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Information for Landlords
This article outlines some important Information for landlords. In recent years the private rental sector has enjoyed unprecedented growth, encouraged by favorable legislation, government policy, and strong market force. With low returns and prospects from the stock market, pensions and savings, people have invested massively in property, to provide a combination of both income and capital growth.
The majority of landlords have minimal or no experience in letting and managing their own properties. Successful "landlording" demands many things such as, thorough market research, careful and selective property investment, a prudent approach to finance, knowledge of the rules and sound property management practice using the best resources available. Landlords must have sound knowledge of the following Information for landlords:
1. ARLA Membership
A Landlord should seek out an ARLA (Association of Residential Letting Agents) Member firm for probity and protection. It leads certain levels of professionalism and commitment to customer service from its membership.
2. Safety
There are specific legal obligations and responsibilities on a landlord with regard to Fire safety for Furniture & Furnishings; Gas supply and appliances; plus Electrical wiring and appliances.
3. Insurance
Landlords should take care to review any existing policies when renting or letting a property for the first time as some standard insurance products will either not provide cover, or might place restrictions on cover, for rented property and/or its contents.
4. Inventory List
To prepare an Inventory List is absolutely essential which is a written benchmark, which should be amended, updated and recreated before the beginning of each new tenancy.
5. Tenancy Agreement
A tenancy agreement is a legally binding contract between a landlord and tenant that sets out both the legal and contractual responsibilities and obligations of the two parties. It should be written in plain and legible language with its terms and clauses fair and balanced and should not mislead about legal rights and responsibilities.
6. A "Break-Clause"
A break clause is to allow either landlord or tenant to give two months written notice at any stage after a particular date or period of the tenancy, thus terminating the tenancy earlier than the end of the original fixed term.
7. Unexpected ending of Tenancy
Either party can request the other that a formal "surrender" of the tenancy be allowed. It would then be up to the parties to agree the terms and conditions of such a surrender. This might include some financial compensation for inconvenience or costs incurred.
8. Raise in Rent
In general terms, rent of an existing tenancy can only be increased annually. Where an assured short hold tenancy holds over as a statutory periodic tenancy, a specific prescribed form must be used to notify tenants of a proposed increase in the rent.
9. Rights of access to The Property
A landlord, or his agent, or someone authorized to act on his behalf has a right to view the property to assess its condition and to carry out necessary repairs or maintenance at reasonable times of the day. The law says that a landlord or agent must give a tenant at least 24 hours prior notice in writing, except in an emergency of such a visit.
10. Repairs & Maintenance Issues
A landlord has a legal responsibility to repair the structure and exterior of the property, including drains, gutters and external pipes; to keep in working order the installations for the supply of gas, electricity and water; and, for the installations for the provision of space and water heating.
11. Renewals and extensions of a Tenancy
The ARLA Agent will normally negotiate between the parties and prepare the necessary formal documentation for a replacement tenancy or fixed term extension.
12. Tenancy Termination
The law is relatively straightforward as long as the right timescales and procedures are followed, along with the use of the correct format of notice.
13. Extended Stay
In case of extended stay even after the lapse of the contract, the landlord can apply to the Courts for a possession order. Under the Accelerated Possession Procedure (which can be used where the tenancy was an Assured Shorthold) the process is usually fairly quick and inexpensive.
The information in this article is designed to provide general information only. Whilst every effort has been made to ensure that the information provided is accurate, it does not constitute legal or other professional advice.
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1st Letting
1st Letting is a residential letting specialist in Coventry and Warwickshire, and is an ARLA member. 1st Letting strives to offer a second to none service with great aftercare, through a small, experienced and caring team.
1st Letting place the safety of its tenants above all else. As such, the need to ensure gas safety, fire and electrical records, and all other areas of compliance, are current and up to date is paramount.
1st Letting place the safety of its tenants above all else. As such, the need to ensure gas safety, fire and electrical records, and all other areas of compliance, are current and up to date is paramount.
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22.01.10
VTUK, the UK’s largest independent property management software supplier, is leading the way in combating climate change by embracing the Government’s Act on CO2 initiative to become a carbon neutral business.
