Landlords.
At Vizors, we provide a complete Lettings and Management service. Being members of Propertymark, we have comprehensive knowledge and a thorough understanding of the lettings and management sector. This enables us to provide our clients with a first-class service that will always act in their interests.
Whether you’re an investor, looking to relocate, or a homeowner having difficulty selling your property, the ‘Buy to Let’ sector is, without doubt, an investment opportunity.
Below is some guidance for landlords. But don’t forget, we’re here to help.
We suggest you find a local agent associated with a Trade Association such as Propertymark. In choosing us, you have come to the right place.
Propertymark is an independent organisation solely concerned with the letting market. It ensures that its affiliated agents meet specific professional standards and fulfil other strict criteria, such as the provision of a separate client account to collect clients’ money and the availability of a bonding scheme to protect the client in the event of misappropriation of clients’ funds.
Having chosen your agent, you now need to prepare your property for rental. The rental market is competitive; therefore, you must present your property most effectively to obtain the best possible tenants. Below we have compiled a few guidelines to assist you.
Important
considerations
Written consent must be obtained from your Mortgage Provider/Freeholder (if the property is leasehold). Your Insurance Company must be notified that the property is to be rented out and appropriate insurance obtained for a tenanted property. There are specialist insurance companies who can provide this type of insurance.
The HMRC must also be informed within six months of letting your property, flat, or apartment in the UK. Failure to do so will incur penalties, interest and other consequences. HRMC are apt to deal harshly with Landlords who do not declare rental income, and it is always best to seek advice on tax planning and Capital Gains Tax from a fully qualified Accountant.
Mail should be redirected with Royal Mail.
Keys will need to be provided for tenants and the agent, if they act in a management capacity.
Utilities such as gas/electricity/water/telephone & council tax need to be transferred to the successful Tenant.
A quality inventory report should be prepared and completed prior to tenancy commencement and we recommend that this be supported with date and time, stamped photo evidence.
The Inventory is required whether the property to let is furnished or unfurnished, and accurate descriptions of the overall condition of wall/floor coverings, kitchen and bathroom fittings, to name a few, are essential. Deposit legislation stipulates that a landlord cannot have betterment from tenants’ deposit monies. Deposit providers will support suggested deductions if there is sufficient evidence to prove that any damage or loss claimed for is both reasonable and justified.
Disputes will be referred to the Deposit Protection Scheme’s adjudication service not “the Courts” it should be noted that an independent case examiner appointed by the Deposit Scheme will make their decision based on evidence submitted. The written word is more prudent than photos.
The Housing Act 1988 (amended 1996) has given rise to two types of Tenancy: Assured and Assured Shorthold Tenancy as well as the existing Company Tenancy and Contractual Tenancy. Click here to read more on the different Tenancies.
Most professional Tenants prefer the property to be unfurnished. It is proven that a Tenant is likely to respect the property more if they have their own possessions. Moreover, the difference in rental income between furnished or unfurnished is negligible. The Landlord remains responsible for repairing or replacing any furnishings that become broken or worn (unless a deliberate act of the Tenant caused this – see Damage Deposits).
Marketing
It is important for you to decide whether you want your agent to simply market your property and find a tenant (Let Only) or if you wish for the agent to manage the tenancy (Managed). It is vital at this stage that we understand your expectations, wants, do’s and dont’s. We want to ensure that we act in your best interest to find the right tenant for you, whether we are your letting agent and/or managing agent.
It is vital to price your property “correctly and within the market trends” to attract the most suitable Tenant. Your rental property will be featured on our website and other sites such as Rightmove & onthemarket, to ensure maximum exposure.
Vizors are renowned for their management service and we strongly urge any landlord who is inexperienced or does not know all the legislative requirements of a tenancy, to use the exceptional services we offer at competitive rates.
Thorough credit checks are carried out on all prospective Tenants as we can reserve the right to decline an application where necessary in the interests of protecting the Landlord’s investment.
These can be obtained through us as your Agent and include references from the Tenant’s employer and previous Landlord. We can also provide you with/assist you in obtaining a linked insurance policy to safeguard your rental income and provide legal protection (Rent Guarantee).
Drafting of tenancy agreement / leases
Our lettings team can prepare and supply you with all legal documentation and give practical general legal advice.
Deposits are now capped at the equivalent of 5 weeks rent, in accordance with the Tenant Fee Act. We secure the deposit with TDS Custodial who will physically keep hold of the deposit monies during the tenancy term. Once the tenancy terminates, a check out visit should be completed to cross compare the original inventory. A check out report should then be compiled and discussions/negotiations can commence if deductions are to be suggested.
The costs of everyday repairs and maintenance are the responsibility of the Landlord but, if we are instructed to manage your property on your behalf, we will pay the contractor out of the Tenant’s monies. We can also organise quotes for approval on any major repair if this becomes apparent. Under the LANDLORD AND TENANT ACT 1985, Landlords are responsible for repairing the structure and exterior of the property, together with installations for the supply of gas, electricity, water and sanitation.
This is usually performed on a monthly calendar basis and is forwarded to the Landlord via bank transfer after deductions for management fees, pre-agreed contractors invoices etc.
Under common law, the Landlord must ensure that properties to let are safe, and failure to comply with Safety Legislation is considered a criminal offence resulting in legal action and prosecution.
As your agent we can organise compliance and safety checks on your behalf and the costs can either be paid for upfront or deducted from rent monies, if we are managing the tenancy. If you need advice on what safety and compliance certs are required, please call the branch and one of the team will happily advise. Click here to find out about the necessary checks.
You are considered an overseas Landlord if you live abroad or go to work abroad for lengthy periods of time.
It is important to firstly note that the HMRC regulations apply even if you are a non-UK resident. Moreover, non-resident Landlords must apply to the HMRC for authorisation (by way of an exemption certificate) to receive payment of property rental “gross”, that is without deduction of Income Tax by the letting agent or Tenant as required by law.
NB: The above is merely a guideline. For fully qualified advice, you should contact an appropriate Accountant or Tax Expert.
