Our Terms Overview
The following commissions are payable by the Landlord to us following the introduction of a tenant who enters into a Tenancy either directly or indirectly or by way of an introduction from an existing tenant found by us for as long as the tenant remains in possession.
Value Added Tax will be chargeable on all commission at the prevailing rate (currently 20%). This rate may change from time to time and the total cost will change accordingly.
LETTING ONLY SERVICE
Our commission is calculated at 9.6% (including VAT) of the gross rent payable for the first year of the Tenancy, subject to a minimum fee of £600 (including VAT). Should the tenant stay on, we do not charge renewal fees. Payment is due in full at the start of the Tenancy. The balance must be paid in full to us at the commencement of the Tenancy; if this is not received then we will deduct our fees from the initial rent received and we will withhold the Tenancy Agreement until the outstanding balance is cleared.
LETTING AND MANAGEMENT SERVICE
Our commission is calculated at 15% (including VAT) of the gross rent payable under the Tenancy Agreement subject to a minimum management fee of £600.00 (including VAT).
PRIOR TO LETTING
Prior to Letting
The property should be professionally cleaned immediately prior to the tenancy commencement, including carpets, windows
Regulations Covering Rental Properties
If you are planning to let a residential property you will need to comply with the regulations below:
All machines, gas appliances and electrical goods should be in full working order, should have been recently serviced, checked for safety and have clear instructions for use.
The Furniture & Furnishings (Fire) (Safety) Regulations 1988 & The Furniture & Furnishings (Fire) (Safety) (Amendment) Regulations 1993
Most new furniture is marked with a display label (a triangle with a smoking cigarette) to show that it complies with this regulation. There should also be a permanent and non-detachable label stating compliance. Bed bases and mattresses are not required to bear a permanent label but compliance will be indicated if the item has a label stating that it meets BS7177. The aim of the regulation is to improve safety by requiring all furniture and furnishings in rented properties to meet the “match test” or “cigarette test”.
The regulations apply to all upholstery and upholstered furniture and
Electrical Equipment (Safety) Regulations 1994
You are responsible for providing instruction books for all items of electrical equipment for your tenant. Appliances are not safe if written instructions are not provided. You are responsible for ensuring that all electrical installations and appliances within the Premises comply with the above Regulations. Electrical equipment including wiring must be safe and an NICEIC registered electrician should carry out a visual inspection prior to the commencement of the Tenancy.
Gas Safety (Installation and Use) Regulations 1998It is a criminal
Energy Performance Certificates in Let Property
From October 2008 agents will need to get EPCs for properties that they are marketing to new tenants. The EPC will then need to be renewed every ten years. The provisions are part of The Energy Performance of Buildings (Certificates and Inspections) (England and Wales) Regulations 2007 SI 2007/991. This can be found in full at https://www.opsi.gov.uk/si/si2007/uksi_20070991_en_1.
The requirement is set out in regulation 5, which demands that a prospective tenant
Other important considerations for Landlords before Letting
Written consent must be obtained from your Mortgage Provider/Freeholder (if
The Inland Revenue must also be informed within 6 months of letting your property, flat or apartment in the UK and failure to do so will incur penalties, interest
Mail should be redirected with the Post Office.
Further copies of keys will need to be provided, at least two if we are acting for you.
PRESENTING YOUR PROPERTY
- The quality of decoration both to the interior and exterior may substantially affect the level of rent achievable and the
- Keep carpets, curtains and walls neutral
- Kitchens should be well equipped. Ideally with dishwasher, large fridge/freezer, washing machine, separate drier
- Bathrooms should be well fitted with a good shower
- Gardens should be well maintained
- Exterior decorations should be in good order and door furniture in proper working order
Furnished or Unfurnished?
Landlords enjoy the same legal protection whether the property is furnished or unfurnished.
An Inventory and Schedule of Condition is essential for the proper management of your Premises, whether they are let furnished or unfurnished, to reduce the risk of a dispute arising in respect of the
We will arrange for the compilation of the Inventory by an independent inventory clerk. You will be responsible for the fee. Charges made by the inventory clerk will be based upon the time taken to prepare the Inventory and Schedule of Condition. We cannot accept any liability for errors or omissions on their part unless it is as a result of
In the event that any dispute concerning loss or damage to your property is not amicably resolved then the matter will be referred to the Courts and arbitration but should be noted that any judgment will be on the basis of written documentation – the Inventory.
