Landlords information
Dear prospective Landlord,
May we firstly thank you for your initial interest.
lettingspeople.com is an independent, innovative and vibrant company specialising in lettings and management, providing a professional service on a friendly level whilst being fully committed to delivering results.
Our team of professionals are on hand to look after your investments from our prominently located office on Southchurch Road, Southend on Sea. We are committed to ensuring lettingspeople.com, remain the areas leading rental specialists.
Many agents offer an array of services including selling homes, selling overseas properties, arranging mortgages, whilst letting your property as a sideline - we don't!
lettingspeople.com - 'dedicated to letting your property'
Whether you already own or intend to purchase residential property for investment, lettingspeople.com offer expert advice throughout the letting process.
With comprehensive lettings experience, state of the art software packages and an in depth knowledge of the property market, we pride ourselves on offering a pro-active, unique and personalised approach.
Our service is individually tailored to our landlords whose needs and expectations are of paramount importance to us, at the same time still being able to provide tenants with an honest and reliable service.
We hope you find our Landlord Guide informative and look forward to hearing from you.
Yours faithfully,
Nick Secunda,
Director,
lettingspeople.com
The first step
We will arrange an appointment to visit your property to discuss the current market value. The rental figure will be based on the location, size, furnishings (if any) and the overall decorative condition of the property. We may refer to comparable properties, which we have let in the surrounding area (and provide you with examples, if required).
Marketing your property
When we receive instructions to market your property, we will confirm our fees in writing and ask you to sign and date our Terms of Business.
Our rental homes are advertised via our own website www.lettingspeople.com, plus on the top national property portals:
Together with colour advertisement in the local press. Particulars of the property will be issued by SMS text messaging, emailed, and telephoned to our large and regularly updated mailing list of suitable applicants, plus displayed in the window of our prominently located office on Southchurch Road.
All potentially suitable applicants will either be accompanied to view the property, if keys are held by lettingspeople.com, or a mutually agreeable appointment time will be arranged.
The applicant
Once an applicant has shown an interest in your property, we will require an initial holding deposit in the sum of half a month’s rent, which is held as a security of their interest. The property will then be removed from our current listing whilst we obtain the relevant references.
We require the following references on potential Tenants:
- Employment Reference
- Previous Employment Reference (if the Tenant has been with current
employer for less than six months) - Bank Status Enquiry
- Credit History Check & Score
- Voters Roll Check
- Undisclosed Address and County Court Judgement Check
- Current/Previous Landlord/Letting Agent reference
- Accountant’s reference (if Tenant is self-employed)
- Proof of identification
- Guarantor (if necessary)
- Guarantor Bank Status Enquiry
- Guarantor Employment Reference
If the Tenant has been in their current employment for less than six months, or has been self-employed for less than two years, a Guarantor is required to sign a legally binding document that attaches to the Assured Short-hold Tenancy Agreement.
Once we have received all the relevant references, we will send a copy to you for your approval. Should you be satisfied with the references, we will ask you to confirm this decision in writing. We will then liaise with you and the Tenant to arrange a moving in date.
Assured Shorthold Tenancy Agreements are either six or twelve month terms. However we always recommend initially issuing a six-month term.
The law on gas applicances
A GAS SAFE Registered Gas Installer is required to check all gas appliances in rented accommodation on an annual basis. This is compulsory under the Gas Safety (Installations & Use) Regulation 1994-1998 (as amended).
It is the responsibility of the Landlord or your Agent to arrange for these checks to be carried out.
As your Letting Agent, we will require a copy of a current Gas Safety Inspection Certificate before allowing any Tenant to take possession of the property. We will retain one copy for our file and will provide the Tenant with a copy. A record must be maintained at all times throughout the tenancy to ensure this Certificate is renewed on an annual basis.
All engineers carrying out Gas Safety Inspections or any other works on any gas appliances provided at the property must be GAS SAFE registered. The Health & Safety Executive enforces these regulations. Further information can be obtained by contacting the HSE Safety advice line on 0800 300363.
The regulations on electrical appliances
The Electrical Equipment (Safety) Regulations 1994 has been mandatory from 1st January 1997. These regulations state that all electrical appliances supplied within lettings accommodation must be safe. Landlords have a duty of care to ensure that all electrical appliances and the electrical supply are safe and will not cause danger to the tenants.
It is therefore recommended that a qualified electrician carries out the necessary checks to ensure the property is compliant with Part P of the Building Regulations and provide an electric inspection report.
lettingspeople.com can arrange for the appropriate Electrical Safety Inspection to be carried out on your behalf by qualified electrician prior to the letting and also carried out thereafter at the required intervals.
