Preparing to let

Before you let you should make sure that your property is presented to potential tenants in the best possible light.

Works required as a result of a previous tenancy, like carpet or other cleaning, should be completed where possible before viewings commence.  The property should be clean and tidied with any other obvious maintenance matters dealt with by professional contractors.  Good tenants do not react well to properties which are clearly not well maintained. 

All fixtures and appliances should be in good working order and serviced, if necessary, before the start of a tenancy. 

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Which service?

You will need to decide what service you require from Homes Property Centre.

Like most letting agents, our services can be tailored to your own specific requirements from just finding a tenant to full managment.

Click here to see the rental service options we offer

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Energy Performance Certificate

For most residential properties becoming available to rent since 1 October 2008 it is a legal requirement for a landlord to have an Energy Performance Certificate ('EPC') before the property can be marketed.  The EPC sets out the energy efficiency of the property and identifies areas of potential improvement.  The EPC lasts for a period of 10 years and costs approx. £50.00. 

For full details of the requirements refer to this government publication.

Homes Property Centre has an approved EPC provider who can be instructed online and act quickly so that we can start marketing for you as soon as possible.

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Landlord Gas Safety Certificate

The Gas Safety (Installation and Use) Regulations 1994 make it the duty of any person (i.e. Landlord) who owns a gas appliance and pipework to ensure that it is maintained in a safe condition so as to prevent risk or injury to any person.

The Regulations cover all appliances and all types of gas (mains, propane or calor gas) for heating, lighting, cooking or other purposes. A landlord must ensure that each appliance is checked for safety at least every 12 months by a qualified gas engineer and a record must be kept of all safety inspections

The Landlord must have a Gas Safety Inspection carried out before a tenant occupies a property and a copy of the certificate must be given to the tenant before the tenancy commences.

Homes Property Centre has approved gas contractors who can be instructed online and act quickly so that a landlord is fully compliant.

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Electrical Safety Certificate

Under the Electrical (Safety) Regulations 1994 and Plugs & Sockets (Safety) Regulations 1994 it is a criminal offence to supply unsafe electrical equipment with rented accommodation. The maximum fine is £5000. These regulations apply to portable electrical equipment such as:

• Electric heaters, lamps, televisions, radios, vacuum cleaners, irons, toasters, microwaves and other kitchen equipment
• Built - in electrical goods such as cookers and certain storage heaters are not covered by the regulations, however, landlords should be aware that any person injured by the landlord's property could sue for damages.

Electrical items must be examined by a qualified electrician prior to a tenant taking occupation and the portable appliance test must be undertaken for each new tenant.

Homes Property Centre has approved electrical contractors who can be instructed online and act quickly so that a landlord is fully compliant

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Furnished or unfurnished?

There is little difference in the rent achievable whether a property is offered to let on a furnished or unfurnished basis.  

Homes Property Centre can advise you in relation to your own furniture as to whether it would be suitable to be offered as part of the tenancy or if it would be more suitable, particularly for expensive furniture, for you to arrange storage.

Most tenants will expect white goods to be provided in the kitchen, although there are increasing numbers of tenants with their own appliances.

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Inventory

Under the terms of the tenancy agreement, the tenant is required to return the property and contents at the end of the tenancy in the same condition as they were at the commencement, fair wear and tear accepted. It is almost impossible to ascertain whether damage was caused during a tenancy without a proper inventory signed by all relevant parties.

A well-prepared inventory and check-in report protects landlords and tenants alike, providing an accurate description of the condition and contents of a property at the start of a tenancy.

The condition of the property and its contents at the end of the tenancy is then compared back to this report in the form of a check-out report. The inventory company will also provide an opinion on whether any damage that has arisen during the tenancy is attributable to the tenants, to ‘fair wear and tear’ or to the landlord as required maintenance.

We strongly advise our Landlords to carry out a full inventory for each separate tenancy. The purpose of checking an inventory is to establish damages which can only be done if descriptions and conditioning remarks are sufficiently detailed at the commencement of the tenancy and then at the end of the term.

It is in a landlord’s interest to ensure that an inventory is prepared as, should you have a deposit deduction disputed by a tenant, any dispute may be sent to arbitration by the Deposit Protection Service ('DPS'). Should this occur the DPS will rely upon an impartial, unbiased inventory prepared by a third party unconnected to either the landlord or the tenants. Inventories prepared by landlords could be viewed as biased and one-sided.

Homes Property Centre works with professional local inventory companies to ensure that you are fully protected to maintain the condition of the property at the end of the tenancy.  We can arrange a professional inventory and check in on your behalf, the cost of which is borne by the landlord. The tenants are responsible for paying for the check out.

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Consent to let

If you have a leasehold property the consent of the head lessee or freeholder may be required. You should check your lease (or contact your landlord's managing agent) and obtain written confirmation of the consents prior to letting. 

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If you have a mortgage

If you have a mortgage, it is normal for mortgagees to require notification of any proposed lettings and you should seek their initial consent. You should obtain written confirmation of the consent prior to letting

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Insurance

You should advise your insurance company of the proposal to let the property as failure to do so could either invalidate the insurance altogether or increase the premiums.

If you have a leasehold property you should contact your landlord's managing agent who will normally administer the insurance policy.

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Referencing procedure

As soon as a suitable tenant has been has been found, we will obtain referencing information from the tenant.  Homes Property Centre utilises online referncing services provided by Homelet and information sought will normally include:

• Confirmation of employment and salary 
• Proof of identity
• Proof of residence
• Previous landlord reference
• Accountants references, trading details for self employed tenants

We will always perform an online credit check as part of our normal referencing procedures and if required we can, at a small extra cost to a landlord, provide a rent guarantee through Homelet for a qualifying tenant.

