You need to be able to trust the advice and valuation given to you by a letting agent.
Here at Neil King Residential our experienced team have for many years been dealing with all aspects of property letting/management and are able to advise you on any matters including current legislation.
LETTINGS & MANAGEMENT
Landlords Guide
&
Terms & Conditions
Introduction – Letting your property can be a complicated process, one which many landlords have found to be a stressful and harrowing experience. We at Neil King Residential aim to ensure that the letting and on going management of your property is dealt with in a professional and competent manner offering security and confidence.
The notes contained herein are designed to answer some of the questions you may have. Alternatively we at Neil King Residential are always available to offer advice and assistance for any queries that you may have.
Fire and Safety Regulations – It is illegal to let a property containing items of furniture that do not comply with current safety requirements as laid out by The Furniture and Furnishings (Fire) (Safety) Regulations 1988 and The Furniture and Furnishings (Fire) (Safety) (Amendment) Regulations 1993. Any items of furniture older then 1950 are exempt from the above. Most items purchased from 1993 should comply but we at Neil King Residential are able to advise should you have any queries.
Gas Safety Certificates – It is illegal to let a property without a current Corgi test certificate. Under The Gas Safety (Installation & Use) Regulations 1998 it is the landlord’s responsibility to ensure all gas installations and appliances are maintained in safe working order. The Corgi test certificate lasts 12 months and must be renewed whilst there is a tenant in the property. We at Neil King Residential can recommend and organize a Corgi Registered Engineer should you require one.
Electrical Safety – The Electrical Equipment (Safety) Regulations 1994 states that the landlord must ensure that all electrical appliances are safe and in good working order. A visual inspection of all electrical appliances should be carried out to ensure there are no obvious faults. We at Neil King Residential can recommend and organize an EIC Registered Electrician to carry out an electrical test where upon the Landlord would receive a 12 month EIC certificate.
Energy Performance Certificates (EPC) - being introduced to help improve the energy efficiency of buildings. If you are renting a home you now need a certificate by law. From October 2008 EPCs will be required whenever a building is built, sold or rented out. The certificate provides 'A' to 'G' ratings for the building, with 'A' being the most energy efficient and 'G' being the least, with the average up to now being 'D'. Accredited energy assessors produce EPC’s alongside an associated report which suggests improvements to make a building more energy efficient.
Insurance – It is the landlords responsibility to ensure that the property and contents included within the let are insured. Items brought into the property by the tenants remain the tenants responsibility to insure.
Tax – As a landlord you are liable for income tax on the net income received from the let property. It is your responsibility to inform Inland Revenue of this income. If as a landlord you reside overseas then the Inland Revenue Non-Resident Regulations will apply. It is advisable to speak to an accountant to obtain exemption from having tax deducted at source. It is possible to offset expenses incurred during the letting of the property and you should therefore retain all invoices and receipts relating to the let of the property. We at Neil King Residential can recommend an accountant that may be able to assist you further should you need any advice regarding your tax liabilities.
General – It is the landlords responsibility to pay any ground rent and or service charges relating to the let property. The tenant is however responsible for all utility charges including gas, electricity, water, telephone and council tax.
If the property being let is subject to finance and the terms of this agreement require consent then you should obtain this consent prior to any tenancy.
Again if the property is leasehold and requires consent to sub-let then this consent should be obtained prior to any tenancy.
We recommend that you as a landlord set up a mail re-direction agreement with the post office. This will avoid any potential loss of mail.
We should be supplied with the relevant sets of keys depending on the number of tenants moving in. We can have additional keys cut on your behalf with your permission. (Note: Under the Management Service we will require an additional set of keys for our use).
Tenancy Agreements – We at Neil King Residential only let properties using a standard Assured Shorthold Tenancy agreement as set under the Housing Act 1988, (As Amended 1996). Under this tenancy agreement the landlord may obtain possession of the property by the service of a Notice Requiring Possession giving at least 2 months notice. This can only take effect once 6 months of the tenancy agreement has elapsed.
