New Landlord Requiring a little advice

tbs624

eightpints wrote: »

..... I have told the interested party the cost, which was happily excepted.

Don't draft your own tenancy agreement or try to adapt one yourself - check out the difference between excepted and accepted.

Contact your local council and see if they run accreditation/training schemes for private LLs. It's not enough to just buy a ready made tenancy agreement - if you are self managing the let you need to understand how and when to serve valid notices etc as part of the very basics of LL knowledge.

Bear in mind that if HB is paid direct to you and the T's claim turns out to be fraudulent, you will be the one facing a repayment order rather than the T.

There are Ts who know exactly how to run rings around a newbie LL. Look at using a third party referencing service which should flag up any previous CCJs etc and bear in mind that a current LL may be giving you a sparkling reference because s/he wants the T out of his/her own rental property at the earliest possible time.

Have a look at Shelter's excellent website - geared to support Ts but gives you, as a potential LL, a very good guide to the obligations of both T and LL.

Second G_M's post above

GAH

Or if you want to get further advice, have a couple of letting agencies round, tell them your a newbie landlord and they can inform you of the ins and outs.

tbs624

GAH wrote: »

Or if you want to get further advice, have a couple of letting agencies round, tell them your a newbie landlord and they can inform you of the ins and outs.

:rotfl::rotfl::rotfl:


No qualifications, training or specific expertise currently required to be able to set up in business as an LA, despite the fact that they are dealing with thousands of £££'s worth of other people's money and property. Frequently a case of the blind leading the blind....

So, newbie LL can end up stuck in the middle of ignorant, money grabbing LA ( kerching: renewals fees, kerching: in-house odd job man sent to do maintenance work at a cracking mark up and so on) and wised-up experienced T who stops and starts with the rent payments and so on.Marvellous.

Yorkie1

Also bear in mind that some LL insurance policies stipulate no DSS (or the current terminology) ...

Werdnal

GAH wrote: »

Or if you want to get further advice, have a couple of letting agencies round, tell them your a newbie landlord and they can inform you of the ins and outs.

You really think LA will come round, give LL the benefit of all their advice (however limited it my be ), all free, gratis and for nothing, then toddle off without expecting LL to sign up to a fully managed, all singing and dancing tenancy to reimburse them for their time and apparent expertise in the field!

If OP wants a fully managed tenancy then thats the way to go, but I get the impression they are looking to DIY let.

eightpints

G_M wrote: »

Oh my god you've got this far and you are only now starting to ask questions????!!!!

Start here. Read the post and check out ALL the links within
it.

Great link, thanks, loads of info without the scaremongering.

In short, we were going to use an agent but as the property is not ready yet, we thought stick up a sign to see what interest we get (if any) so far 3 interested parties in a week.

I am tiding up the house, and I will also be the odd job man so no unexpected costs on the labour side, also we have builders in the family if there is something major.

As many of you have said, this is a business (a new concept to me) so should not be looking to do a stranger a favour to cut corners.


I am thinking of having a phone conversation to clarify the following:
References
Credit Check (at tennants expense)
Guaranteur (contract at tennants expense)
Deposit (1 months rent to be put in a scheme)
1st months rent in advance

Anything else? What about instead of a deposit, an insurance policy to cover fixtures and fittings?

Werdnal

Without wishing to sound harsh, it might also help you come across as more confident as a landlord if you try to get your spellings correct!

Its:

Guarantor

Tenant

Right, english lesson over!!!!


When you say you are prepared to be the odd job man, are you prepared to be called out in the middle of the night to a burst pipe for instance?

Also, it might keep costs down, but you will have no receipts or invoices for any work which you can offset against your property income as an expense. Might be better getting an independent handyman, plumber, electrician in mind to cover yourself here. You would then have a guarantee for the work done, should there be any future problems.

Re: insurance, I would recommend minimum of buildings cover, on a LL basis (normal household cover would not be valid), and contents if you provide furnishings, appliances etc. However, a deposit is the tenant's money to cover their damage to these items. The deposit also covers any cleaning necessary at the end of the tenancy which insurance would not. I would ALWAYS take a deposit as well, even if you have insurance in place.

When you have the conversation - which I assume will be with the prospective tenant, by all means tell them you want references etc, and the deposit/rent terms, but if you are getting credit checks etc done through an agency or online service, they usually have forms for the tenant to complete. Similarly, you should do checks on the guarantor as well, and there should be forms for this too. Get everything done in writing, not just verbally over the phone. Also you can charge the tenant for the cost of the checks.

When you take deposit/1st month's rent, either insist on cash, or wait until cleared funds are in your account before you hand over the keys. Give tenant receipts for any transactions you make, and ensure they are given the prescribed information from the deposit scheme you use within 14 days.

Where are you planning to get your tenancy agreement? You will also need a full and thorough inventory, and must get the tenant to sign this, as deposit protection need this to prove any claim at the end of the tenancy.

clutton_2

go to www.landlordzone.co.uk there is a wealth of accuratre information on there - there are a few solicitors and other housing professionals post on there

suggest you use their tenancy application form - and get it ALL filled in IN WRITING and verify every piece of information


You might also use their inventory forms and guarantor forms

then join national landlords association, read their website in full, go to the regional meetings, the joining fee is tax deductible and you get cheaper house insurance as a member plus discounts on a lot of property related suppliers...

your local tax office should do free days courses for new self-employed folks = well worth a day.... they are there to help.