LANDLORDS GUIDE
Short & Long-Term Contracts
Dream Real Estate is a trusted resource for all types of rentals. Our team works with different sort of clients throughout the year helping people find their next dream home.
For landlords, finding the right tenant can be a difficult part. As a landlord you want the best rent for your property and someone who looks after your property as theirs. Don't worry, this is where we come in to help you.
We have more than 20 years' experience in letting properties in West London. Our clients range from private landlord with one small property to buy-to-let investment Landlords with a property portfolio.
LEVEL OF SERVICES
01
Tenant Find Services
02
Let Only Services
03
Letting & Rent Collection Services
04
Fully Managed Letting Services
Preparing your property to let - the legal essentials
All properties for rent must have an Energy Performance Certificate (EPC) before any marketing or viewings can take place. A copy of EPC is required before any tenant moves into the property. If you do not have an EPC Dream Real Estate can arrange this for you.
Safety
1. Gas Safety
Under the Gas Safety (Installation and Use) regulations 1998, all landlords have a legal obligation to make sure all gas pipework, appliances, fittings and flues are safe to use and maintained in a safe condition. Every gas appliances and flue must be tested for gas safety every 12 months. A gas safety record must be provided to existing tenants within 28 days of the annual safety check, or a new tenant before they move in, and you must keep copies yourself for two years. All installation, maintenance and safety checks must be carried out by Gas Safe registered engineer. We can also arrange this for you.
2. Furniture and Furnishing (fire)(Safety) (Amendment) regulations 2010.
Upholstered furniture and soft furnishings supplied in a rented property must comply with current regulations. This includes, but is not limited to bed frames, mattresses, headboards, sofabeds, pillows, cushions, seat pads and any garden furniture that may be used indoors. Items which comply will have a suitable permanent label attached. All non-compliant items must be removed before a tenant moves in. Bedding, Carpets, curtains and any furniture made before 1950 are exempt.
3. Electrical Safety
Landlords are required to ensure that the electrical installation in a rented property is safe when tenants move in and maintained in a safe condition. Although not a legal requirement, it is strongly recommended that you have the property inspected and tested by a registered electrician every five years and arrange Portable Appliance Testing (PAT test) once a year to ensure electrical appliances are safe and fit for purpose.
All our services can be tailored to suit your needs and we will provide a written quote with absolutely no obligations.
We understand that becomes a landlord can be a daunting experience. Please take a look through our step-to-step guide to what is involved in letting property. We have included information on your legal obligations and practical matters as well as an overview of all the services we offer.
So whether you are thinking of letting your property for the first time or you're experienced landlord looking for a new letting agent service, please get in touch to discuss your requirements.
Why Busy Landlords
choose Dreams
Experienced, attentive and Knowledgable staff
Flexible serice options, competitively priced
Open and transparent fees with no hidden charges
Up to date legal documents and advice on property rental valuations
Extensive internet advertising on the UK'S top property websites
A pre-qualified database of waiting tenants
Comprehensive tenant referencing service with full credit check
Professionally produced inventories
Full client money protection
Registered with the government-back Tenancy Deposit Scheme
Dedicated property manager
(Fully Managed Letting Service Only)
Dedicated team and fast response system
4. Smoke and carbon monoxide detectors
New regulations introduced in October 2015 require landlords to install smoke alarms on every floor of their rental property and test therm at the start of every tenancy, and to install carbon monoxide alarms in high risk rooms such as those where a solid fuel heating system is installed
5. Housing Health and Safety Rating System (HHSRS)
If you own a property and rent it out, your local council may decide to do an HHSRS inspection, Inspectors look at 29 health and safety areas.
Consent to Let
If your property is mortgaged, you must obtain written consent to let from your mortgage lender.
If it is leasehold, your lease may require written consent from your landlord before you can sub let.
Houses in Multiple Occupation (HMO)
If your property is let to at least three tenants who share toilet, bathroom or kitchen facilities but are not from one household or family - sometimes called a "house share' it is a House in Multiple Occupation' (HMO). Depending on the size of the property, the number of tenants and the area, you are likely to need an HMO licence from your local council plus an HHSRS inspection. We can advise you on this.
Buildings Insurance
Landlords are required by law to take out buildings insurance for rental properties. We advise our clients to also consider contents insurance and policies to cover rent guarantee and legal expenses.
Letting your property -
moving your tenant in
Our professional letting service ensures everything is in place for a smooth and trouble-free start to renting out your property.
Tenancy Agreement
This is a legally binding agreement, setting out the rights
and obligations of both Landlord and Tenant. Most residential property is let on an Assured Shorthold Tenancy (AST) for an initial fixed term of 6 or 12 months. We can advise on all options available to help you make an informed decision on areas of responsibility, conditions of tenancy, how and when the rent will be reviewed and notice terms.
We will prepare all the paperwork and draw up a comprehensive legal document for signing.
If we are fully managing your tenancy and rental property for you, then the tenancy agreement will include those activities we will be responsible for on your behalf.
