conveyancing & property services

Renting Out Your Property

When setting up a Lease we are predominantly instructed by the landlord to ensure the Lease is properly created. The majority of these Leases set up Short Assured Tenancies for our clients.

Many first time landlords do not realise that they require to register with the local authority and safeguard tenants deposits within an approved scheme. We ensure our clients comply with the ever changing demands on them as landlords.

We provide advice to tenants as well, mostly in how to avoid eviction when something unforeseen happens. The sooner we are involved the more options our clients tend to have.

We have set out below the steps that are generally required in leasing a domestic dwellinghouse to give you some idea of what is involved:

01. Get permission from your lender and insurers.

02. Get an Energy Performance Certificate from a Surveyor (in Home Report) and display in the property.

03. Register as a Landlord with the Council.

04. Contact a Solicitor and decide if you are finding Tenant and checking references yourself or if Solicitor is to do marketing. Decide if you will register with Rent Deposit Scheme or if Solicitor is to deal with deposit.

  1. Make sure in good condition and up to the Repairing Standard.
  2. Furniture must have labels providing compliance with legal fire resistant standard.
  3. Gas appliances must be checked annually by Gas Safe registered contractor and Tenants must be given a copy of annual gas safety certificate.
  4. You have a duty to make sure electrical installations and appliances are safe.

05. Check Property

  1. Make sure in good condition and up to the Repairing Standard.
  2. Furniture must have labels providing compliance with legal fire resistant standard.
  3. Gas appliances must be checked annually by Gas Safe registered contractor and Tenants must be given a copy of annual gas safety certificate.
  4. You have a duty to make sure electrical installations and appliances are safe.

06. Supervisor:

  1. Decide if you will deal with ongoing repairs or a friend, neighbour. (This service is not offered by C. & D. Mactaggart.)

07. Market Property.

08. When Tenants found:- before accepting rent or allowing entry:

  1. No more than 2 unrelated Tenants unless you have a licence for a house in multiple occupancy.
  2. Serve Form AT5 on Tenants.
  3. Serve Standard Letter about Repairing Standard and Private Rented Housing panel and receive acceptance.
  4. Serve Tenancy Agreement and receive acceptance.

09. At Date of Entry:

  1. Receive deposit.
  2. Receive first instalment of rent.
  3. Hand over keys.

10. Immediately after Entry:

  1. Lodge deposit with Rent Deposit Scheme.
  2. Notify Tenant of date of deposit lodged in prescribed form.
  3. Notify Council Tax Department.

Please Note:

  • Rent must not be payable weekly unless a rent book with prescribed information is given to Tenant.
  • Discrimination is unlawful.
  • Managing rental. You should catalogue condition of every part of house at check in and check out with Tenant. Photos are recommended. Landlord and Tenant should sign both. (This service is not provided by C. & D. Mactaggart.)

Costs Of Renting Out

There are a number of extra costs that may be incurred if you decide to rent out your property. The following are some of the issues to be borne in mind:

  1. Your lender may charge a fee or higher rate of interest for consent to you leasing. The lender’s consent is required prior to you entering into the lease.
  2. An Energy Performance Certificate (EPC is required) in all cases. It is a requirement to have the EPC on display within your property. If you have a Home Report already, the Energy Performance Certificate is included.
  3. A Gas safety check by a Corgi registered Plumber is required annually.
  4. You require to register with the local Council for both you as the Landlord and the property. Currently the fee for a landlord registration is £155 with each property charged at £11.
  5. C. & D. Mactaggart fee for:
  • Forms and tenancy agreement only, no dealing with deposit. First time new client £190 + VAT. Further rentals. £175 + VAT.
  • Forms and Tenancy Agreement and Deposit. £225 + VAT.
  • Marketing, finding tenant, obtaining references, completing forms and Tenancy Agreement and dealing with the recovery Deposit. £425 + VAT and Outlays. (Website £30)
  • Income Tax is payable on Rental Income. Capital Gains Tax maybe charged on the sale of the property.