FEES TO LANDLORDS
Southams Property Management offer a comprehensive service which includes finding, referencing and recommending a suitable tenant, preparing all the necessary legal notices and agreements, collecting the rent, inspecting the property, and taking care of any problems that may arise during the tenancy.
If you are considering the purchase a property as an investment, we can provide guidance and advice to determine which type of property will provide you with the best return, including the anticipated rental income you might achieve.
We will also advise you of any appropriate repairs and maintenance that will make the property easy to let and ensure maximum return on your investment.
Our office is a vital marketing venue, but we also integrate internet marketing through our own website, www.southams.com on www.rightmove.co.uk and www.zoopla.co.uk.
All viewings are arranged through the office and accompanied by a member of staff.
Prospective tenants are assessed by bank reference, employer reference, current and previous landlord/letting agent reference (if applicable) accountant and solicitor referencing (for self employed) together with additional checking as appropriate. We will then offer our recommendations as to the suitability of the prospective tenant.
Our tenancy agreements are usually a standard Assured Shorthold Tenancy Agreement. This will either be for a minimum of six months or more usually a twelve month term.
Should you require possession of the property at the end of the tenancy, then it is necessary to serve the tenant at least two month’s notice, to expire no earlier than the expiration date of the tenancy.
All fees are subject to VAT at the current rate of 20% unless stated. Fees are generally deducted from the monthly rent.
Tenant Find Fee:
A six month tenancy, one half of the first months rent (inc VAT), subject to a minimum fee of £400 (inc VAT).
A twelve month tenancy, one month’s rent (inc VAT), subject to a minimum fee of £400 (inc VAT).
Tenant Find and Management Fee:
13.5% (inc VAT), of the monthly rent
As a guide this is normally approximately one and a half month’s rent and is paid by the tenant prior to the start of the tenancy. This deposit will be held as a safeguard against any damage that the tenant may cause; against any rent that may not have been paid; to cover the cost of any other breach of contract. A larger deposit can be taken if it is deemed appropriate.
At the end of the tenancy, the deposit less any deductions is returned to the tenant. All deposits are held in accordance with the terms of The Tenants Deposit Scheme. This is a Government Regulated Scheme, introduced to ensure that tenancy deposits are securely held and that disputes about their return are resolved quickly, cheaply and fairly.
Schedule of Condition:
Prior to the tenant moving in we prepare a Schedule of Condition which is held pending the return of the property to compare the outgoing condition when the tenant vacates. This can include colour photographs and/or a detailed description of the property, condition and any deterioration. The tenants are only obliged to leave the property as they found it, and if there are any decisions over damage that need to be made when a tenant vacates, the schedule will be used to determine these. Under the Tenancy Deposit Scheme it is strongly recommended that all Landlords always have an up to date inventory. Without a schedule of condition, it is difficult to demonstrate that the property has deteriorated during the tenancy.
Energy Performance Certificate:
From the 1st October 2008 a rental property is legally required to have an EPC, available on request by any prospective tenant. This must be prepared by a qualified assessor and is valid for 10 years. We can arrange for this to be carried out on your behalf at an additional cost. If your property is a Listed Building an EPC is not required.
Energy Performance Certificate £108 (inc VAT)
The maintenance service we offer is through sub-contractors and they are able to deal with most eventualities at very reasonable prices.
Under the Gas Safety (Installation and Use) Regulations, landlords are under a duty to maintain in a safe condition any relevant gas fitting and any flue which serves any relevant gas fitting. This includes items such as gas fires, gas cookers, central heating boilers, and water heaters. Safety checks must be carried out every twelve months. These checks and any repairs or maintenance must be carried out by a Gas Safe registered engineer. If there is more than one appliance in the property, each individual appliance must be checked and the results of the check must be recorded in a gas safety certificate.
As a landlord, you have a legal duty to prevent harm to your tenants from electrical appliances that you supply. Portable appliance testing is widely regarded as being the best way of complying with this obligation. Without a programme of planned appliance testing and maintenance, you could be legally liable for damages resulting from your untested appliances. This covers all portable appliances that you supply, including fridges and freezers, microwave ovens, televisions and vacuum cleaners. You must also make sure that the rest of the electricity supply to the property is safe.
If a repair is reported by the tenant we will arrange for the repair to be assessed and if the cost is over £50.00 we will try to contact you directly for authorisation. All invoices are paid through the office and deducted from the rent. A maintenance inspection is carried out regularly to ensure that the property does not need any repair work. If any maintenance is advisable, we will notify you in writing along with any recommendations.
The administration fee for obtaining estimates and quotes and arranging repairs and maintenance is calculated at 10% of the total net invoice of works completed, subject to a minimum charge of £60 (inc VAT).
If both you and the tenant wish to re-new the tenancy a charge will be made for organising a new tenancy agreement and continuing to hold the deposit on your behalf. If you do not want to renew the tenancy at the end of the initial six months please let us know in writing at least two months in advance. We will contact you closer to the time and advise of the tenants preference. If you do not wish to renew the tenancy we will serve notice to quit and arrange a date for the final inspection. If the tenant does not wish to renew the tenancy we will inform you and make the necessary arrangements to find another tenant if required.
INDEPENDENT REDRESS PROVIDED BY: Property Redress Scheme
IF YOU HAVE ANY QUESTIONS ON OUR FEES, PLEASE ASK US - PHONE 01832 273565