The OFT aims to "help" landlords and letting agents to become more lawful within the lettings market and most particulary in the private rented sector. They have just released a draft guidance together with an invitation to join in a consultation.

OFT’S views are set out in the draft guidance to start to clarify exactly how the law may be applied to each and every step of the letting process. This is in light of the many instances of trading practises being broken such as not informing prospective tenants about hidden fees or even misrepresenting details about a property.

The steps that the OFT wants more compliant with the law starts at how agents portray their services in advertisements and websites, includes the manner in their dealings with new tenants before they move into a property and carries right through to the ending of a tenancy agreement (and no doubt will include the deposits situation). 

Cavendish Elithorn, executive director at the OFT, said: “The private rented sector is vitally important to millions of people, whether they are students, young professionals or families. Rental contracts can be the largest financial commitment some people have and letting agent fees can be hundreds of pounds.

“Our earlier report into the lettings market found that both tenants and landlords were concerned about the clarity of communication from agents including about fees and charges and poor service.

 

“Traders should always provide full disclosure of relevant information upfront, including a clear statement of the costs that will be incurred over the course of the rental. This guidance should ensure that businesses enable people to make decisions based on full information about the property and the agreement they are entering into, when they are looking to rent.”
 
Lettings professionals, (letting agents and landlords) and tenants are being encouraged by the OFT to become part of the consultation on the draft guidance and submit comments before December 10th, when the consultation will be closed.