A check-out of the Inventory and Schedule of Condition will be carried out at the end of the Tenancy. Our Agreements make it clear that the tenant will pay for the cost of the check-in and the Landlord pays the cost of the check-out.
You will need a comprehensive Tenancy Agreement setting out the rights and obligations of both parties. Where the tenant is an individual you will also need to have regard to the Unfair Terms in Consumer Contract Regulations 1999 and guidelines prepared by the Office of Fair Trading which states that any clause in a contract which is unfair to the tenant could be void and therefore unenforceable.
If the applicant is an individual and the net rent is £100,000 or less per year we will use an Assured Shorthold Tenancy Agreement. There is no longer a minimum period for such
If the net rent payable is £100,000 or more per year or at a proportionate level for a shorter tenancy, the Tenancy Agreement cannot be an Assured Shorthold. You will need to use a Common Law Agreement. Although this is not governed by the Housing Act 1988 it is nevertheless subject to other statutory regulation (e.g. Protection from Eviction Act 1977). A Common Law Agreement is individual to each let.
This is a Tenancy which is subject to
Tenancy agreements can be for a fixed duration, run from month to month (i.e. a periodic tenancy”), or be a combination of the two. A fixed term contract will give you more certainty, whilst the periodic tenancy will give you more flexibility.
All tenancies must be terminated by serving the tenant with a valid
At least three references will be taken:
Previouslandlord, if applicable.
If you are letting to a company, a company search is imperative if the company is not a household name, and in addition, the following references will be requested:
CONSENT FOR LETTING
You must provide us with sufficient documentary evidence to satisfy us that you are legally entitled to grant a Tenancy of the Premises.
Where the Premises are subject to a mortgage, we will need your mortgagor’s written consent to the proposed letting as soon as possible and in any event prior to any Tenancy commencing. The mortgagor will normally wish to see a copy of the draft Tenancy Agreement. The mortgagor may charge you a fee for giving their permission.
It is essential that the Premises and contents included in the Inventory are adequately insured and that your insurers are aware that the Premises are let. Failure to do so may invalidate your insurance. You must inform your insurers whenever the Premises remain vacant for a period greater than specified in your insurance policy and you must check that third party liability is included under your insurance policies We will not be responsible for the renewal of your insurance
The Inland Revenue has special rules regarding the collection of tax on rental income if you are a Landlord who is resident overseas, or you subsequently move abroad. If you fall into this category it is your responsibility to obtain a tax approval number from the Inland Revenue. The relevant form and guidance notes can be
UTILITIES AND COUNCIL TAX
When we are managing the property, we will notify the electricity, gas, water companies
COLLECTION OF RENT
This is usually done on a calendar monthly basis and is forwarded to the Landlord via any previously approved method after any agreed deductions have been made for contractors etc.
We will pay the said rent less our agreed fees and expenses into your nominated bank/building society account within 30 days of receipt of cleared funds from the tenant. Monthly statements of account will be sent to you not less than once in every three months.
We will collect the deposit together with the rental payment from the tenant at the commencement of the Tenancy. The
At the end of the
In accordance with the Tenancy Deposit Scheme for Regulated Agents, Landlords will not be able to hold a deposit for an Assured Shorthold Tenancy Agreement unless he or his agents are a member of an approved scheme. This took effect in April 2007. In order to protect
At the end of the
MAINTENANCE OF THE PREMISES
Sections 11 to 16 of the Landlord and Tenant Act 1985 state that you must:
keep the structure (including the drains, gutters and
keep the appliances for
keep the appliances for
keep the sanitary appliances in repair.
We do not arrange repairs if you use our Letting
Thinking of renting out your property? If so, here is some information to assist you with the letting and to encourage you to make use of our services.
Residential tenants in the UK have a very high level of protection from unreasonable interference and harassment. This protection is afforded to them by law and custom. Where a landlord lets a property to a tenant they will give up much of their control of the property for the tenancy term. Access to the property can only be sought upon seeking the tenant’s
Information Regarding Aspects of Letting
- Tenancy Type
There are several different types of tenancies in England and Wales with several different types of statutory regimes.