The regulations on soft furnishings
With effect from 1st March 1993, all upholstered furniture in rented accommodation must comply with the fire resistance requirements of the Furniture and Furnishings (Fire)(Safety) Regulations 1988 (as amended).
Furniture made before 1st January 1950 is excluded from these controls. Bedclothes, carpets, curtains, and pillowcases are also excluded.
Each piece of furniture that complies with these regulations (except beds and mattresses) should have a rectangular label permanently attached to it with the heading “CARELESSNESS CAUSES FIRE”. This label has a blue border with white lettering and black cigarette and flame symbols.
If the furniture does not have this label or was made before 1988 it will probably not comply with these regulations.
Failure to comply with the Furniture and Furnishings Regulations may constitute a criminal offence under the Consumer Protection Act 1987. This carries a maximum penalty on summary conviction of a £5000 fine and/or 6 months imprisonment.
We would also recommend fitting smoke alarms to each floor of your property before any Tenant(s) take possession. The 1991 Smoke Detectors Act may only apply to alarms being fitted in new buildings, however, if a smoke alarm is not supplied you will fail to meet the correct level of “Duty Of Care” that is reasonably expected by any Landlord. Thereafter, once the smoke alarm has been installed at the property, it is the Tenant(s) responsibility to replace the battery and ensure the alarm is in good working order.
Energy performance certification
Due to EU legislation as from 1st October 08 if you are renting your property, you will need to provide an Energy Performance Certificate (EPC) to prospective tenants.
This certificate will show how energy efficient you property is on a scale of A-G with A being the most efficient. The EPC will make recommendations about how a property’s energy efficiency can be improved, and will show the potential rating if these works were carried out. The average property in the UK is rated D-E. The certificate will be valid for up to 10 years. If a valid EPC is issued there is no requirement for a new EPC to be issued when changing tenants.
You are under no obligation to implement the recommendation although by doing so you may be improving the desirability of your property to prospective tenants. Local trading standard officers will police the legislation and landlords/agents who do not produce the EPC could be fined up to £200.00 per day until the EPC is issued.
All Landlords have a duty of care to their tenants.
This duty is covered by a number of laws and regulations. Everything reasonably possible should be done to ensure your tenants safety in the rented property.
Moving in day
Prior to allowing the Tenant to take possession of the property, we will require the balance of the monies in cleared funds. The Tenant will sign a fixed term 6/12 month Assured Shorthold Tenancy Agreement and complete a Standing Order Mandate.
A detailed Inventory listing the quantity of furniture (if any) and the overall condition of the property is checked and signed by the Tenant along with a lettingspeople representative. Both parties note meter readings.
The tenant is responsible to inform utility companies advising them of occupation by fax/post. At the expiry of their tenancy they we be requested to provide information showing their utility accounts are up to date.
Once all the above items are completed the Tenant(s) are provided with a set of keys to the property. If possible, we do ask for a spare set of keys to be provided, which we will retain at our office in case of an emergency.
Deposit
We require one month’s deposit from our Tenants, which as your Managing Agents, we would retain during the tenancy. The deposit is returned to up to 10 days after the end of the tenancy, subject to a satisfactory final inspection.
From 6 April 2007, when you pay a tenancy deposit for an assured shorthold-tenancy, the landlord or letting agent must protect the deposit through a Government-backed tenancy deposit scheme.
The Government has introduced the schemes to protect tenancy deposits and provide a fairer system for settling disputes about the return of a deposit at the end of a tenancy. With the new schemes, an independent service helps to resolve disputes about deposits at the end of a tenancy.
lettingspeople.com are members of the Deposit Protection Service which is an independent company established to resolve complaints and disputes arising in the private rented sector speedily, cost-effectively and fairly.
Fees
We specialise in a full letting and management service and also offer a let-only service on a Sole Agency basis. Our Letting Fee is deducted from the first month’s rental received from the Tenant on the commencement date of the tenancy.
Our Letting Fee (Let Only) includes the following services:
- Advertising in local press
- Company internet website and Rightmove website, and other popular property portals
- Window display at our prominently located office, as well as details forwarded to our large registered listed applicants.
- Seeking prospective Tenants and arranging viewings of your property
- Interview and obtain referencing on the prospective Tenant.
- Preparation of Assured Short hold Tenancy Agreement.
- Preparation of appropriate notices.
Our Management Service includes the following services:
- Advertising in local press
- Company internet website and Rightmove website, and other popular property portals
- Window display at our prominently located office, as well as details forwarded to our large registered listed applicants.
- Seeking prospective Tenants and arranging viewings of your property
- Interview and obtain referencing on the prospective Tenant.
