthwest@towergate.co.uk Chapter 1 offer guaranteed rent for landlords in Somerset Chapter 1 is a Registered Social Landlord and Registered Charity who provide housing to vulnerable people. We are working across West Somerset, Taunton Deane and Sedgemoor. The accommodation is leased by Chapter 1 from local landlords. Rental income is guaranteed for the entire time the property is leased, even if the property is empty. We cover all your property, tenant and income management and there are no legal costs or management fees attached. The scheme helps to ease the homelessness position in areas where the demand for housing outstrips supply by providing affordable accommodation for people who have housing needs. Chapter 1 is looking to lease a wide range of properties in your area, so if you are interested in leasing your property to Chapter 1 or would like to know more please contact Kaye Sibley, Scheme Manager Telephone: 07720 740 061 or e-mail: kayes@ch1.org.uk
Wessex Home Improvement Loans Financial assistance for all Providing you with Finance for Essential maintenance and improvement works In partnership with Sedgemoor District Council, Taunton Deane Borough Council and West Somerset Council We offer varying amounts of loan, interest on loans and repayment periods. There is no arrangement fee and no early repayment charge. There is a 40 Land registry charge on some of the loans. The home improvement Loan offers 1k - 15k at a rate of 4% interest. This is for essential repairs, new kitchen, new bathroom, double glazing, electrical work and heating systems this list is not exhaustive. Loans to Landlords offers landlords 1k - 5k at a rate of 2% interest and 5k - 15k at a rate of 4% interest to bring your rental properties up to a decent standard. There is also a 1k grant for landlords that would like to become Accredited. Empty Homes loans are split into two by Local Authority Area Taunton Deane and West Somerset offer 1k - 15k at a rate of 4% interest to cover work associated with bringing your empty property back into use. Sedgemoor offer the New Homes bonus, up to 30k. This is calculated on demand of the housing need, if the property has been empty for 6 months plus, whether there will be environmental benefit, how many years nominations are taken for our housing register tenants and whether you have a track record of Accreditation and/or you will be managed by an Registered Provider. The loan interest rate available is from 0% to 4% depending on the above factors. Oil scheme loans offer up to 500 to purchase oil with a fixed interest rate of 0% to be repaid over 6 months. Park Home loans offer owner/occupiers up to 15k at 4% to update and improve their park homes. Disabled facility loans offering essential adaptations to their property so independent living can be achieved How do I get a loan? There is a simple application process contact your Local Council who will provide more information regarding the loan and your eligibility for the scheme. Our Loans Advisors are able to visit you in your own home, at your request, to help you make a loan application and keep in touch with you and your Council officers throughout the process. Telephone: 0845 408 5328 E-mail: swelt@sedgemoor.gov.uk
Empty properties Empty properties is the topic of the moment. There are approximately 1,100 properties across Sedgemoor, Taunton Deane and West Somerset. 465 empty properties in Sedgemoor, 435 in Taunton Deane and 200 in West Somerset. Our role is to work with owners of empty homes to encourage them to bring them back into use. This may be through advice, offering incentives such as a low interest loan through the partner Council s preferred loan provider Wessex Home Improvement loans, or through formal action such as a Compulsory Purchase Order. There are several loan products on offer: If you are an owner in Sedgemoor then you may be entitled to a New Homes Bonus loan product. Up to 30,000 is on offer with variable interest rate. Owners in Taunton Deane and West Somerset are entitled to apply for a loan of up to 15,000 at a fixed interest rate of 4% You would be required to rent the property and would be desirable to take nominations from the Council. ALIS (Accredited Landlords in Somerset) loan to bring an empty home up to an accredited standard set by the Council. The loan can be up to 15,000 at a variable interest rate between 2-4%. There are not requirements to take nominations although it would be desirable. We also offer a management service for those landlords who would prefer to continue to own their properties, but someone else manage them for a period of time. The managing agent Chapter One would ensure the property is maintained and handed back to you in the same condition as when Chapter One originally took on the management responsibility. They would collect the rent and take a small management fee. They would seek the tenants and manage any tenancy or anti-social behaviour issues. The partnership have a dedicated Empty Property Officer working within a small team of dedicated colleagues. Through the team they have brought back into use over 120 properties across the three districts through direct intervention, and in excess of 700 properties across the districts through non-intervention i.e. house movements monitored through the Council Tax and empty property database. Case Study The Council was approached by an owner of two properties in Highbridge who wanted to bring them back into use. They had been empty for a considerable amount of time and were in a prominent location in the town. Planning permission was given in February 2010 for the change of use and conversion to form two, two storey, two bedroom dwellings and one first floor flat with a ground floor shop/showroom. The project stalled due to a shortfall in funding and other planning difficulties on another project. The owner was offered a loan of up to 30,000 from the New Homes Bonus Scheme in return for accepting nominations from the Council s Housing Register. The owner is also prepared to be accredited as part of the voluntary Landlord Accreditation Scheme. There is high demand for decent low cost rent housing in Highbridge and this property will be of great advantage to Sedgemoor District Council in combating the shortage of housing for those seeking accommodation from Home Finder Somerset. The project is scheduled for completion in the Autumn of 2013.
