First time as a landlord!

mrsdarbs

Ok so I had my first tenant move inot my flat last week and I just want to check what I do and don't need to do.

i do have an agent in place that has dealt with the tenancy agreement and will manage the property, repairs etc etc.

I am just waiting for him to transfer the rent and deposit over to my account (he makes the payment to me in the middle of the month - is that normal for him to hold the rent for a couple of weeks?). I have the letter drawn up to send to the tenant to assure her of the protection for her deposit and it has all the contact details for the company and my details should she feel she cannot contact the agent for something.

Am I supposed to be registered with one of these national landlord associations? Also I am going along the lines of the custodial deposit scheme, but do I need to have the rent paid into a seperate account or is my normal main account ok?

Am I allowed to pop in and check the property (with her permission) when I return to the country (3 0r 4 times a year)?

I'm still waiting for the agent to send all the copies of the signed agreements etc over to me, but if he hasn't stated about asking permission to alter the property in anyway can I add that to the letter? (This is a shared owenership property and i had to get permission from them before renting and they have some quite strict rules that the agent won't necessarily know about!)

Just after some useful information as there seem to be sooo many different websites out there I just don't know which one to turn to.

I want to do everything properly and not get caught up cos I've missed something!

Thanks in advance!!

sooz

You don't have to join a LL's association, but it would be a very good idea to do so.

When exactly did your tenant move in & pay their deposit to the agent? The 14 days to register it with the DPS & sent the tenant the prescribed info started on the day they gave the agent a cheque, not the day you receive it.

Why have you not read the agreement your tenant signed? Hopefully it does include not altering the structure of your property , but you cannot add bits to your contract now it has been signed.

You can ask your tenant about inspections. Again, this could have been included in the contract they signed...but you don't know. Certainly I wouldn't book flights to return unless you have written permission from your tenant that they are allowing an inspection at that time. 3-4 times per year seems rather excessive.

As to how long your agent holds onto the rent for, before transferring it to you, it depends on the contract you signed with them. I don't think a couple of weeks is 'normal' but it seems that this is what you agreed.

moneysaver12

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neas

operating a business you have no knowledge in, is silly. You could've google some of these questions already.

You can't pop in without giving at least 24 hours notice, if the tenant is busy they can say no, altho 3-6 monthly check ups are normal for some lettings agencies to check if any repairs need doing (and to try and see if tenant damaging property.. which is real reason).

mrsdarbs

Thanks everyone for your help!

The person who is acting as my agent is a very close friend of the family and I trust him implicitly which is why I haven't read the contract etc.

I could phone him and ask him these questions but I'm at work at the moment and just wanted to check here before I got home.

Silly it might be as I'm not experienced, but I have no choice in the matter - my flat has been empty since October last year and as a result I am now in debt due to having to pay for two properties. Also with regards to Google - I did state in my first post that there were so many sites on the web that I didn't know which was best. I was hoping maybe someone could recommend a site?

I am not going to tgain experience if I don't try things - it's like when you leave school and possible employers expect you to have all this experience - how are you going to get it if someone doesn't take a chance and employ you?!

The inspections more than likely wouldn't be that often, that's just how often I would be back in the area due to visiting family and friends.

I kow I have to have the tenants permission to enter beforehand - but just didn't know if I had to leave that up to the agent or I could do it - I would like reassurance at least once - that my lovely flat is not being trashed! I know the agent will do this for me - but i like to see things for myself.

Fire_Fox

I think what people are saying is that you should have found all this out before your tenant moved in and not afterwards.

You must provide the tenant with an address in England or Wales where they can contact you directly (i.e. not via the agency). Do you have a contract in place between you and the letting agency? Have you registered to pay income tax on your letting income? Have you informed your buildings/ contents insurance providers and your mortgage company as well as the housing association?

You can only carry out an inspection with at least 24 hours written notification, and you must ensure that the tenant has actually received the notification. The tenant is entitled to 'quiet enjoyment' which means you cannot just turn up or let yourself in, and the tenant has the right to be present during any inspection.

mrsdarbs

Fire_Fox wrote: »

I think what people are saying is that you should have found all this out before your tenant moved in and not afterwards.