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Money to move in

Once a moving date has been agreed and references have all been approved by the landlord, a tenancy agreement will need to be signed by all parties and the initial monies will become due. These are made up of the following:

• a security deposit normally equal to a months rent
• the first months rent in advance

The monies will be received by Homes Property Centre in cleared funds before the tenancy can commence.

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Tenancy Agreement

Both the landlord and tenant will be required to sign a tenancy agreement prior to the tenancy commencing. The agreement, normally an assured shorthold tenancy, outlines both tenant and landlord obligations.

Homes Property Centre has its own standard form of tenancy agreement which has been gradually improved over the last ten years.  We can will issue you with a sample agreement which you should read very carefully.  Should any questions arise which we cannot answer adequately we advise you to seek independent legal advice.

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Moving in day

On moving in day all of the relevant documents required to protect the landlord will need to be signed or made available.  These will include the tenancy agreement, the landlord gas safety certificate, the inventory and confirmation of receipt of funds.

Once all the documents are ready and signed, if necessary, the tenant can be given the keys to the property and allowed to take up occupation.  Homes Property Centre can arrange for a tenant check in to be performed if required.  This will mean that the tenant will be accompanied to the property and the inventory checked, meters read and the tenant advised of the operation of central heating controls etc.

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Council tax & utilities

It is normally the tenant’s responsibility to bear the cost of all the utility costs relating to the property (gas, electricity and water) as well as to pay the council tax to the local authority. Homes Property Centre will notify the relevant utility companies, supplying readings as necessary, and the local authority when the tenancy commences. For managed properties we will also make the notifications at the end of the tenancy.  

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Deposit protection

As part of the Housing Act 2004 the Government has introduced tenancy deposit protection for all assured shorthold tenancies ('ASTs') in England and Wales where a deposit is taken. After 6th April 2007, all deposits paid under an AST have had to be protected within 14 calendar days of receipt by the landlord.

The legislation aims to ensure that tenants who have paid a deposit to a landlord or letting agent and are entitled to receive all or part of it back at the end of that tenancy, actually get it.

The legislation covers virtually all new AST agreements under which private landlords let property in England and Wales.

Only the following deposits will not need to be registered with a tenancy deposit protection scheme:

• resident landlords (those living in the property)
• landlords of properties with rent of over £25,000 a year
• company lets
• student accommodation let directly by universities or colleges. 

Homes Property Centre is already registered with the Deposit Protection Service ('DPS') and can lodge the deposit for you as well as dealing with all aspects of a refund

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Landlord obligations

Under the tenancy agreement the landlord will have a number of obligations which will include

• maintenance of the property
• insurance of the property
• allowing the tenant 'quiet enjoyment' of the property 

We can will issue you with a sample agreement in which you can see in full the obligations you will assume by signing it.  Should any questions arise which we cannot answer adequately we advise you to seek independent legal advice.

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Maintenance issues

If you choose to instruct Homes Property Centre as managing agent for your property, we will attend to any maintenance matters raised by the tenant on your behalf. 

The tenant will be advised to notify us of any faults with appliances or problems within the property.  Our management systems permit this to be done by the tenant directly to our property manager by email.  We will then deal with a problem as quickly and efficiently as possible using our regular professional contractors.

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Rent accounting

For your own taxation purposes you will need to keep full records of your income and expenditure relating to your property rental as these will be required by the Inspector of Taxes.  Choosing Homes Property Centre to collect your rent, or manage your property, will mean that you will receive a full accounting record as part of our service. The statements you receive can be used to prepare you tax return information.

Should you wish we can offer you online access to our management systems so that you can check on your tenant's rent payments and any maintenance matters as they occur.

If you are resident overseas current legislation governing the collection of tax on rent means that we are required to deduct tax from rental payments unless you have completed a Form NRL1 and we have recived an exemption for you from the Inland Revenue.

If the exemption is granted this will enable us to release the rent to you gross without making a tax retention.  If the exemption is not granted we will need to account to the Inland Revenue on a quarterly basis for the appropriate income tax percentage of the rental receipts. Any overpayment of tax will then need to be reclaimed at the end of each year by the Landlord submitting a statement of accounts to the Inland Revenue.

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Property inspections

If you choose to instruct Homes Property Centre as managing agent for your property, we will arrange for inspections to be carried out to monitor that the condition of the property is being maintained by the tenant and that everything is being kept in a satisfactory condition.

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Notice to end tenancy

Most tenancies run for an initial period of twelve months and we will contact your two months before the end of the initial tenancy period to see whether you and the tenant wish to renew the agreement for a further period. If so we will organise the appropriate documentation.

A landlord can give notice to terminate as assured shorthold tenancy by giving not less than two months prior written notice to the tenant.  This notice, in order to be enforced, should be given in the form and manner specified in the Housing Act 1988. 

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Return of deposit

The condition of the property and its contents at the end of the tenancy will be compared to the inventory prepared at the commencement of the tenancy in the form of a check-out report. The inventory company will provide an opinion on whether any damage that has arisen during the tenancy is attributable to the tenants, to ‘fair wear and tear’ or to the landlord as required maintenance.

This report will be used to obtain the tenant's agreement to any necessary deduction and Homes Property Centre will arrange the appropriate refund to the tenant and payment to the landlord through the Deposit Protection Service refund procedures.

In the event of a deposit deduction being disputed by a tenant, any dispute may be sent to arbitration by the Deposit Protection Service ('DPS'). Should this occur the DPS will rely the inventory report and the landlord will have the opportunity to put his case but will be required to abide by the arbitration procedure result.

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