Understanding the Government’s ‘How to Rent’ guide
As a landlord or letting agent, compliance with the latest regulations is crucial to running a successful rental business and fostering positive tenant relationships. One of the most important rules to be aware of is the mandatory provision of the ‘How to Rent’ guide to tenants at the beginning of a tenancy.
This guide, issued by the Government, helps tenants and private landlords understand their rights and responsibilities and forms part of the ‘prescribed information’ that landlords in England must issue at the start of any new tenancy, or renewal of a tenancy, within 30 days of receiving their deposit.
Here’s an in-depth look at what the ‘How to rent’ guide includes and why it is essential for landlords and letting agents to comply with this requirement.
Download your how to Rent guide
Stay compliant and avoid legal issues by ensuring your tenants have the most up-to-date information.
What is the ‘How to rent’ guide?
The ‘How to rent’ guide is an official document provided by the UK Government’s Department for Levelling Up, Housing and Communities (DLUHC). It is designed to help tenants in England understand the renting process, from finding a rental property to moving out. The guide includes comprehensive information on:
- what to look out for before renting
- living in a rented home
- what happens at the end of a tenancy
- what to do if things go wrong
The guide is regularly updated to reflect current legislation and best practices in the rental market and it’s mandatory for landlords to provide their tenants with the latest version, which can be found on the DLUHC website.
Legal requirement for landlords and letting agents
Since 1 October 2015, it has been a legal requirement for landlords and letting agents to provide their tenants with the latest version of the ‘How to rent’ guide at the start of any new tenancy or renewal of a tenancy. Failure to do so can have significant legal repercussions, including:
- Invalid Section 21 notice: If a landlord fails to issue the ‘How to rent’ guide or issues an outdated version, they lose the right to repossess their property if needed using a Section 21 notice.
Penalties and fines: Non-compliance with this requirement can lead to fines and potential legal disputes, which can be costly and time-consuming. Find out more about penalties that are in place for landlords who don’t meet their obligations in our insurance partner, Total Landlord’s article, ‘Landlord fines: How much are the charges and how do you avoid them?‘
Best practices for providing the ‘How to rent’ guide
To be compliant and avoid legal complications, landlords and letting agents should follow these best practices:
- Use the latest version: Always download the most recent version of the ‘How to rent’ guide from the government website before issuing it to tenants. The guide is periodically updated, and using an outdated version may not fulfil legal requirements.
- Document delivery: Provide the guide to the tenant either in hard copy or electronically. If sent electronically, make sure to obtain confirmation of receipt from the tenant. It is advisable to include this step in the tenancy agreement. If providing a hard copy, make sure to download it directly from the DLUHC website, so you can be sure it’s the latest version.
- Renewals and updates: If a tenancy is renewed, provide the tenant with the latest version of the guide. Also, if updates to the guide are published during a tenancy, it’s good practice to inform the tenant, although this is not a legal requirement.
Benefits of providing the guide
- Informed tenants: Tenants who understand their rights and responsibilities are more likely to maintain the property well and adhere to tenancy terms.
- Reduced need for resolution: Clear information about the renting process can help prevent misunderstandings and issues requiring resolution during and at the end of the tenancy between landlords and tenants.
- Legal protection: Adhering to this requirement protects landlords from legal issues related to the invalidation of Section 21 notices and other compliance-related penalties.
What is the latest version of the ‘How to Rent’ guide?
The Government released a new ‘How to rent’ guide on 2 October 2023, along with a reminder that landlords must serve this version when creating a new AST.
What was updated in the ‘How to rent’ guide?
In the most recent update, pages 15 and 17 of the guide were updated with the details of the new Housing Loss Prevention Advice Service, which went live in August 2023, replacing the Housing Possession Court Duty Service. The service means that tenants facing eviction or repossession can get free early legal advice on housing, debt and welfare benefits before appearing in court, as well as advice and representation on the day of their hearing.
Prior to the latest update, the guide was last refreshed to reflect legal changes including the requirement for carbon monoxide alarms to be fitted in every room with a fixed fuel burning appliance, and that an electrical installation condition report must be provided to tenants.
Find the updated guide on the DHCLG website.
Conclusion
The ‘How to rent’ guide is a fundamental aspect of the rental process in England, aimed at creating a transparent and fair renting experience. For landlords and letting agents, providing this guide is not just a legal obligation but also vital to establishing clarity with tenants and making sure that they are aware of their rights and responsibilities. By staying informed about updates and making sure tenants receive the guide at the start of their tenancy, landlords and letting agents can enhance their professional standards and avoid potential legal pitfalls. For more information on private rented sector legislation, Total Landlord, also powered by Total Property, has created a comprehensive guide, ‘Legislation for landlords: Everything you need to know’.