Landlords interest-free loan scheme now open

The Scottish Government announced support for landlords whose tenants are having difficulty paying rent during the COVID-19 crisis and their landlords can now apply for a Private Rented Sector Landlord COVID-19 Loan Scheme.

The Scheme opened today for applications and all eligible landlords can get 100 per cent of lost rental income for a single property.

The Scheme will support landlords who are not classified as businesses, have five or fewer properties to rent, and have lost rental income due to tenants unable to pay rent because of the COVID-19 pandemic.

The application process will require landlords to confirm they understand the terms of the Coronavirus (Scotland) Act 2020 in relation to eviction proceedings, and that they have discussed rent issues with their tenant and reached agreement on managing arrears.

While all tenants should pay their rent if they can, we recognise the financial pressure people are facing. The Scottish Government encourages landlords to talk to their tenants about rent payment issues. We also expect landlords to be as flexible as possible with their tenants, discuss managing rental payments, and help them find sources of financial support and advice.

Kevin Stewart MSP Housing Minister

Chief Executive of the Scottish Association of Landlords, John Blackwood said: “We are pleased the Scottish Government has taken this first step in helping the private-rented sector weather the effects of the COVID-19 pandemic, which recognises the role private landlords play in the housing system.

Collectively the housing sector needs an approach that protects all parts of housing in Scotland to guarantee we can provide the different types of quality housing we need. We want to continue to work with the government, as well as other public bodies, trade bodies and charities to ensure to achieve that and hope there will be further steps taken soon.

John Blackwood Chief Executive | Scottish Association of Landlords

Image attribution: "Kevin Stewart" used under CC BY 2.0 / Cropped from original