Information for landlords
If you're new to being a landlord and letting out your property there are some rules and regulations you need to know and adhere to. Make sure you are familiar with the information on deposits, HMO Licences, and energy and safety certificates.
Tenant Deposit Scheme
This Scheme came into force in the April 2007.
If you are not protecting a tenant's deposit you will be ordered to repay three times the amount to the tenant.
At the beginning of a new tenancy agreement, the deposit must be protected in a government–authorised tenancy deposit scheme.
We organise our deposits through an insurance-based scheme and must provide proof to the tenant within 14 days of taking the deposit.
Tenants still have a responsibility to return the property in the same condition they took it on. If there is a dispute, the scheme holding the deposit offers a service to help resolve the matter.
HMO Licences. Houses in Multiple Occupation
This licensing is aimed at raising management and amenity standards in the rented property sector.
A local housing authority will grant a license for a property if it is satisfied that it is reasonably suitable for occupation, by not more than a maximum number of households or persons, or that it can be made so suitable by the imposition of conditions. The property will need to meet minimum standards in terms of the number of bathrooms, toilets, washbasins, showers, cooking and laundry facilities. The local housing authority will also need to be satisfied that the house will be managed by someone who is competent and fit to manage it.
Landlords of licensable HMOs will benefit from receiving support from local housing authorities, which should help them to manage their properties more efficiently. Landlords will be able to guarantee tenants a certain standard of accommodation. Reputable landlords will no longer have to face unfair competition from those who undercut rents and offer poor quality accommodation. Landlords have also found that having a license can help them when disputes arise because it proves the quality of the accommodation they are providing.
Since 6 April 2006 it has been a criminal offence to operate an HMO without a license, and fines can be up to £20,000. Furthermore, the tenants within the property can apply for the landlord to repay all the rent paid whilst the property was run as an HMO without license – up to 1 years back payment can be applied for. In addition the landlord is unable to serve a Section 21 to regain the property whilst there is no HMO License in place.
Energy Performance Certificates
Since the 1st of October 2008, all rental properties with a new tenancy in England and Wales are required to have an Energy Report Certificate (EPC).
The energy efficiency and environmental impact of your property will be rated on a scale from A-G (where A is the most efficient and G the least efficient). Current running costs for heating, hot water and lighting will also be shown on the certificate, together with a list of recommended energy saving improvements.
To ensure you comply with the law we will organise a report to be issued which will last for ten years. If this is not completed you can be fined £200.
Gas Safety Certificate
Gas Safety Register is the new hallmark for gas safety in Great Britain. From April 1st 2009 Gas Safety Register replaced CORGI gas registration as the official gas safety body.
As a Landlord, you are legally responsible for the safety of your tenants. So to make sure any property you own is safe, all gas appliances must have a safety check carried out every 12 months by a Gas Safe registered engineer.
We will organise the safety check and keep your property updated, using our own gas engineer.
Electrical Safety Inspection
It is not currently a legal responsibility to have an Electrical Safety Inspection and NICEIC Certificate as with gas. However Safety Regulations do enforce the obligation of a landlord to ensure all electrical appliances and wiring in their rented properties are safe.
We recommend that you allow us to organise the certificate for you, which will be valid for thre years.