You must provide the tenant with an address in England or Wales where they can contact you directly (i.e. not via the agency). Do you have a contract in place between you and the letting agency? Have you registered to pay income tax on your letting income? Have you informed your buildings/ contents insurance providers and your mortgage company as well as the housing association?

You can only carry out an inspection with at least 24 hours written notification, and you must ensure that the tenant has actually received the notification. The tenant is entitled to 'quiet enjoyment' which means you cannot just turn up or let yourself in, and the tenant has the right to be present during any inspection.

That's fine and I do understand that! My mortgage company does know as I sought their permission first. I don't have a contract as such with the agent, I have a letter with his rates on but I haven't signed anything for him.

The buildings insurance is covered by the housing association in the services charges i pay them. I haven't declared my income yet, but I will as soon as it reaches my bank, although I have been informed that I won't have to pay tax as I am not actually making any profit (one of the rules of the housing association).

I don't mind about the inspection side of things too much - i'm not going to pester her or anything like that, but just once in a 12 month period i'd like to check the flat in person and say hi and make sure she is happy?!

I want to do the best by her and make sure everything is right and in place. Is that such a bad thing?!

Fire_Fox

You may find the rules on what constitutes a profit differ between the housing association and the taxman. You are supposed to register for income tax as soon as you let the property not just if and when you make a profit. Don't forget you will also need to pay capital gains tax if you let for more than three years.

mlz1413

Re the inspections when you know the dates you will be in the area tell the agent you would like to arrange an inspection during that period, they should then contact the tenant in writing with a suggested date and be able to rearrange with tenant direct if necessary.

I would do an inspection around month 4 to see if you are happy for tenancy to be re-newed and then you can decide if you need to see again or if happy to leave for a longer period.

The 2 week delay on rent does seem excessive but as you have left a lot to trust with the agent the best way forward is to discuss direct with them. But regarding the deposit ensure within 14 days the scheme used is advised to them and that you have the details too.

Is your friend an experienced Letting Agent or a trusted friend that is managing the property for you? If an experienced LA then have a chat about your concerns, if a trusted friend then register yourself with a LL association so that you can find out all your responsiblilities and keep up to date with changes.

mrsdarbs

Fire_Fox wrote: »

You may find the rules on what constitutes a profit differ between the housing association and the taxman. You are supposed to register for income tax as soon as you let the property not just if and when you make a profit. Don't forget you will also need to pay capital gains tax if you let for more than three years.

I will be informing them, and they can tell me, but as far as I was made aware I have been told that I am allowed to show my mortgage, rent, insurance and agent fee. All of these come to more than the rent.

It won't be let for more than 3 years as I am not allowed to do that under the rules of the housing association. I am only allowed 12 months, then I have to reapply.

Thank you!

mrsdarbs

mlz1413 wrote: »

Re the inspections when you know the dates you will be in the area tell the agent you would like to arrange an inspection during that period, they should then contact the tenant in writing with a suggested date and be able to rearrange with tenant direct if necessary.

I would do an inspection around month 4 to see if you are happy for tenancy to be re-newed and then you can decide if you need to see again or if happy to leave for a longer period.

The 2 week delay on rent does seem excessive but as you have left a lot to trust with the agent the best way forward is to discuss direct with them. But regarding the deposit ensure within 14 days the scheme used is advised to them and that you have the details too.

Is your friend an experienced Letting Agent or a trusted friend that is managing the property for you? If an experienced LA then have a chat about your concerns, if a trusted friend then register yourself with a LL association so that you can find out all your responsiblilities and keep up to date with changes.

Thanks! My husband is phoning him tonight to get the answers from him, I just like to hear things from another angle too! He is an experienced and very successful LL himself which is why I trust him, I just think I've left too much upto him and now I'm panicking that between us something has been missed so I'm just trying to check. The tenant has only been in a week and I have the deposit letter written and ready to go as soon as I have deposited it and can get a reference number.