Landlords Information PackT 01772 620 321

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Tenant Selection

Finding the right tenant for a property is fundamental. At Prestons we start by carrying out our initial credit check, this is to establish that the prospective tenant has no adverse data registered against them. In the event adverse data is found, the prospective tenant will be declined. Having received a successful credit report we will proceed to make further enquiries, which include employment, character and previous landlord or agent references. When all positive references are received, we will proceed to work toward a moving date.

Safety Certificates

Gas:
Prior to the tenant/s occupying the property, we will carry out a Gas Inspection on your behalf. This inspection is a statutory requirement, and a certificate showing that appliances are safe and serviceable is required. Without a certificate, we are unable to install a tenant into the property. Should you have a preferred contractor to carry out the above inspections, we can arrange access to the property on your behalf.
Information on gas checks

Electrical:
If you let property in Engalnd & Wales you must ensure that electrical equipment and system is safe. The electrical safety regulations are enforced by the Health & Safety Executive. There is currently no statutory requirement to have annual safety checks on electrical equipment as there is with gas, but it is advisable to do so. You should ensure that tenants are given copies of operating and safety instructions for ALL equipment in the premises.

Moving Day

On the check in day, we will prepare the assured shorthold agreement and all the associated statutory notices. Our inventory clerk will take a thorough inventory and schedule of condition, making detailed notes of the condition of the property and chattels that will remain. The utility readings will be taken and these details forwarded to the appropriate company, likewise we shall inform the local authority and inform them of the new occupant for Council Tax purposes. All the prepared documentation, including the tenancy agreement, notices, inventory and meter readings will be signed by the prospective tenant/s.

Rental Payments & Deposits

On the day the tenants occupy the property, we will take the first month's rental and surety deposit (equal to the monthly rent). The deposit will be lodged with the Deposit protection Service, until such a time the tenant vacates the property. For more details on this scheme see www.depositprotection.com. Future rental payments are collected monthly in advance via standing order, processed by us and transferred to your designate bank account. A full statement of account will be forwarded either by post, or email on a monthly basis to your correspondence address.

Inspections

Your property will be inspected on a quarterly basis with the tenant in attendance; this inspection will be arranged with the tenant two weeks prior to our visit. At the inspection we will work through the original inventory to ensure the property is being looked after by the tenant, and discuss any maintenance issues that may have arisen. After the inspection is complete, we will forward a report to you outlining the condition and any remedial action that may be required.

Maintenance & Repairs

Throughout the tenancy routine maintenance and repairs may occur. Any works required will be reported immediately to you, and should be dealt with quickly. We can arrange for an approved contractor to quote on the works, or alternatively use your preferred contractor. It must be noted, any works required, whether of an urgent or none urgent nature should be dealt with as quickly as possible. If you elect for our approved contractor to carry out the works, the cost will be deducted from your rental account and a copy of the invoice forwarded to you. Works should be carried out quickly for two reasons, the first is that we must consider the tenants comfort and safety, the second being; we do not wish to give rise to any possible litigation from the tenant. In any event works handled without delay, will build an excellent relationship with the tenant and possibly extend the life of the tenancy.

Overseas Tax (None Residents)

The Non-resident Landlords Scheme is a scheme for taxing the UK rental income of non-resident landlords. The scheme requires UK letting agents to deduct Basic Rate tax from any rent they collect for non-resident landlords. If non-resident landlords don't have UK letting agents acting for them, and the rent is more than £100 a week, their tenants must deduct the tax. When working out the amount to tax the letting agent/tenant can take off deductible expenses. Letting agents and/or tenants don't have to deduct tax if HM Revenue & Customs (HMRC) tells them not to HMRC will tell an agent/tenant not to deduct tax if nonresident landlords have successfully applied for approval to receive rents with no tax deducted. But even though the rent may be paid with no tax deducted, it remains liable to UK tax. So non-resident landlords must include it in any tax return HMRC sends them.

Tenancy Extensions

We will write to the tenant/s two months prior to the expiry of the current tenancy agreement, this is to establish their future intentions with respect to extending the lease. The tenant may wish to extend for a further term, (ie: six or twelve months) decide to stay on a periodic basis (one month increments, or alternatively vacate the property at the end of the present contract. Should the tenant wish to resign for a further term, we will prepare the contract and arrange for the tenant to sign. The tenant may wish to stay in the property on a monthly basis, with this arrangement the notice period is two months for possession for the landlord and one month from the tenant.

Checking Out

If the tenant chooses to vacate the property at the end of the term, we will arrange to meet with them at the property on the last day of the tenancy agreement. On this day we will work from the original inventory, and ensure the property is delivered up as was originally let, with the exception of fair ware. In the event that the property has a defect, we will give the tenant the opportunity to rectify the problem within one week, or alternatively we will make the deduction from the surety deposit. Meter readings are taken, and like at the original check in the utility companies and local council informed.

Re-Marketing Your Property

If the existing tenant decides to vacate the property at the end of the term, we will inform you imediately, should you wish us to remarket your property we will make the property available on all our marketing mediums, and run a tenant match on our database. At this point we have two months before the existing tenant vacates, so a back to back letting will be achieved.

Mortgages & Insurance

If the property is subject to a mortage, you must inform your lender of your intension to let the property. They may require you to complete a form and pay a small admistration fee for the consent. Likewise you must inform your insurer you will be letting the property, failure to do this could invalidate any future claim. When speaking with your insurance company, ensure they forward you an amended policy. If your property if leasehold, the freeholder may require you to pay a fee for subletting the property; this appears to be more prevelant in apartment buildings than houses.

Accounts

All income less expenses is subject to UK Income Tax. It is advisable to contact a qualified accountant to discuss your personal circumstances. We have an in house Chartered Accountant who will advise free of charge on tax basics and keeping accurate records.

Empty Property

There are no provisions within our agency agreement to manage your property when empty, however should you require us to make regular inspections, collect post this can be arranged. There may be a charge for this service.

Fees & Commissions

Listed below are our standard fees & Commissions.

Fully Managed Service
£295 Tenancy Set Up & 11% of Passing Rental Management Fee

  • Free Property Valuation
  • Marketing:
    Detail Sheets, Property Guide, Website, Rightmove, Property Finder,To Let Boards, Local Press, Targets Mail Shots.
  • Accompanied Viewings
  • Tenant Selection & Referencing
  • Tenancy Agreements & Notices
  • Inventories & Schedules of Condition
  • Quarterly Inspections & Reports
  • Rental Collections & Transfer
  • Computerised Statements of Account
  • Overseas Tax Reports & Returns
  • Maintenance Management
  • Uk Tax Advice & Advice on Accurate Record Keeping
  • Tenant Check In & Check Out

Un-Managed Service
First months rent (Subject to a minimim of £450)

  • Free Property Valuation
  • Marketing:
    Detail Sheets, Property Guide, Website, Rightmove, Property Finder,To Let Boards, Local Press, Targets Mail Shots.
  • Accompanied Viewings
  • Tenant Selection & Referencing
  • Tenancy Agreements & Notices
  • Uk Tax Advice & Advice on Accurate Record Keeping
  • Tenant Check In & Check Out

Re-Assignment Fees- Managed & Un-Managed
A tenant re-assignment fee of £75 is payable to cover the cost preperation of subsequent leases.

For large property portfolios, please contact us for a quotation. The above fees are subject to vat at the prevailing rate.