Letting flat through agent

want2bmortgage3

Hi,
I agreed that an estate agent would rent my flat for me fully managed for 15% of the rent (+vat). They have found a tenant and I'm meant to be out this weekend.
I'm assuming the tenant is moving in next week, is it unusual that the agent hasn't contacted me to do things like inventory and whatever else needs doing/checking?
Cheers

princessamy86

Just give them a ring, they might be trying to bother you as little as possible as it's fully managed. It's up to you how involved you want to get, but if you've paid them all this money to manage it then I would say let them do it! If you want to check the inventory over then do, but I would say they probably think they are just doing their job, which is to do everything on your behalf.

tbs624

On the other hand it may be that you have the usual lazy LA who is starting as they mean to go on. 15% plus vat?????

Never, ever leave everything entirely to an LA: make sure that you know precisely what your legal obligations are as a LL and check from time to time that the LA is doing what they should be doing.

Tell them, for instance, that you want evidence that they have obtained the necessary gas safety cert, epc, and that they have scheme-registered the tenancy deposit and provided the prescribed info to the T. Check through thecontract for spurious fees for both you and your potential T and make sure you know who will be organising any repairs/maintenance, as LAs will frequently add a mark up on for this.

Check out the LLzone website & consider joining a nation or local LL association so that you can keep up to date with rules & regs.

princeofpounds

It's a bad sign, though not everything they can do until you are out (inventories done when tenants come in normally, or just before).

Whatever you do, ensure you have:

gas safety certificate
energy performance certificate
HMO license if applicable (unlikely)
inventory before tenant moves in
credit checked tenant
proper AST documentation
you comply with deposit protection regulations within the time limit.

Do NOT give over keys until you are satisfied, otherwise they can create a tenancy by handing them over to someone and signing on your behalf. Their actions can be inferred to you.

want2bmortgage3

Thanks for the informative replies, I didnt realise there was so much to do before hand. I've just found out that the tenant has failed the credit checks and has ccj's and stuff so its a no go!!!

princessamy86

Well, best you find out now! Good luck finding a good tenant

want2bmortgage3

Thanks, now I am back to where I was a couple of weeks ago before I thought I had a tenant lined up. I am still considering advertising for a lodger, but where I am out of town, there isnt that much demand for a lodger. If my flat was in the town centre im sure I would have them queing up.

Lavendyr

15% plus VAT is quite a lot, I think our agency charges our landlords 6% plus VAT for fully managed (and they do a pretty decent job of it too, I have to say!).

Bertha_2

Hello, I am planning on renting my house out to go travelling but I haven't got a clue. Is it best to get a buy to let mortgage or carry on with my residential mortgage??? Any information would be gratefully received!

want2bmortgage3

you can probably carry on with your existing mortgage. with mine (northern rock), I can get permission to let for a £100 fee. I can also change it to interest only (like a buy to let one) for a fee of £75.

theartfullodger

15% is way too high: We are trying to get agents down to 8%: 2 have agreed, the 3rd arguing for 10%. I also have another property rented @ 6%.

Don't forget Landlord Insurance (Think: Normal insurance will no longer cover rented property, property burns down, you've nothing to show for it & no payout when you fill the claim form that they reject!!). Full Landlord Insurance cover is usually a condition of mortgage lender agreement that you can rent out. And tell HMRC (even if making a loss) as otherwise when they get told (someone will) they may unfairly decide you are on the fiddle (clearly you ain't)

Cheers!

lodger