Inventory / Schedule of Condition
All of the inventories produced for our clients contain a full written description of the property, its contents and schedule of condition inside and out including the walls, flooring and all fixtures fittings and furnishings provided with photographic evidence.
This provides a crucial legal reference incase of any discrepancy or claim against a tenant's deposit at the end of a tenancy.
Utilities & Council Tax
Usually it is the tenant's responsibility to pay utility bills and council tax. We can organise all meter readings and arrange the transfer of water rates, gas, electricity, telephone, TV licence and Council Tax accounts to the tenant.
Deposit Schemes
A deposit is paid by the tenant at the start of a tenancy to safeguard against damage. Since April 2007, all new Assured Shorthold Tenancies must be registered with a goverment backed tenancy deposit protection (TDP) scheme within 30 days of receipt of the deposit. If we are not providing our Fully Managed Letting Service to you, then you would need to register the deposit with a TDP scheme yourself. Landlords should be aware that there are significant penalties for failing to comply with deposit protection requirement.
We normally collect a deposit from the tenant which is equal to one month's rent. Dream Real Estate is registered with the Tenancy Deposit Scheme which means your tenant's deposit will be held by the Tenancy Deposit Scheme for the duration of the tenancy. We will register deposits on your behalf and liaise with their dispute service should the need arise at the end of tenancy. We will also provide your tenant with the name and contact details of the TDP scheme and its dispute resolution service, which is a legal requirement.
Keys
You should provide at least one set of keys for each tenant. Where we will be managing the property for you, we will also require a full set which will be coded for security purposes. We can arrange to have duplicates cut.
Letting your property - day to day management
Once your tenant has moved in we can take care of your property, tenancy arrangements and your landlord duties throughout the tenancy and beyond.
Collecting Rent
As part of its Fully Managed Letting Service for busy landlords we collect rent monthly unless the Tenancy Agreement specifies otherwise.
Rental income and Taxation
As a landlord, you are responsible for assessing your
tax for rent received. Below in some basic guidance on taxation matters relevant to landlords: however we recommend you seek independent financial advice from an accountant on tax matters.
1. Income Tax
Rental income is liable to tax, although the number of expenditure items can be offset against rental profit. You would need also need to pay Class 2 National Insurance if the work you do counts as running a property business.
2. Overseas Landlords
Under the Non resident Landlord (NRI) Scheme, your lettings agent will need to deduct tax from the rental income and pay the tax directly to HM Revenue & Customs. If you choose not to use a lettings agent to collect rent, then your tenant will be legally responsible for collecting and paying the tax to HMRC. Alternatively landlords living overseas can apply for approval to receive rental income with no tax deducted. Full details of the NRI. Scheme are available from HMRC.
Inspections, maintenance and repairs
The practicalities of being a landlord can be very time consuming. Without Fully Managed Letting Service we take care of all the day to day management and upkeep of your rental property so you do not need to worry about it.
We will carry out regular routine inspections - usually quarterly - at a mutually convenient time agreed with the tenant. This will involve visually inspections assessing any wear and tear and organising maintenance checks. If we identify any problems we will advise you and depending on our agreement with you, we can arrange for repairs and any work to be done on the property and pay for this out of the rent received. We have a network of reliable and trustworthy contractors we can call on to deal with routine repairs or engineers at very competitive rates.
Tenancy renewals, reviews and notices
We will handle all tenancy renewals, including rental reviews for you. if you decide to increase the rent we will issue the relevant notice informing your tenants in line with all legal process and timing requirements and manage all the end of tenancy administration.
End of tenancy checks and deposit returns
At the end of a tenancy the landlord should ensure the property is in a good clean condition before the tenant checks out, take back the keys and formerly take possession at the property. Assuming there are no issues and all paperwork is completed, utility companies notifies and you have forwarding address for the tenant, the landlord should return the tenant's deposit, This is all included as part of our Fully Managed Letting Service.
Remarketing
No landlord wants vacant property. If a tenancy is
not renewed, we offer landlords who take our Fully Managed Letting Service an automatic property appraisal, rental valuation and remarking services until we find new tenant.
Our Services
Dream Real Estate offers landlords a choice of 4 different levels of service.
The option you choose will depend on how hands-on you want to be, the level of risk you are prepared to accept, and the time and energy you have available to manage your property investment and tenancy.
Tenant Find Service
Perfect for landlords who have the time and
experience to manage their own investment but want to reinsurance and convenience of a professional marketing and tenant vetting service.
Let Only Service
Perfect for Landlords who want to manage the tenancy themselves but want to ensure all the paperwork (Tenancy agreement, inventory and statement of condition) is completed professionally.
Letting & Rent
Collection Service
Perfect for landlords who will manage the upkeeo of the property themselves but don't want to take on the hassle of rent collection.
Fully Managed
Letting Service
Perfect for landlords who have limited time, or are travelling/living overseas, and want to outsource the entire day to day tenancy management and upkeep of their property investment to a professional property management agent.
