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1 BH10 6DP Corbin & Co Estate & Letting Agents 40 Kinson Road Wallisdown Bournemouth BH10 4AL Tel: Web:

2 INTRODUCTION This Guide has been produced to provide information about the services Corbin & Co offer and to give new Landlords an overview of what is involved in letting a Property. Choosing an Agent Corbin & Co are an independent Letting Agent with an experienced team who will ensure you receive a personal professional service and give you peace of mind that your property is in safe hands. We offer: - Free Market appraisal & advice Full internet Marketing including Rightmove & On the Market Mature Experienced Professionals - ARLA trained No hidden costs - No Let, No Fee Member of the Property Ombudsman Scheme All Deposits are held by the Deposit Protection Service (DPS) Client Money Protection registered 6 STEPS TO LETTING YOUR PROPERTY This section gives an overview of the overall letting process. Step 1 - Market Appraisal Arrange for Corbin & Co to visit your property. We will advise you on what you need to do to get your property ready to rent to ensure you achieve the maximum rental income. We will advise you on the type of tenants your property will appeal to and agree the type of tenants you would like us to find. Step 2 - Marketing your property When your property is looking its best, we will take photographs, measurements etc. To market your property, we will require an Energy Performance Certificate (EPC), this is a legal requirement. The EPC must be made available to any prospective tenants to enable them to see how energy efficient your property is before they decide to let it. An EPC for a rental property is valid for 10 years. Advertising - A high percentage of tenant enquiries are generated through the internet. We will ensure your property has maximum exposure and will also circulate to our database of quality vetted applicants to enable us to quickly generate viewings with applicants that meet your requirements.

3 Step 3 - Carry out Viewings - Our vetting process begins as soon as an applicant contacts us about your property. We carry out a telephone interview with a series of questions to ensure the applicant meets our stringent criteria, along with your requirements, and would be suitable to view your property. This vetting process continues during the viewing as we continue to find out more information about the prospective tenants and assess how they conduct themselves at the viewings. Step 4 - Let Agreed & Referencing When a suitable applicant indicates they would like to take your property we will contact you to give you an overview of the applicant s situation and to gain your verbal agreement to go forward with the next stage in the process i.e. Referencing. We carry out stringent reference checks to include: - an independent credit check, proof of ID & Right to Rent check employment reference previous landlord reference referencing a guarantor if required Once all the referencing is complete we will advise you and agree a move-in date. Step 5 - Ensure you and the Property are ready The next section gives you guidance and the legal requirements associated with being a landlord and letting a property, however, we will assist you in ensuring your property is ready to let. Step 6 - Moving the Tenant In We will prepare for the "Check In" which will include: - Drawing up the Tenancy Agreement we advise a term of 6 months initially unless you or the tenant require a longer term. Drawing up the legally required Prescribed Information - to ensure Deposit Protection Legislation is adhered to. Inventory - an Inventory is a must as this provides independent evidence of the condition of the property at the point the tenants move in and is vital should you/we need to make a claim against the tenant s deposit. A price list is included in this pack. We will take meter readings and advise the utility companies of the new occupiers. Remittance Advice sent to you, which details rent received & bills paid

4 THINGS TO CONSIDER BEFORE LETTING YOUR PROPERTY Mortgages/Leaseholders If your property is subject to a mortgage you should seek permission from your mortgage provider to let the property. Joint owners - permission is required and each owners name should be on the tenancy agreement. If your property is leasehold, you should ensure that letting your property is permitted within the terms of your lease. Any maintenance charges and ground rent fees will still be your responsibility. The tenant does not take on these fees, they are only responsible for paying the rent, utilities and council tax. Insurance You are responsible for the buildings insurance ensuring your policy is a specialist Landlord Insurance. If you let your property furnished, we recommend you take additional cover to insure your contents, please seek advice from your Insurance Company or Broker. Tax Income from UK property is subject to UK Income Tax even if the Landlord is resident abroad, or a company registered overseas. The Inland Revenue holds the letting agent liable for tax and requires the agent to deduct the tax from the rental income and forward direct to them. You can apply to receive the rental income gross, by applying for an exemption. You need to submit an application under the Non-Resident Landlord Scheme, once approval is granted you will receive an exemption certificate, which we will need to see in order to pay your rental income gross. It is worth seeking the advice of an accountant prior to letting a property for the first time to ensure you are fully aware of the tax implications and the rules regarding what type of expenditure is tax deductible. Utilities The tenant is responsible for utilities when the property is let out, however, you will be liable for any usage/service charges when the property is unoccupied this includes council tax. Water Meters - it is standard procedure by the water companies to install a water on receiving notification of a change in occupancy.

