Compliance

The recent changes in legislation could catch out the most diligent of landlords, and as a result could invalidate any statutory notices if the tenancy is not dealt with correctly from the start.

As a result of the the Deregulation Act we have reviewed all our current processes and customer interaction. Our review has taken 3 months of hard work, training and implementation so you can rest assured we manage your property in line with these changes. Internally this is known as the Customer Journey and maps out the steps we take to ensure we comply with landlord responsibilities and regulations.

In August 2015 we appointed a Compliance and Technical Director to deal with these changes and constantly review our processes.

We have listed a number of the Acts showing the dates of the changes or announcements to help you understand your responsibilities.

Letting or renting a property can be tricky enough without being confused by the some of the words and terms that you will come across. We have compiled a list of the most used words and phrases to help with any confusion!

Assured Shorthold Tenancy

It is a form of Assured Tenancy with a limited security of tenure, which was introduced by the Housing Act 1988

Binding date

At law, a contract is a legally binding agreement voluntarily entered into by two or more parties. A tenancy agreement is not, technically, a legally binding document until it has been ‘executed’ by being dated after both parties have signed

Civil penalty

is civil fine or financial penalty imposed by the government, to ordinary citizens, for not complying with legislation or regulations

Deregulation Act (DA)

was passed on 26 March and covers various points which will be of interest to landlords and those appointed to deal with residential penalties. These provisions are designed to protect Tenants from unfair eviction.

Electrical Equipment (Safety) Regulations 1994

A landlord has a ‘duty of care’ to ensure that ‘due diligence’ of any electrical equipment supplied to the Tenant in a property has to be safe. These regulations are not compulsory however, landlords and agents can expect to receive severe fines, penalties or imprisonment for non-compliance

Fixed Tenancy

runs from a fixed period which is agreed in the tenancy agreement (usually 6 or 12 months). If the fixed term ends and no tenancy agreement is drawn up then by virtue the tenancy becomes a statutory periodic tenancy (SPT) continuing month to month

Gas Safety Regulations 1998

Landlords of residential properties must have an annual gas safety report carried out on all gas appliances which they provide. Tenants must be given copies of the report prior to moving in. Work must only be carried out by Gas Safe Engineers. The Landlord or agent must retain copies of the report for a minimum of two years

House in Multiple Occupation (HMO

is a house occupied by more than two “qualifying persons” who are not all members of the same family. A “”qualifying person” is a person who’s only or principle place of residence is the HMO. The house must be inspected to make sure that it complies with all of the safety and fire regulations

Investment in Property

alongside cash, bonds and shares – is one of the four most common types of investments. There are two main potential ways to make a return “Rent” or “Selling for Profit”

Jurisdiction

having a legal right over something. A court can have jurisdiction over a legal question, a country can have jurisdiction over another country. A parent could be said to have jurisdiction over their child until they are age 18

Keys

Are stored securely by the managing agent

Legionnaire’s disease

is a potentially fatal form of pneumonia caused by the inhalation of small droplets of contaminated water containing Legionella. Under Health and Safety at Work Act 1974 Landlords have a duty of care to carry out a Risk Assessment?

Mandatory possession

something that is mandatory must be done, or is demanded by law. Used when the landlord wants to live in his property as a permanent home. Providing the Landlord or Spouse has already lived in the property as their main home

Non-Housing Act

If a tenancy is not a Housing Act 1988 tenancy, the agreement will simply be a non-Housing Act tenancy. They are contracts, recognised in court to which none of The Housing Act 1988 Provisions apply. Examples are: Company Lets, Holiday Lets, Lettings by Resident Landlords, and Rents over £100,000 per year, not the Tenants main or principle home

Ombudsman (The Property Ombudsman)

Free, Independent and Impartial Service for the resolution of unresolved disputes between consumers and property agents

Prescribed Information

Sets out the deposit protection information which must be provided to the tenant by the Landlord within 30 days of the deposit being received

Questions and Resources

for any compliance questions, please feel free to email your local branch were a member of our team will be happy to help further

Retaliatory Eviction

is where a tenant makes a legitimate complaint to their Landlord about the condition of the property and, in response, instead of making the repair, their landlord serves them with an eviction notice

Stamp Duty Land Tax (SDLT)

The responsibility for paying SDLT is solely the tenants. This is a legal obligation and HMRC may impose penalties for failure not to comply. The current SDLT is £125,000 for residential properties

Statutory Law or Statute

Is a formal written enactment of a legislative authority that governs a state, city or country. Typically, statutes command or prohibit something, or declare policy

Tenancy Dilapidations

The basis of dilapidations is simple: a landlord must be compensated if a tenant has breached the agreed obligations set out in a lease. We strongly advocate having an accurate “Schedule of Condition” when moving a tenant in or out of your property

Universal Credit

is a single monthly payment for people in and out of work, which merges together some of the benefits and tax credits. Universal Credit will replace Job Seekers Allowance. Income related Employment and Support Allowance. Income Support

Voluntary eviction

if a Tenant leaves your property voluntarily, you must ask them to confirm this in writing, you cannot assume that the Tenants has surrendered the property and should always get a court order returning possession to you, if there is any doubt about your Tenants intention to return

Wales Housing Act 2014

was passed by the National Assembly for Wales on 8 July 2014 and became law on 17 September 2014. The aim of the Act is to improve the supply, quality and standards of Housing

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What you get from us!

Yield

The income return of an investment. This refers to profit received from a property and is usually expressed annually as a percentage based on the investments cost and its current market value

Zoopla

The income return of an investment. This refers to profit received from a property and is usually expressed annually as a percentage based on the investments cost and its current market value