There has been a lot of publicity and speculation surrounding the idea that there will be a very high number of landlords cashing in during the Olympics, however, they must be aware that it is illegal to let a London property for less than 90 Days without the correct permission.
Property118 have recently blogged about the issue and I thought it was certainly worth reiterating as we have ourselves, on this very blog, discussed the potential for landlords and property owners in London during the summer months.
The reason why I thought today was a good time to raise the issue of the Olympic landlords is, simply, because it is quite a beautiful day outside, and it led to me thinking about the upcoming summer months, which will undoubtedly come round quickly. Before we know it Olympic fever will have taken grip on London!
So, what should landlords be aware of?
Landlords will need to be aware of this little gem:
Section 25 of the Greater London Council (General Powers) Act 1973 provides (as amended by Section 4 of the Greater London Council (General Powers) Act 1983):
– For the purposes of Section 22 (1) of the Act of 1971, the use as temporary sleeping accommodation of any residential premises in Greater London involves a material change of use of the premises and of each part thereof which is so used.
Ensure You’re Legal
So that will mean that if a property is used as sleeping accommodation and occupied for less than a consecutive 90 days and which is conducted through the exchange of money or money’s worth, then it will need to be done with the correct permission from councils. Property owners hoping to make a fortune during the Olympics will have to make sure that they not only have the relevant landlord insurance cover, but that they also seek permission to let properties for a period of less than 90 days.
The councils that have already issued warnings to landlords comprise of Southwark, Tower Hamlets, Islington, Kensington and Chelsea, Westminster and Camden. Furthermore, in some cases landlords may receive fines of up to £20,000 if they were thought to be repeat offenders by the authorities in charge.
So to ensure that you do not face the wrath of your local council, make sure you have the correct permission to let a property for a short amount of time.
If you are a concerned London landlord then it may be worth contacting your local council in order to discuss your options during the Olympics.