A private landlord who has 110 rental properties on his books in Douglas claims new legislation aimed at improving standards could create a housing crisis.
Ian Abrahams was giving evidence to the House of Keys select committee on the Landlord and Tenant (Private Housing) Bill.
The Bill will make it illegal to operate as a landlord unless you are registered, and meet a set of minimum standards.
But Mr Abrahams described it as a ‘bad act’.
‘Many small landlords will just close down, causing a housing crisis. Many elderly landlords who rent out flats within their own homes will not have the funds to upgrade. Many will just sell off to overseas investors and enforcement will be impossible,’ he said in his submission.
Mr Abrahams told the committee that he had been a private landlord for 30 years – but would ‘give up tomorrow if I could’, However, he felt an obligation to his tenants.
He explained that from the outset he had acted as an unpaid social worker and accommodation officer and had housed people for the Manx Community Housing Trust, various churches, the women’s refuge, rehabilitation units, probation officers, prison welfare officers and even through the Department of Health and Social Care itself.
‘I have no hidden agenda,’ he said. ‘The only thing I want is sensible, workable legislation that is fair to everyone. A lot of my tenants have been with me for more than 10 years and one for 23 years. Many are second generation and one third generation. Many of my tenants have refused public sector properties and have moved out only to return to me.’
He told the committee that he took all tenants and didn’t ask for a deposit. ‘I take DHSS, cats, dogs, children, everybody. Anybody who hasn’t got a roof over their heads they can phone me up and I will get a roof over their head. I will not see someone with a child on the street. I don’t ask for deposits. I take everybody on trust. For every 100 I take on three or four will abuse it.’
He was asked if he insisted on social security paying his tenants’ rent direct, he replied: ‘Yes, otherwise I’m competing with the betting office!’
Mr Abrahams said he didn’t charge for furniture. ‘It might not be the best of furniture – but it’s better than no furniture. That’s why I’m successful in business. That’s why I’m not in any slightest fear of any legislation you might throw at me.’
He showed the committee photographs of his flats that had been wrecked by tenants. ‘That’s what happens when you make a flat beautiful,’ he said.
Mr Abrahams maintained there are no homeless people in the Isle of Man. ‘The situation is not like the UK with people sleeping in doorways or six to a garden shed,’ he said.
He claimed those with no accommodation were either the ‘can’t work, won’t work brigade’, usually young people often with drink-related problems, and those who deliberately make themselves homeless by not paying rent so they can get a new flat in the public sector or get the DHSS to pay their deposit. ‘They just use it as a scam,’ he said.
Mr Abrahams claimed the legislation gave tenants more power than landlords and the Bill discriminated against the private sector. ‘The Bill should be fair and balanced,’ he said.
Tenants could not be evicted for antisocial behaviour, only for rent arrears – and even that process was protracted and unlikely to end with the landlord getting his money back. Committee chairman Chris Thomas MHK pointed out the witness was not there to defend his reputation or his properties.
Mr Abrahams said environmental health had no issues with his properties. But he claimed a member of Tynwald recently made ‘derogatory remarks’ at Tynwald concerning him and his properties. ‘I had to threaten him with legal action. That’s unfortunate,’ he said.