Credit Unions What are credit unions? Credit unions are small non-profit financial organisations set up by members with something in common to benefit their community. That common factor may be living in the same town, working in the same industry (eg, the Police Credit Union) or belonging to a particular trade union. There are 500 credit unions covering the UK offering loans, savings and current accounts to their members. Who are they for? They re there to provide a financial community, where its members mutually benefit as there s no profit for third party shareholders. This can mean helping those who can t get access to ordinary bank products; a lifeline in less well-off communities for folks grappling with their finances. Plus, they can be a welcome alternative to payday loans or doorstep lending. Yet, they re not just for those struggling financially. They also appeal to those who want to bank ethically and benefit their community. Their primary functions are savings and borrowing, although other services that may be available include current accounts (similar to a basic bank account, cash ISAs or sometimes funeral plans. For more on their role see the credit union trade body: www.abcul.org/creditunions Who can join a union? They re all specific, so you need to check if there s one that suits you in your area. From January 2012 onwards, the joining rules relaxed a little, but generally, to be part of a credit union, you need to share a common bond with other members, such as: Live or work in the same area Work for the same employer as other members Belong to the same church, trade union or other association How do they work? Credit unions aim to help you take control of your money by encouraging you to save what you can and borrow only what you can afford to repay. In essence, they re savings and loan co-operatives, where the members pool their savings to lend to one another and help to run the credit union. This is done in a not-for-profit way, so the cash is only used to run the services and reward the members, and not to pay outside shareholders, like most other financial institutions. Throughout the year, those running credit unions must put aside enough money to ensure they don t go bust. Any money that s left over is channelled back to those who ve a savings account or it s used to try and improve the overall service. To keep all the money safe, credit unions can t lend out all their members savings or plough the remainder into anything that carries too much risk. All money in savings unions has the same FSCS Government protection as bank savings accounts. Contact information for your local Credit Union Bridgwater and District - Telephone: 01278 447100 e-mail: bridgwater.cu@care4free.net Taunton Deane and West Somerset - Telephone: 01823 336425 e-mail: moorvale@fsmail.net
Universal Credit, what you need to know Universal Credit Universal credit is the cornerstone of the Welfare Reform Act 2012. It is designed to replace a range of existing means-tested benefits for people of working age, and comes into effect in October 2013 for all claims. It will be administered by the Department for Work and Pensions (DWP) and moves away from the current system of a number of benefits, each with its own rules and eligibility criteria, delivered by different departments. The aims are to make work pay, by reducing the rate at which benefit is withdrawn when claimants increase their working hours, to deliver efficiency savings to the taxpayer and to simplify the process for claimants. By 2017, universal credit will replace: Housing benefit Income-based jobseeker s allowance Income support Income-related employment and support allowance Working tax credit Child tax credit For further information If you are interested in the Housing Benefit reforms you can find more information on the Shelter Website: www.england.shelter.org.uk If you need further advice on Housing Benefit contact your Local Office: Housing Benefit Advice - Sedgemoor Telephone: 0845 408 2542 E-mail: benefitservice@sedgemoor.gov.uk Housing Benefit Advice - West Somerset Telephone: 01643 703704 E-mail: benefits@westsomerset.gov.uk Housing Benefit Advice - Taunton Deane Borough Council Telephone: 01823 356321 / 356322
Taunton Association for the Homeless Taunton Association for the Homeless (TAH) was established in 1973 and is now a key provider of accommodation and support for Somerset s single homeless. Founded by local people, and run on a non-profit making basis, TAH has a clear stated purpose working with partners to house, assist, support and empower homeless people in Somerset, maximising their potential & promoting independence. TAH was chosen as Somerset Charity of the Year in 2011 and, from very small beginnings, now provides 134 bed spaces of accommodation as well as a Taunton Deane/ Sedgemoor Rough Sleeper Outreach Team which it hopes to extend into West Somerset during 2013. In a recent development, TAH recently secured additional funding from Somerset County Council and, from May 2013, will provide: 103 beds for single homeless people, and Floating Support to 63 single people in their own homes (Sedgemoor, Taunton Deane and West Somerset) 52 beds for young homeless people (under 25) and Floating Support to 49 young homeless people in their own homes (Taunton Deane) One of TAH s key strategic partners, Bridgwater YMCA will also provide 57 beds for young homeless people (in Sedgemoor), 17 beds for young homeless people (in West Somerset) and Floating Support to 69 young homeless people in their own homes in those districts. If you would like to find out more about the TAH s services, you would like to visit some of their projects or you would like to support this valuable local organisation, you can contact them on: Telephone: 01823 271326 or e-mail: info@tahltd.co.uk Let us know what you think of our newsletter. Is there anything that you would like to see? If so, give us a call or e-mail us and we will do our best to add your comments or add an article. Telephone: 0845 408 5328 or e-mail: SWELT@sedgemoor.gov.uk
