Letting a home involves a great number of steps – we have highlighted the crucial tasks but essentially we are here to help you through the entire process.
Letting yield returns
Before you let, you must have a realistic, achievable rental income figure. From this, you need to deduct the costs associated with letting, these include costs to make the property attractive to the rental market, secure a tenant, manage the letting, re-letting and on-going maintenance costs.
Help preparing a home for tenants
Prior to letting your property, you will need to ensure that you have the appropriate permission granted by your mortgage provider, insurance company and if applicable consent from any Freeholder or Superior Landlord. Stadium Residential are legally obliged to receive your proof of ownership
Marketing & presentation
Promoting your property isn’t just about descriptive text, photos and floor plans, you also have to fulfil legal requirements, for example, attaching the energy performance certificate (EPC) to any property particulars and including the rating in any marketing material. If you don’t produce property details, you still need to make the full EPC available during viewings. Health and Safety requirements and general compliance with current legislation needs to be addressed and our teams can discuss what is required with you whilst also advising on any other pre tenancy works that may be required. It is now a legal requirement that all tenants receive a copy of the “How to rent guide”.
Viewings and tenants
We have found that the most successful method of finding a tenant is for one of our experts to show prospective tenants your property at pre-arranged times – we vet any potential tenants prior to showing them around your property, to be as sure as we can that they are a good match. We will also ensure that any tenants are legally entitled to rent your home and once a deal has been struck will take up references on the tenants via an independent specialist referencing company for your peace of mind.
Ensuring property safety
You have a legal responsibility to let a home that tenants can live in safely. You should approve the electrics, or secure an electrical safety certificate from a qualified and registered electrician, and you must use a Gas Safe engineer to approve any gas appliances and provide a gas safety certificate annually.
Smoke alarms are now a legal requirement in rental property, so are carbon monoxide alarms if you have any solid fuel burning appliances. Speak to our lettings experts to understand the requirements.
Checking your tenants in
If you want your tenants to enjoy and take care of your home, we will explain the heating system, how the appliances work and what to do in an emergency, for example turning the water off if there is a leak. You will also need an independent company to produce an inventory which will show the difference between ‘fair wear and tear’ and damage to your property at the end of the tenancy so that agreement can be reached on who is responsible for dilapidations, if any. The inventory company clerk will take meter readings where appropriate and if Stadium Residential manage your property we will submit them to the relevant supplier and notify all service providers of the tenants names.
Managing tenant and property issues
Even if you let a brand-new property there may be issues during the tenancy. You can help identify problems early by having a detailed inventory and carrying out periodic checks. Things may go wrong at some stage, so it is important to protect yourself with insurance. If we are managing your property, we will take care of any issues for you, including any tenant disputes.
Renewing a tenancy
If you look after your tenant and always deal with maintenance issues quickly, they are more likely to stay. Depending on your contract, it is important to check well in advance of termination deadlines whether your tenant would like to renew or advise they are moving out, Stadium Residential will do this for you as part of the service and in the event your tenant wishes to vacate you have adequate notice so you can prepare to re-let the property to minimise any period that it remains empty.
Checking the tenant out at the end of tenancy
Your tenant will have paid a deposit at the start of the tenancy, which you legally need to have protected in a government-approved tenancy deposit scheme if the annual rental income is up to £100,000 per year. After check out, you must facilitate the deposit being returned, either in full or with legitimate deductions, again if we are managing your property, we will take care of this on your behalf.
Stadium Residential are obliged by law to advise the HMRC of all properties that are let. Property tax is applied individually and the amount of tax you will pay depends on your overall income and assets, not just earnings from property. Certain deductions can be made from the rental income to cover such things as the interest element of any mortgage payment on the property, our fees, maintenance costs, repairs, insurance, ground rents etc.
If you are a ‘non-UK domicile’ and own and let property in the UK, what tax you will pay will be determined by tax rules in your own country as well as the UK.
Stadium Residential are affiliated to and participating members of the leading regulatory body for the industry, ARLA Propertymark and subscribe to the National Federation of Property Professionals Client Money Protection Scheme.
To see what Stadium Residential can do for you please click here to download our Terms of Business