- Rent Act
Historically tenancies were covered by the Rent Act 1977. These tenancies can no longer be created and are generally dying out. However, these tenancies provided a very high level of protection to tenants for life and benefitted from
- Housing Act
The vast majority of tenancies created today now fall under the Housing Act 1988. The Act applies where tenancies are created on or after 15 January 1989 and
- Common Law
Contractual Tenancies where the rent exceeds £100,000 per annum. These tenancies are not governed by any specific statute but are a contractual arrangement between the landlord and tenant.
- Deposits and Inventory
There are no restrictions on deposits levels in England and Wales
The deposit schemes all offer a free adjudication service in the event of a dispute in respect of any deductions from the deposit. In order to consider such disputes, the schemes will expect to see a comprehensive inventory. It is often the case that landlords do not arrange for an inventory or arrange for a poor quality inventory and this makes it impossible to show that the condition of the property has deteriorated over the course of the tenancy term. In the absence of any proof of deterioration, the landlord is unlikely to be successful in his claim to make deductions from the tenant’s deposit.
If you are thinking of letting your flat or a property where you have a superior landlord, then you will need to seek their permission to let. Insurance companies, Mortgage companies
- Advertising the Property
Property adverts must be accurate. False advertising is a criminal
All properties on the rental market must have an Energy Performance Certificate (EPC). The EPC provides potential tenants with an estimate of the cost to heat and light the property and recommend works which could reduce these costs if carried out. The EPC uses a rating system based on the letters A to G and from 2018 properties with a rating of E or below will no longer be rentable unless improvements are made or it is not possible to make improvements.
Landlords may be selective in respect of their tenants but they cannot discriminate unlawfully. Such discrimination is a breach of the Equality Act 2010 and can include a refusal to let to people of a particular religion or sexual preference. Disabled tenants can ask for non-structural reasonable adjustments, such as handles along the stairs and it would amount to discrimination if the landlord refused the tenant because they asked for the adjustments.
- Gas Safety
It is compulsory throughout the UK for landlords to have gas appliances checked annually. These checks must be carried out by Gas Safe approved engineers and a copy of the certificate must be given to the tenant. It is the Health and Safety Executive that enforces this requirement and landlords can face a prison term and/or a fine for failing to comply in the most serious cases. As with deposits, landlords are not able to issue a valid Section 21 notice if the Gas Safety certificate has not been given to the tenant.
- Electrical Safety
In the UK there is no specific legal requirement to obtain certification for the electrical appliances in a rental property. For Houses in Multiple
However, the government has passed the Housing and Planning Act 2016 in England which allows for regulations to be made in respect of electrical safety. At
- Fire Safety
Properties should be fire safe and should include an adequate means of escape in case of fire. Landlords should carry our fire risks assessments and should provide tenants with written instructions on how to operate any fire safety equipment and the procedure to be adopted in the event of a fire.
It is a legal requirement for all properties to have at least one battery powered smoke alarm on each
All soft furniture and furnishings must meet appropriate fire regulations. Most modern furniture will meet the required standard and include appropriate
- Property Standards
- Immigration and the Right to Rent
Landlords in England are obliged to check the immigration status of their tenants. In order to comply with the
New provisions in the Immigration Act 2016 came into force on 1 December 2016. These provisions require landlords to evict their tenants if they receive notice from the Secretary of State that the tenant/s do not have the right to rent. These new provisions have resulted in changes to the Section 8 notice served by landlords or their agents under the Housing Act 1988.
- How to Rent Guide
- Rent to Rent
Landlords that rent properties to a tenant who
- Penalty Notices and Rent Repayment
The Housing and Planning Act 2016 (H&PA) creates new penalty notices of up to £30,000 in respect of all matters which are
- Banning Orders and the Database
In addition to the Electrical Safety
Furthermore, if a person has been served with two fixed penalty notices or prosecuted they can be added to the database of rogue landlords. This will allow other local authorities to find out about them and use that information to make decisions about licensing. Addition to the database is for a minimum period of two years.
The private rental sector is subject to a huge increase in legislation and will continue into the foreseeable future. It is possible that other regulations will be introduced at relatively short notice. Landlords can help guard against being caught out by these changes by using a
67 Turney Road
Tel: +44 (0) 20 7733 4518
Fax: +44 (0) 20 7737 0890
Sue Lightbody – Proprietor
Katy Bowyer – Office Manager