Fair rents were a way that rents were set by a disinterested party, The Rent Officer, who decided the rent on the basis of a number of issues. The Rent Officer has to compare the property to be registered with others that are let at open-market rents. They collect a wide range of evidence of rents in the area to guide them. Adjustments are made for any improvements carried out by the tenant so that they will not be charged for anything installed at their own expense. If the tenant has caused disrepair, the Rent Officer will not adjust the rent for this. However, the Rent Officer will consider other disrepair at the property and any furniture provided by the landlord, as well as all other relevant matters.
The law is designed so tenants do not pay rents that are too high simply because of a general shortage of the type of property they occupy. A Fair Rent is based on what a tenant would pay and what a landlord would accept if there was no shortage of properties to let.
LCNC feel this is a fairer and more economically sustainable way of setting rents than purely market forces. LCNC will use these principles to set and monitor rent levels for itself.