Bond Scheme Since 2010, Taunton Association for the Homeless (TAH) has also operated a Rent Deposit Bond Scheme in Sedgemoor and Taunton Deane for the benefit of single homeless people and private landlords. The Bond Scheme, funded by central government, Sedgemoor District Council and Taunton Deane Borough Council has demonstrated significant outcomes and is a key tool in helping local authorities, voluntary organisations and private landlords successfully work together. It offers landlords: The chance to let their property promptly and reduce voids with a written guarantee (the bond) in place of a deposit Free advice/information, free copies of tenancy agreements and a free inventory Pre-interviewed, suitable tenants who receive advice and support to help them fulfil their responsibilities and sustain their tenancies Setting up of housing benefit claims and advice/ assistance with any queries that may arise All the Bond Scheme asks of landlords is that properties meet the required standard for fitness and safety, they agree to let properties to people receiving benefits or on low income, and they remember to inform TAH before taking any action to bring a tenancy to an end. If any landlord would like to know more about The Bond Scheme, how it can work to their advantage or how to sign up, they can contact Taunton Association for the Homeless (TAH) Telephone: 01823 271326 or e-mail: bondscheme@tahltd.co.uk YMCA Private Rented Scheme The sole aim of the scheme is to help the 18-24 age group in accessing private rented housing. After successfully completing an intense 6 day programme on successful tenancy management and sustainment, known as the Tenant Accreditation Scheme, the young person will be moved on to private rental housing with a package of support to the landlord and on-going support to the tenant. The scheme is introduced via joint working initiatives between the YMCA s HOME Projects Team and Sedgemoor District Council s Housing Advice Team and works closely with private sector landlords to encourage them to participate in the scheme. In order to encourage private landlords to participate, they will be offered a package of support which will include, but will not be limited to; an inventory service, regular tenancy and tenant checks, fast track housing benefit claims, a dedicated phone line for support, access to the Deposit Bond Scheme and a mediation service. Landlords will also be encouraged to participate in working groups. For a no obligation discussion please contact Karen on: 01278 726040 or 07713 215 176.
Albert Goodman Chartered Accountants Tenancy Deposit protection Landlords of assured shorthold tenancies have a legal duty to protect their tenant s rent deposit in a deposit protection scheme. Deposits are paid by tenants as an upfront payment for security against damage to the landlord s property. This deposit is due back to the tenant at the end of the tenancy. However, often disputes arise where the landlord has cause to retain some or all of the deposit. Therefore the law offers protection to both parties by requiring deposits to be held in government approved tenancy deposit schemes. Changes to the scheme from 6th April 2012 require the deposit to be paid into a scheme within 30 days and the landlord must provide certain information about the scheme to the tenant within the same deadline. If a landlord does not protect the tenant s deposit within the time limit the tenant can apply for certain sanctions which could include the payment of compensation up to a maximum of three times the value of the deposit. In addition the rules on how a landlord can evict a tenant will change. There are a number of government approved tenancy deposit protection schemes including: Deposit protection service The deposit is paid into this custodial scheme by you or your agent until the end of the tenancy when it will be repaid to the tenant directly including any interest earned on the deposit. My deposits and tenancy deposit scheme In these schemes the deposit is held by the landlord or his agent and instead an insurance premium is paid into the scheme. At the end of the tenancy you repay the deposit, no interest is paid. If there is a dispute, the disputed sum is paid into the scheme until such time that it is resolved, when the insurance scheme pays you or the tenant the amount agreed. If you have taken a deposit for an assured shorthold tenancy and the tenancy started from 6 April 2007 onwards the deposit needs to be protected and you need to take the appropriate advice. If you need advice on any tax or accounting aspect of being a landlord, please contact Tara Hayes Telephone: 01823 286096 or e-mail: tara.hayes@albertgoodman.co.uk
Chancellor s announcement The Chancellor announced details of the Budget, including a number of measures relating to housing, on Wednesday 20th March 2013. The most significant announcement was the establishment of a new Help to Buy scheme to improve access to home ownership. This comprises: a new mortgage guarantee scheme to help people who want to buy but cannot afford a deposit to access a mortgage. The government suggest this will support a total of 130bn of mortgages an extension of the current First Buy scheme for first time buyers to other groups. This will provide 3.5bn worth of shared equity loans to enable people to purchase a stake in a new build home. If anyone is interested in utilising these products then they should contact the districts zone agents - Southwest Homes on: Telephone: 0300 100 0021 or e-mail: info@southwesthomes.org.uk
Visit our new web site: www.swpshp.org Telephone: 0845 408 5328 E-mail: swelt@sedgemoor.gov.uk The Housing News is posted and e-mailed out to over 2,000 clients. We are looking for anyone that would be interested in sponsoring our Newsletter - we can advertise your products or services. Sponsorship Rates: Full page - 100 Half page - 50 Quarter page - 25 For further details please contact the SWeLT team Telephone: 0845 408 5328 or e-mail: swelt@sedgemoor.gov.uk