Tenants from Hell

We’ve been speaking to a number of landlords recently who are experiencing ‘less than perfect’ tenant scenarios. We’ve heard just about everything over the years from unscrupulous agents pocketing deposits and disappearing without a trace, seemingly perfect tenants installing locks and subletting rooms in unauthorised rent-to-rent accommodation right through to straight-forward squatters – and even a marijuana farm!

As a landlord, how can you protect yourself from these expensive, stressful and time-consuming mistakes and what should you be looking for when choosing an agent to market your property? Once the agent has found new tenants, how do you know if they are any good? You did check, right? In this market you should have a choice of good tenants.

Read on for our top tips to avoid the tenants from hell…

It seems simplistic, but nine times out of ten, a good agent is going to sniff out a problem tenant and avoid introducing them to your property in the first place. Experienced agents have met tens of thousands of potential tenants and should know when something isn’t right. The tenant’s story doesn’t stack up, the source of funds are questionable, the tenant is overly keen or pushy etc. Start by choosing the right estate agent for you.

Ask yourself (or the agent):

• Are they registered with a redress scheme, like The Property Ombudsman? Details of registration with a redress scheme should be clearly visible on their company website and in their communications with you. It’s also a legal requirement. Do they have Client Money Protection? Are they a member of PropertyMark? (The largest professional body for both estate and letting agents respectively.)

• How long has the company been operating and how long has the agent been in the industry? Specifically, who is the individual working on your property? The agency might be ancient but the individual meeting your potential tenants is the person who counts. Do they have less letting experience than the tenants we’re trying to avoid?

• When selecting new tenants, what kind of referencing is your agent undertaking? Does your agent provide you with the referencing reports? Do they undertake any independent checks via open sources like social media and Companies House? Are they checking the tenant’s legal right to rent?

• After move-in, does your agent provide you with a copy of the tenancy agreement, deposit registration certificate and inventory? We’re surprised to hear how often these basic documents are not in place or are not legally-binding – and your ability to take legal action to evict a tenant later on is reliant on the documentation that was issued to a tenant when moving in.

• Are the property management team equipped to deal with such tenants and scenarios? Do they have the experience to realise something isn’t right and then deal with it early? Are they visiting the property for inspections and are you receiving a report of the condition of the property? 

Ultimately, with these simple points in mind, do you trust your agent?

Thinking about it differently, would you hire them to work in your business? Are they reliable, responsible, communicative and transparent? If you have any doubts or any warning bells are ringing, it’s time to pull the plug on this relationship. Ultimately, you are trusting this person with something incredibly valuable, your investment property or portfolio.

We’re launching a landlord advice service where you can connect with us to discuss tricky situations – large or small. Be it a tenant wanting to leave before their notice period, requesting a change in the date they pay rent, clarifying the legal requirements for valid eviction proceedings, or managing the timing of a property sale with tenants in situ, we can offer friendly expertise and there is no such thing as a stupid question.

Let us know what you think and if you think this service would be useful to you. We’ll be announcing the details shortly so keep an eye on our website and social media.

4 Reasons A Property Doesn't Sell

Image: Towfiqu Barbhuiya

Our friends over at leading property data company, Homesearch, have recently been discussing the reasons why a property doesn’t sell, and we tend to agree.

Even in a strong market like this one, there are four possible reasons why a property isn’t selling. Consider the following:

• The Marketing - How do the marketing materials stack up against those for similar properties? Do the photos grab your attention? Are your property’s best and most attractive features on show? Is the listing information accurate, clear, well-written and compelling? Is a virtual tour available?

• The Presentation - On viewings, is the house presented at its best? Is it bright, clean, tidy and welcoming to viewers? Is someone there early to open up and let them in?

• The Agent - Are you happy with your agent and the service they’ve been providing? Are they an expert? Do you trust them? Are they communicative, transparent and honest in their feedback?

• The Price - All property owners would like to sell their property for the best possible price. However, a buyer will only pay what the house is worth to THEM. The market ultimately dictates the pricing. If you’re confident in the marketing, presentation and your agent, it’s the price that is holding things up. This is likely to be the key to getting more people through the door and encouraging them to make an offer.

