Landlords: Frequently Asked Questions
Answering your questions on renting your property
I'd like to let my property. Do I have to inform the lender of my mortgage?
Yes. Before you can let your property, your mortgage lender requires to give you approval, and they can impose unique circumstances. If you purchase a property with the intention of letting it out, you may be able to obtain a buy to let mortgage.
How do I know what rent to charge?
Ask an agent to value your home. We are industry specialists at Paramount Sales and Lettings so we can inform you how other rental properties in the region are doing and what kind of returns you can expect. Book a rental valuation with Paramount Sales And Lettings.
How much is let my property going to cost me?
This really depends on how much you need support. Two primary service levels are offered at Paramount Sales And Lettings: Rent Collect and Fully Managed. Each includes a different level of service from Paramount Sales And Lettings, and this is reflected in the charges we pay. Make sure you know the charges of an agent and precisely what you get for your cash when you ask them to carry out a valuation of the lettings.
Why should I use a managing agent?
You can relax entirely by choosing a fully managed service. You’ve never got to care about the let. It creates a professional distance between you and the tenancy and means you can avoid dealing with all the bad bits such as rent arrears and disputes over deposits.
What happens to my tenant's deposit?
With an approved tenancy deposit scheme, landlords and letting agents are needed to register deposits of tenants. Then either the landlord, the agent, or the deposit scheme itself holds the deposit. The tenancy deposit scheme is there to protect the money of the tenant and to assist resolve any conflicts at the end of the tenancy.
Why do I need an inventory?
An inventory is a detailed list of your property’s contents and condition taken before the tenant moves in. It is important that you have proof of the original condition of the property and its contents when there is a dispute over damage at the end of the tenancy.
Why do I have to have an EPC?
An Energy Performance Certificate (EPC), is a document that details a property’s energy efficiency. It provides a property A (most effective) to G (least effective) power efficiency rating and is valid for 10 years.
All landlords are required to purchase an EPC for a property before leaving it and the property must have an E minimum rating on its EPC as of 1 April 2018. Renting a property that violates this requirement with a penalty of up to £ 4,000 will be unlawful.
What are my obligations surrounding gas?
A Gas Safety Record (GSR) is in place to guarantee secure operation of all gas appliances, tubes and flues. A skilled Gas Safe Register technician must perform it. This must be checked every 12 months.
Do I need to test my electrical appliances?
You must guarantee that all electrical devices are secure for use within the property. We suggest a Portable Appliance Testing (PAT) or Installation Survey so you can be sure that you are compliant.
How do I check my furniture is compliant?
You must guarantee that all furniture complies with the laws on furniture and furnishing. In a prominent place, all furniture compliant must show standard labels. This is to decrease the property’s fire danger.
How do I receive my rental income from my letting agent?
If you choose a Rent Collect or Fully Managed service, the tenant will be organized to pay the rent by standing order or direct debit. We will then transfer the money to your account minus our commission and any outgoings or fees (such as fees for maintenance job).
Will my agent keep my money safe?
If you have chosen a regulated agent such as Paramount Sales And Lettings, the Protection Bonding Scheme will protect your money. Not all agents are regulated, but you choose to be Your Move.
Does a landlord have to pay rental income tax?
All landlords, whether they live in the UK or are based abroad, may be responsible to pay tax on their rental revenue. Additional data can be discovered on the website of Inland Revenue.
During the tenancy, can I enter my property?
Before you enter the property, you should give the tenant the appropriate notice.
Who will pay the council tax - the landlord or the tenant?
The tenant is liable for the tax of the council (unless you decide to include this in in the rental), but this must be indicated obviously in the tenancy agreement. If the rent is vacant, it is the duty of the landlord to pay.
Who is going to pay for the television license-the landlord or the tenant?
Usually the tenant, although in the tenancy agreement this should be mentioned. If the landlord furnishes the property with a TV, however, the license would be required to be paid.
What is a routine visit?
The landlord or the letting agent will notify the tenant that they will visit the property to check that it is being taken care of and to check for any potential maintenance issues.
What if the property is damaged by the tenant?
Either the tenant pays to fix the damage, or at the end of the tenancy the cost to fix the damage will be removed from the security deposit of the tenant. Fair wear and tear should be allowed, though.
What if the tenant doesn't pay?
Insuring yourself against non-payment of rent is sensible.
What if I want my tenant to be removed?
If your tenant refuses to leave the property, it will require legal intervention.
What is ARLA Propertymark?
The ARLA Propertymark is the UK’s leading professional and regulatory authority to let agents. ARLA Propertymark is dedicated to protecting consumers through the improvement of lettings industry standards and professionalism. Remember, letting agents are not regulated by law.
What is TPO?
The Property Ombudsman (TPO) is an independent body to which landlords can refer any complaint if they are not satisfied by the agent.
What is Right to Rent?
The Right to Rent scheme, which helps ensure that individuals who rent property in the UK have a legal right to be here, was launched in February 2016 throughout England.
We have been doing this for many years as part of our referencing method, but if a landlord carries out his own checks, they will now have to obtain an acceptable evidence of residence or risk a fine. If we don’t manage tenant checks for you at the moment.
How can I improve my EPC rating?
There are a few easy and cheap ways to enhance the EPC rating of your property. It’s a easy shift to make sure all your lightbulbs are LED. Check your loft insulation is at least 270 mm too, and make sure they are filled with insulation if you have cavity walls.
More expensive way to enhance the EPC rating of your property include replacing an ancient, inefficient boiler; adding contemporary controls such as room thermostats; or adding to the property renewable technologies such as solar panels.
Can my tenant refuse an increase in rent?
You can not usually boost the rent more than once a year for a periodic tenancy (rolling on a week-by-week or month-by-month basis) unless you seek the tenant’s agreement. You can only improve the rent for a fixed-term tenancy (running for a specified period of time) if your tenant agrees.
Why do I need an inventory?
We highly advise you to take a professional inventory option. It helps protect your property and is component of the agreement between you and your tenant. When a tenant moves in and at the end of their tenancy, it will detail the condition of the property.