*Updated* Section 8

The recent passage of the Renters’ Rights Bill has brought significant changes to the eviction process for landlords, particularly with the abolishment of Section 21. Landlords now face a more stringent process for evicting tenants, making it crucial to understand how the updated Section 8 works and what steps to take to ensure compliance with the new regulations.

This article will guide landlords through the key updates in the eviction process, including the revised rent arrears requirements and extended notice periods. Additionally, we’ll explore the mandatory and discretionary grounds for possession, the proper method of serving a Section 8 notice, and potential drawbacks landlords may encounter. Lastly, we’ll touch on guaranteed rent schemes as a way to mitigate the new complexities of eviction.

Before moving forward with a Section 8 eviction notice, it’s vital for landlords to take specific actions to ensure their case stands up in court. Firstly, ensure that you have attempted reasonable measures to resolve any issues with the tenant. This includes documenting all communication, trying mediation, and keeping a record of any breaches of tenancy agreements.

Key steps to take to ensure you gain possession of your property:

• Protecting tenants deposit - registering for a deposit protection scheme

• Register Property on New Private Sector Database (following royal ascent of the Renters' Rights Bill)

• Providing essential documentation during the start of tenancy: 

  • Gas Safety Certificate

  • EPC certificate

  • How to Rent Guide – obtained from the government website found here.

In light of the Renters’ Rights Bill, the court is placing greater emphasis on landlords demonstrating they’ve attempted fair resolution before taking legal action. This step is critical because judges now have broader discretion to dismiss cases where the landlord is perceived to have acted unfairly or without trying to resolve the issue amicably.

The Renters' Rights Bill has placed greater emphasis on the grounds for possession under Section 8. These are divided into mandatory and discretionary grounds. Mandatory grounds mean that if proven, the court must grant possession, while discretionary grounds give the court the option to refuse possession, even if proven.

For the full table detailing the grounds for possession, summary of the ground, and the notice period required to give the tenant when evicting please click here.

Mandatory Grounds

The key mandatory grounds include:

• Ground 8: Rent Arrears – The Renters' Rights Bill has increased the rent arrears requirement from two months to three months. Landlords must now wait until a tenant has at least three months of unpaid rent before they can rely on this ground. However, once this threshold is met, the court must order possession if the arrears are proven. Furthermore, the notice period given to a tenant in rent arrears has also increased from two weeks to four weeks. 

• Ground 7: Death of Tenant – This ground remains unchanged, allowing landlords to seek possession if a tenant has died and there is no legal successor to the tenancy.

Discretionary Grounds

Common discretionary grounds include:

• Ground 10: Some Rent Arrears – For situations where rent arrears are less than three months, the court has discretion to decide whether to grant possession based on the circumstances.

• Ground 11: Persistent Late Payment – The tenant may not have a large amount of arrears but has been persistently late in paying rent. Again, the court has discretion in these cases.

With discretionary grounds, the landlord must present a compelling case as to why possession is justified. The court may be inclined to side with tenants in light of the current housing crisis, so landlords need solid evidence and justification.

Once the decision to evict is made, landlords must ensure they complete the Section 8 notice properly. Failure to do so can result in delays or the dismissal of the case. Key points to remember:

• Correct Form – Ensure that you use the latest prescribed Section 8 notice form, updated with the amendments in the Renters’ Rights Bill.

• Notice Period – The Renters' Rights Bill has extended the notice period from two weeks to four weeks. This gives tenants more time to prepare for their eviction or remedy the situation, which could prevent the eviction from proceeding. However, for more severe cases that require pertinent action to be taken such as crimnal activity or or anti-social behaviour the notice period remains nill and court proceedings can begin immediately.

• Grounds for Possession – Clearly state the grounds for possession on the notice and provide all necessary details that support your claim. Attach any supporting documents, such as rent arrears records or communication logs. For the full updated list for "Grounds for possession" click here.

After filling out the notice, it must be properly served to the tenant. Service can be done in person, by post, or electronically if agreed in the tenancy contract. Make sure you obtain proof of service to avoid potential disputes in court.

Landlords should be aware of several potential drawbacks when pursuing eviction through Section 8. The revised process is lengthier, and tenants may have stronger legal standing to counter the eviction. Common counter-claims include:

• Disrepair – Tenants may claim the property is in disrepair and that the landlord has failed to carry out essential maintenance. If successful, the tenant could argue that rent should have been withheld, nullifying arrears-based grounds.

• Retaliatory Eviction – If a tenant has recently raised complaints about the condition of the property or other issues, they may claim the eviction is retaliatory. This can result in the court refusing possession.

Counter-claims not only delay the process but can also lead to legal costs for landlords. It’s essential to have documentation proving that the property has been well-maintained and that eviction is based on legitimate grounds.

Evicting a tenant through Section 8 can be both costly and time-consuming. With the new regulations, landlords should be prepared for:

• Legal Fees – Hiring a solicitor to represent you can be expensive, particularly if the case becomes complicated or if tenants counter-claim.

• Court Costs – Landlords must pay court fees, which can increase significantly if the case requires multiple hearings.

• Timescales – The entire process, from serving notice to obtaining possession, can take several months.

Under the new rules, with the increased notice period and the potential for adjournments due to tenant counter-claims, landlords may not regain possession for six months or more.

Given the complexities of the new eviction process, landlords may find themselves looking for alternatives to ensure their rental income is secure. One such solution is a guaranteed rent scheme. These schemes offer landlords peace of mind by guaranteeing rental income regardless of whether the property is occupied or the tenant is paying rent.

With guaranteed rent schemes, a management company takes over the property, handles tenant relations, and pays the landlord a fixed rent every month. This removes the burden of chasing late payments, dealing with problem tenants, or navigating the complicated eviction process.

The benefits include:

• Guaranteed income – Even if the tenant falls into arrears, landlords continue to receive a steady stream of rent.

• No hassle – The property management company takes care of legal compliance, tenant issues, and repairs.

• Peace of mind – Landlords can focus on property investment without worrying about legal battles or financial loss due to non-paying tenants.

To find out more how guaranteed rent may benefit you contact us by clicking here.

In light of the Renters’ Rights Bill and the more stringent Section 8 process, guaranteed rent schemes offer a stress-free way for landlords to maintain a stable return on their property investments.

Navigating the new Section 8 eviction process can be challenging for landlords, but by understanding the updated rules and taking the proper steps, it is possible to regain possession when necessary. However, for those looking for an easier route, guaranteed rent schemes provide a low-risk alternative to the complexities of eviction.