Inventory – It is advisable to have an inventory of the furnishings and fittings of the property drawn up prior to any tenancy. This will confirm the furnishings and fittings and this condition prior to a tenants occupation. We use a professional inventory company to carry out all inventory reports who are bonded by the AIIC, (Associated Independent Inventory Clerks). The landlord is responsible for the inventory report.
Check In / Out – It is also advisable to carry out a check in when the tenant moves into the property. This will confirm the condition of the property on point of move in and then again when the tenant moves out. Again we use a professional inventory company to carry out all Check In / out reports who are bonded by the AIIC, (Associated Independent Inventory Clerks). The tenant is responsible for the Check In report whilst the landlord is responsible for the Check Out report.
Finding a Tenant – We at Neil King Residential will endeavour to find you the landlord a suitable tenant. Once we have agreed a monthly rent with you the landlord and the prospective tenant we will request 1 weeks rent from the prospective tenant to secure their interest and offer you some security. We will go through a series of formal procedures to verify a prospective tenant’s suitability including referencing and credit checking. Please note that should the prospective tenant’s references return un-satisfactory to the degree that would inhibit us in moving the tenant into the property then the prospective tenant would lose their deposit which would be forwarded to you the landlord in full. Ultimately the decision to accept a prospective tenant lies with you the landlord and should you wish to meet them prior to them moving in then we will of course arrange this.
Deposit – We at Neil King Residential request a damage deposit amounting to the equivalent of 5 weeks rent. In some instances a higher amount can be requested if the property being let has furnishings and fittings to warrant. The damage deposit is held against possible damage to furnishings and fittings during the duration of the tenancy period. The damage deposit is lodged with ‘My Deposits’ as per the Housing Act 2004. Further information on this can be obtained from http://www.mydeposits.co.uk/.
Guarantors – If we at Neil King Residential are concerned with a tenant’s ability to pay the rent, for example should the tenant be a student then with you the landlords consent we will request that the tenancy agreement is subject to a guarantor being in place. In this instance we shall carry out the relevant referencing and credit checking on the guarantor.
Terms and Conditions
Let Only Service – Under the Let Only Service, Neil King Residential will endeavour to provide the following services:
1. To prepare details for the purpose of marketing. To advertise where we consider to be the most effective according to market conditions and historic advertising response levels.
2. To negotiate an acceptable monthly rent and term between the landlord and the tenant. To carry out referencing on the tenant including credit checking.
3. To prepare an assured shorthold tenancy agreement for the monthly rent and term agreed in accordance with. To collect 1 calendar month’s rent in advance and the damage deposit in cleared funds.
4. To organise the Inventory, (at the landlords cost) and the Check In, (at the tenants cost).
5. To forward the monies to the landlord via either bank transfer or cheque minus our agreed fee.
Management Service – Under the Management Service, Neil King Residential will endeavour to provide the following services.
1. To prepare details for the purpose of marketing. To advertise where we consider to be the most effective according to market conditions and historic advertising response levels.
2. To negotiate an acceptable monthly rent and term between the landlord and the tenant. To carry out reference on the tenant including credit checking.
3. To prepare an assured shorthold tenancy agreement for the monthly rent and term agreed in accordance. To collect 1 calendar month’s rent in advance and the damage deposit in cleared funds. To provide an inventory of the property and check the tenant in including taking meter readings. To write to the relevant utility companies advising them of the new occupies details.
4. To organise the Inventory, (at the landlords cost) and the Check In, (at the tenants cost).
5. To respond to any disrepair reported to us from the tenant during the duration of the tenancy. To inform the landlord of any such reports so that action may be taken.
6. To comply with all reasonable instructions received from the landlord in relation to the management of the property in accordance to the principles of good management.
7. To carry out a check out once the tenant has vacated the property and advise the landlord of any discrepancies with the inventory and state of the property.
8. To forward the rent to the landlord minus our agreed fee on a monthly basis. The landlord can choose to receive this either by bank transfer or cheque.
