Landlord Guide
A GUIDE FOR LANDLORDS
Park Mill Properties is a friendly, privately owned company specialising in all aspects of residential property throughout the Skipton and Ilkley areas. We are therefore well placed to help Landlords with all aspects of their property matters.
We are totally independent of any other organisation and strive to offer a professional, efficient and informative service to both Landlords and Tenants at all times.
We offer a range of services of suit individual needs, full details of which are itemised on the following pages. Most Landlords requirements can be catered for within the three service levels detailed, however, we are very flexible and will normally be able to accommodate any specific requirements.
We have listed the most frequently asked points when Landlords are assessing how we operate:
1. Viewings
All viewings are by pre-arranged appointments and we never hand out keys to the prospective Tenant. We are happy to accommodate prospective Tenants over your property during our normal office hours and will keep you advised of any helpful feedback we receive.
2. Payment of Rent
Utilising specialist computer software, we maintain up to the minute records on all managed property, receiving rent by standing order from Tenants and forwarding it directly to your nominated bank account. All rents are collected monthly in advance and we take a damages deposit from the Tenant equivalent to 1 months rent.
3. Credit Checks & Referencing
To ensure as far as possible that the Tenants are suitable, we employ independent companies that specialise in vetting Tenants and carry out various checks to establish their credit worthiness. It should be acknowledged that the system is not infallible. In the rare instance where some doubt still exists we will ask for responsible guarantors. With 'sharers' we obtain separate references on each individual. We normally only let to professional people in full employment and would not let to sharers without the express permission of the Landlord.
4. Tenancy Agreement
Your preferences regarding the allowing (or not) of smokers, pets and children at the property are strictly adhered to. Our computer software is continually updated to ensure that our Tenancy Agreements comply with the most recent legislation for your protection. In most cases a private residential tenancy will be governed by the Housing Act 1988 (as amended in 1996) and will be an Assured Shorthold Tenancy. These tenancies are either for a minimum period of 6 months, or one year less one day. They can be renewed for additional 6 months/year or let to run on a periodic basis (month by month). Alternatively when the Tenant is a Company, these tenancies are not governed by the Housing Act, but will include many of the same clauses and conditions of an Assured Shorthold. In these agreements the notice period is agreed between each party prior to the start of the tenancy (usually two months notice on either side). Additionally Tenancies with an annual rent in excess of £25,000 per annum are not governed under the Housing Act and therefore take the format of a Company Tenancy. We tailor each agreement to your exact needs and are happy to forward a draft copy to you for approval prior to signing.
5. Break Clauses
Some Tenants, both private and company require a break clause to terminate the tenancy earlier than the end of a fixed period. Such clauses are agreed prior to the commencement of a tenancy and any implications will be discussed with you at this point.
6. Notices
Termination of the tenancy will be in accordance with the Housing Act 1988 and any clauses stated in the tenancy agreement. Park Mill Properties will only be responsible for serving notices on Tenants if the property is fully managed.
7. Marketing Your Property
Website http://www.parkmillproperties.co.uk/
We use national website hosts to advertise your property online. Companies such as Rightmove.com and OnTheMarket.com. Regular advertising on our centrally located office, ensure that we have constant enquires from Tenants. In addition we have contacts with local companies, relocation companies and recommend erecting a 'To Let' board where possible.
8. Letting Services
We offer two levels of service as complete packages, detailed below. All fees are VAT exclusive. (We are not VAT registered) If you have additional needs we will try to accommodate these where practicable.
LETTING ONLY SERVICE:
• Marketing your property.
• Arranging viewings with potential Tenants.
• Obtaining references through a credit search agency.
• Preparing the Tenancy Agreement (see scale of charges in our Terms and Conditions).
• Collecting and holding a deposit, collecting first months rent and forwarding balance to you net of our fees.
• To terminate a Tenancy to gain possession of the property the Landlord must serve the appropriate notice. Park mill Properties will serve such notice with written instructions from the Landlord (see scale of charges).
LETTING & MANAGEMENT SERVICE:
Includes all the features of Letting only service and the features below. It is suitable for Landlords who prefer not to be involved in the day to day management of their property.
FULL MANAGEMENT SERVICE
During the tenancy comprises:-
• Visits to your property every 4 months.
• Arrange and supervise any minor repairs and maintenance needed with the landlords authority. In the event of an emergency we will exceed any repair limit you may specify if, in our opinion, this would prevent further damage to your property.
• Engage on your behalf and at your expense the services of a professional surveyor to report on any major problems.
• Serving notice on the Tenant to terminate the Tenancy.
ADDITIONAL SERVICES
Tenancy Extensions
We can prepare the necessary paperwork to extend a tenancy on a fixed term basis (See scale of charges in our agency terms).
Inventory and Check In/Out
Includes preparation of detailed inventory and schedule of damages, checking at start and end of tenancy. We strongly recommend that our Landlords always have an up to date inventory and that all Tenants are checked in and out.
We will be happy to give an estimate of these costs on request.
GENERAL INFORMATION
Service Contracts etc.
Many Landlords have service contracts for central heating, kitchen, electrical appliances and so on. It is advisable to keep these in force whilst the property is tenanted, leaving full details with us. Also, if you have any preferred contractors please advise us and we will endeavor to use them.