Ask yourself: Do you agree? What do you think stops a property from selling? What’s been your experience? And, of course, if we can help, please do get in touch.

New Courts to Tackle Backlog of Evictions

Lord Chancellor Unveils Plans for Ten 'Nightingale Courts'

On 19 July the Lord Chancellor, Robert Buckland, announced that ten ‘Nightingale Courts’ would be set up rapidly to help deal with the backlog of evictions proceedings. With court services having been suspended from March for all ongoing housing possession action in England and Wales due to the coronavirus, the industry has been expressing increasing concern at the significant backlog in the Courts.

On 22 July, it was announced that possession proceedings would recommence from 23 August and MP Christopher Pincher, whilst recognising that the prioritisation of cases is the job of the judiciary, expressed his belief that it is important that serious and antisocial cases be heard as soon as possible.

Two of the new Courts will be located in London and other measures are also being put into place to ease the pressure on the court system, including longer opening hours in order to increase the number of cases that can be heard in a day and continuing to use video technology to hear cases where appropriate.

Through our considerate and professional dealing with our tenants, we have a great track record of keeping our landlords up-to-date with their rent payments.

To work with us - and help avoid the build-up of arrears that can lead to a lengthy eviction proceeding - contact us now.

Landmark Government Bill on Building Safety Published

Draft Building Safety Bill Published 20 July 2020

First announced in January, the government recently published its draft ‘Building Safety Bill which aims to make residents safer in their homes and deliver the biggest changes to building safety for nearly 40 years… It will improve regulations as the Government seeks to bring forward a “clearer system with residents’ safety at the heart of it” with residents having helped to develop the proposals through engagement groups.’ says Propertymark, the UK’s foremost property association.

Propertymark further explains:

‘Under the new rules, people living in high rise buildings will be empowered to challenge inaction from their building owners, have better access to safety information about their building, and will benefit from a swift and effective complaints process.

A Building Safety Regulator, already being set up within the Health and Safety Executive (HSE), will be established and equipped with the power to hold building owners to account or face the consequences and will enforce a new, more stringent set of rules that will apply for buildings of 18 meters or more or taller than six storeys from the design phase to occupation.

The Government views the draft Bill as legislation that will evolve as further evidence and risks are identified to ensure that residents’ safety is always prioritised and will also provide new powers to better regulate construction materials and products to ensure they are safe to use.’

The government will be publishing a new manual to the regulations to help ensure that building owners are clear on what steps they need to take to make their buildings compliant and - most importantly - safe.

Green Homes Grant Scheme Announced by Government

Propertymark Outlines Details of New Government Scheme

‘The government has announced a new scheme for homeowners in England called the Green Homes Grant Scheme. Set to start in September, the scheme will see eligible homeowners issued with vouchers to pay for energy-saving improvements to their homes.

How much funding is available?

Chancellor Rishi Sunak will be unveiling a £3billion plan to cut emissions, with £2billion ringfenced for the Green Homes Grant Scheme.

Under the scheme the government will pay at least two-thirds of the cost of energy saving home improvements up to £5,000. For the lowest earners, the government will pay the full amount up to £10,000.

David Cox of ARLA Propertymark said:

“Since the withdrawal of LESA (Landlords Energy Saving Allowance), we’ve been calling for a simple grant scheme to help private homeowners and landlords make their properties more energy efficient.

Today’s announcement is a big step forward to ensure that they can take the necessary steps to do this and ultimately create a greener property sector in the UK.”

What home improvements will be eligible?

Homeowners will be able to use the vouchers to pay for improvements that will make their property more energy efficient. This could be installing floor, wall and loft installation, low energy lighting, energy efficient doors and double glazing.

How will the vouchers work?

The government has said that homeowners will be able to apply for the grants on the Simple Energy Advice website from September.

Applicants will be asked some basic questions about their home followed by recommendations on eligible improvements, including information on local suppliers.

Once a supplier has provided a quote and the work has been approved, the government will issue a voucher.

Are you eligible?

The scheme is open to anyone who would benefit from eligible energy efficiency measures. The government are yet to release the criteria to receive the extra funding for those on lower incomes.’

We will provide updates as they become available. The scheme website is accessible below.