- Preparation of Assured Short hold Tenancy Agreement.
- Preparation of appropriate notices.
- Preparation of detailed, and photographic inventory listing.
- Holding the deposit monies from the Tenant.
- Registering the deposit with the Tenancy Deposit Scheme
- Collecting the monthly rental payment and make payments to Landlord.
- Forwarding copy of monthly payment statements to Landlord.
- Inspecting the property every three months and forwarding Landlord written report of visit.
- Arranging any necessary repairs or maintenance.
- Arranging access for Landlord or Contractors with Tenant.
- Arrange and liaise with Tenant and Landlord for renewal of tenancy term.
- Preparation of renewal Tenancy Agreement’s.
- As Managing Agents we would be the Tenants source of contact and would manage any queries from the Tenant throughout the tenancy.
- Arrange for Gas & Electrical safety checks as required.
- Serve appropriate notice for repossession.
- Remarketing of property during notice period if required.
- Checking out Tenants from the property and forwarding check report to Landlord.
- Negotiate with Tenant/Landlord regarding return of deposit monies.
Rent
At the commencement of a tenancy, the Tenant is required to complete a Standing Order Mandate, which will allow our fully computerised system and online banking to check monthly rental payments.
We then transfer these monies into your nominated account on a monthly basis via automated bank transfer. An itemised statement advising you of all transactions is forwarded to you every month for your records.
Maintenance
The Tenant is required to report any faults discovered at the property promptly to our office, the details of which are logged immediately and a job sheet is faxed to our appropriate contractor. As your Managing Agent, we generally ask for approval to authorise works up to and including the sum of £100. No major works are undertaken without the Landlords consent.
lettingspeople.com can also if required, arrange and coordinate refurbishment projects, with our extensive network of contractors.
Inspections
We will carry out regular Management Inspections at your property every three months. These inspections will consider the standard to which the Tenant is maintaining your property and noting if any action is required. A report is compiled and forwarded to you detailing any action required and also the condition of the property.
Notice
75 days prior to the expiration of the tenancy, a letter will be sent out to you and the Tenant asking if both parties would like to renew the tenancy agreement.
Once we have received written confirmation from both parties, a new six/twelve month tenancy agreement will be issued. Depending on current market value at the time of renewal, we may increase the monthly rental figure prior to the new tenancy agreement being issued, at which time the Standing Order and amount of deposit held would be increased accordingly.
Should you require possession of your property, we would serve a Section 21 (1)(b) Notice to the Tenant on your behalf, at least two months prior to the expiry date of the tenancy.
If the Tenant does not wish to renew the tenancy at the end of the term, we would require written notice at least one month prior to the expiry date of the tenancy.
Moving out
At the end of the tenancy, a company representative will attend your property to carry out a Final Management Inspection. This inspection will check that all items are present as listed on the Inventory signed by the Tenant at the commencement of the tenancy and the general condition of the property will be inspected, all keys will be collected, meter readings will be taken and a forwarding address will be required from the Tenant.
A report will be compiled and forwarded to you. Any repairs or cleaning we consider necessary will be deducted from the Tenant’s deposit. Once these works have been completed, we will require your written consent to return the agreed amount of deposit to the Tenant.
Taxation
When a Landlord is resident in the UK, it is your responsibility to inform the Inland Revenue of rental income received. A Landlord who is outside of the UK is classified as Non-Resident and we are legally obliged to deduct tax at the standard rate of 20% from the rental received and to settle any tax demands that may result.
Alternatively, we would ask you to complete an NRL 1 form, which we would forward to the Inland Revenue on your behalf. If you are to be a Non-Resident Landlord, we would suggest that you consult an Accountant or Professional Adviser to ensure the maximum possible relief is claimed on all your expenditure.
Mortgage
If your property is mortgaged, you should obtain written approval from your Building Society or Bank prior to letting your property.
Leasehold
We would also advise that you check with your Solicitor to confirm if your Lease contains a covenant forbidding the letting of your property, as written permission from your Freeholder may be required prior to letting your property.
Insurance
Please ensure that you advise your Insurance Company of the proposed letting of your property at an early stage in order that their records can be updated accordingly in anticipation of a possible claim being made during the tenancy.
Landlord’s protection
As an appointed Lets XL agent, we offer the full range of services available to Landlords including:
- Landlords Content Insurance
- Limited Contents Cover
- Legal Expenses
- Landlords Rent Guarantee
We would be delighted to answer any questions you may have regarding the above Lets XL services.
Should you require any further information, or would like to arrange for us to visit you at your property, please do not hesitate to contact us.
We look forward to hearing from you.
lettingspeople.com