All instruction manuals should be left at the property but we advise Landlords to retain a photocopy, as these can be difficult to replace.
Please advise us of the location of the mains stopcock, distribution/fuse box, private drainage system and the alarm code (if fitted) etc.
You should maintain the property during the letting as if you were living in it yourself because:-
• The expenditure may be tax deductible.
• The market value of the property is maintained.
• The standard of Tenant and rental value will be maintained.
Condition of the Property
The property should be maintained in good decorative order inside and out. The wiring and plumbing should be safe, in a good state of repair, and the property left clean and tidy. Tenants generally check the property before paying their deposit.
Safety
There are now various laws and recommendations governing the safety of tenanted property:-
Gas
All properties that have either natural or bottled gas are required by law to have an annual Gas Safety Certificate issued by a Gas Safe registered engineer and a copy given to us and the Tenant. All work carried out on any gas appliance, to include pipe work or installation, must be undertaken by a Gas Safe registered engineer.
Electricity
Landlords have a Duty of Care under Common Law to ensure that the electrical installations and appliances are safe. From 1st January 1997, all new electrical appliances must carry a 'CE' mark and instructions must to provided. We therefore require annual PATS and 5 yearly wiring checks on all tenanted properties.
Furniture & Furnishings
All furniture including beds, divans, sofa beds, children's furniture, cots, cushions, high chairs, mattresses, pillows and seat pads left at the property by the Landlord must comply with the Fire Safety Regulations 1988 as Amended 1993.
Furniture proven to the manufactured before 1st January 1950 and not since re-upholstered is exempt. Upholstered furniture purchased after 1993 should carry a label with the heading 'Carelessness causes fire'.
Mattresses should have a label stating compliance with BS7177.
Any items not appropriately labeled may not conform to the regulation and must be removed from the property.
Smoke Alarms
It is a legal requirement to install smoke alarms on every floor of the property. Please note that new build houses are required to have mains wired smoke alarms by law.
Carbon Monoxide
It is a legal requirement to install carbon monoxide detectors if the property has a solid fuel applicance. However, it is recommended that a carbon monoxide detector is installed if the property has any gas appliances. The annual Landlords Gas Safety Certificate should highlight any potential hazards.
The Garden
The garden should be left neat and tidy. It is a requirement of our Rental Agreement that the Tenant keeps the grass cut, borders and paths weed free and shrubs trimmed. Adequate gardening equipment should be left for the Tenant to maintain the garden. A power breaker should be provided if any electrical garden equipment is provided.
Should you require certain plants or trees to the pruned or treated in a specialist contract gardener.
What to leave
We are happy to advise on what items to leave at the property. Unfurnished properties should normally have carpets, curtains, lampshades, kitchen with goods.
As a general rule, do not leave items of a personal or sentimental nature, or valuables of any kind.
Mail
Please make arrangements with Royal Mail to have your post re-directed.
Keys
There should be at least two full sets for the Tenant, including the garage, shed, window locks etc, and
ONE FULL SET OF KEYS
For us to hold for emergencies and inspections.
Damages
When an inventory has been prepared and the Tenant checked in and out, with the exception of fair wear and tear, any deterioration will be corrected and the cost deducted from the deposit.
Income Tax
The Inland Revenue state that all UK derived income is subject to taxation after the deduction of allowable expenses. It is your responsibility to advise the Tax Authorities that you are renting out your property. We are able to offer general guidance regarding allowable expenses, but strongly recommend you instruct an Accountant.
If you are living or going abroad, the Government requires the letting agent to deduct Income Tax from rental income before passing it to you unless you register with the Inland Revenue as a Non Resident Landlord and supply us with confirmation of an approval number issued by the Inland Revenue.
Application Form for Non resident Landlord to receive UK rental income gross, can be found here:- http://www.hmrc.gov.uk/nonresidents/fagnrl1_bw.shtml
Council Tax
Council Tax is payable by the Tenant of the property and a clause to this effect is included in our tenancy agreement.
During void periods, the Landlord is responsible for this payment.
Ground Rent & Maintenance
The Landlord is usually responsible for the ground rent and any service charges and the maintenance of the property.
Ground Rent & Maintenance
The Landlord is usually responsible for the ground rent and any service charges and the maintenance of the property.
Insurance & Mortgages
It is your responsibility to advise your mortgage provider that you intend to rent your property out. Most Banks and Building Society’s require you to seek their permission.
Your buildings and contents insurance should be amended to account for the fact that the property is tenanted.
We have access to Insurance and Mortgage providers who specialise in the rental market and will be pleased to pass your details to them if required.
Lessees
If you are a Tenant of Lessees, permission to let must be sought from your Landlord for subletting and must be permitted by your lease. The intended letting period must expire prior to the termination of your own lease. It is your responsibility to obtain this consent.
We hope this has answered any questions you may have however, please contact us if you would like to discuss any further information.
Park Mill Properties Limited,
Lettings,
High Street House,
Suite 1A, Newmarket Street,
Skipton,
BD23 2HU
Tel: 01756 228300
E.mail: arthur@parkmillproperties.co.uk
Website: www.parkmillproperties.co.uk