With the Tenant Fees Bill now published in draft form, the reality of the situation may only just be starting to dawn on lettings agencies. This legislation, which prohibits all fees that do not fall under the rent, security deposit and holding deposit banners, is going to be passed in the spring, and it is going to have a significant effect on the industry as smaller agencies are forced to fold and bigger agencies see their profits dwindle.
It's not all doom and gloom though - agencies now get to be creative when it comes to finding ways to maintain those revenue streams. One of the most difficult, but one of the most rewarding, ways to do that could be by moving into residential block management and operating within that as well as within the residential lettings sector.
However, block management isn't a sector you can simply slide into and begin to be successful in at once - there are a wealth of differences between it and lettings, and you’ll need to know what those differences are before you even start thinking about how you can get into block management.
Compliance is a huge part of block management that you'll need to be familiar with before you start offering block management as a service - for instance, it's important to know about the obligations associated with serving a Section 20 Notice and the legal obligations around consultations relating to building work and safety regulations. Additionally, the pieces of legislation that you need to know about are different, the relationships between key stakeholders are more complicated and the skills and risks differ from those associated with the lettings sector. It's important to ensure that anyone working on your agency's behalf in the block management sector is fully trained and knowledgeable about the sector.
That's why we've created an eBook designed to give you that initial information and help you consider whether block management is an area that you want to get involved in throughout the coming months and years, with the help of block management software. We've also picked the brains of Mike Basquill, UK Residential Associate Director of RICS, to add insight and knowledge to what is one of our biggest and most informative eBooks to date.
The eBook, entitled Block Management: a Great Opportunity for Letting Agents?, is completely free to download - let us know if it's helped you! You can click on the link below to download it.