5 GETTING YOUR PROPERTY READY A quality property attracts quality tenants Gas Safety (installation and use) Regulations 1988 Requires that all gas appliances (and flues and pipework serving such appliances) are maintained in good order. Gas appliances and flues must be checked for safety every twelve months by a Gas Safe registered engineer. The cost of an annual gas safety inspection is in the region of 60 Concealed Gas Flues Some properties, especially apartments, have been built with boiler flues which cannot be accessed to be inspected because they are hidden away behind ceilings and walls. They are connected to room sealed fan assisted boilers. Where the boiler is situated on an outside wall, it is unlikely that you will be affected by this situation. Likewise, if the engineer can see the entire flue, then no further action is needed. After 1 st January 2013, any gas engineer working on a system where the complete flue is not visible will advise the landlord/agent that the system is at risk in accordance with the Gas Industry Unsafe Situations Procedure (GUISP) and turn off the gas supply to the boiler so it cannot be used. Your Gas Safe Engineer will advise you of your options: Arrange for the installation of inspection hatches throughout the length of the concealed flue Relocate/replace the current boiler and flue to an outside wall Replace the boiler with an alternative form of heating Portable Heaters - The above regulation also include bottled and LPG cabinet heaters. It is strongly advised against using such heating in a rental property as they are a health & safety risk due to being portable, and in addition, creates severe condensation. Electrical Safety in Rental Property Apart from the Landlord s Common Law duty of care, the Landlord & Tenant Act 1985 (and several other statutory regulations see below) requires that the electrical equipment is safe at the start of every tenancy and maintained in a safe condition throughout the tenancy. Electrical hazards are also covered by the Housing Health and Safety Rating System under the Housing Act In the case of commercial property and houses in multiple occupation there is a statutory duty under the Regulatory Reform Fire Safety Order 2005 for the responsible person (the property manager) to carry out annual Fire Safety Risk Assessments, which include electrical safety risks. If you let property you must ensure that the electrical system and all appliances supplied are safe failure to comply with the Electrical Equipment (Safety) Regulations 1994 and the The Consumer Protection Act 1987 is a criminal offence and may result in: A fine of 5,000 per item not complying Six month s imprisonment Possible manslaughter charges in the event of deaths The Tenant may also sue you for civil damages Your property insurance may be invalidated These regulations are enforced by the Health & Safety Executive. Read the article Electrical Checks Why bother? by Grant Roy MSc MIEE, Chartered Electrical Engineer. It is important to ensure that all electrical appliances and fittings within the property are safe and in good working order. Unlike gas regulations, there is no law that says you must have a landlord electrical safety

6 certificate. But, should any electrical fittings or appliances within your rental property cause harm to a tenant you could be held liable. Ideally, ensure that the electrical system complies with the latest wiring regulations. Make sure a circuit breaker (RCD) is fitted to power circuits. Keep supplied appliances to a minimum. Make sure appliances supplied are complete and in working order keep purchase receipts. Pay particular attention to second hand equipment always have these items checked. Ensure that operating instructions and safety warning notices are supplied with the appliances. Ensure that flexes are in good order and properly attached to appliances and plugs. Ensure that earth tags are in place. Ensure that plugs are of an approved type with sleeved live and neutral pins. Ensure that plugs and sockets conform to BS1363 or BS1363/A for heavy duty uses. Ensure that all fuses are of the correct type and rating. Make sure that tenants know the location of, and have access to, the main consumer unit, fuses and isolator switch. Make a note of all fuse ratings on the inventory. If you are in any doubt about the wiring or the safety of any appliances consult a qualified electrician. Regulations There is no statutory obligation on landlords or agents to have professional checks carried out on the electrical system or appliances. However, under Common Law and various statutory regulations: The Landlord and Tenant Act 1985, The Housing Act 2004, The Electrical Equipment (Safety) Regulations 1994, and the Plugs and Sockets etc. (Safety) Regulations 1994, both of which come under the Consumer Protection Act 1987, there is an obligation to ensure that all electrical equipment is safe. In January 2005, new legislation under Part P of the Building Regulations make it a requirement that for certain types of electrical work in dwellings, plus garages, sheds, greenhouses and outbuildings comply with the standards. This means a competent electrician must carry out the work. For DIY electrical work you must belong to one of the Government s approved Competent Person Self-Certification Schemes or submit a building notice to the local authority before doing the work. Compliance We strongly recommend that any landlord, regardless of whether they see themselves as running a business or not, should make absolutely sure they are complying with these regulations to ensure that all electrical equipment supplied is safe. In order to do this we recommend: Periodic inspections of electrical equipment by a qualified electrician. 5 yearly inspections by a qualified electrician to ensure safety and that the electrical system complies with current electrical regulations. Keep all records of these inspections. Annual Portable Appliance Testing (PAT) on Appliances supplied to the Tenant. Furniture and Furnishings (Fire) (Safety) Regulations 1998 Stipulates that any furniture and furnishings supplied by the landlord within the rented property must meet the fire resistance requirements. Most modern furniture will have a manufacturers label attached to it saying CARELESSNESS CAUSES FIRE which identifies whether it meets the relevant standards. Items which must show such labels include: beds, headboards, mattresses, sofa-beds, futons, nursery furniture, garden furniture, cushions, seat pads, pillows, loose and stretch covers. Any items not displaying the required fire tags, without an appropriate guarantee or proof of purchase must

7 be removed. Items made before 1950 are exempt. Landlords cannot bypass this legislation by adding exemption clauses into leases, giving or selling non-compliant furniture to the tenant. We recommend checks be carried out as soon as possible as any necessary works may result in delay. The penalty for non-compliance can range from a fine of 5000 to an unlimited fine or custodial sentence. Regulations governing gas and electricity are continually changing. The above is only a brief guide and in not an authoritative interpretation. For more details you should refer to the regulations themselves. Smoke alarms The Building Regulations (1991) state that all properties built since June 1992 must be fitted with mains operated interlinked smoke detectors/alarms with at least one detector per floor level. It is also the case that all Houses in Multiple Occupation (HMOs) are required to supply a mains operated interlinked smoke alarm system. If your property falls outside the above then you should at the very least provide a battery operated smoke alarm(s) and these are usually placed in the entrance hall and on the stair landing on the 1st floor. Make sure your tenant is made aware of this alarm on entry to the tenancy and its operation is checked and confirmed. As well as a battery smoke alarm, Gas Safe Register recommends the use of audible carbon monoxide alarms. It should be marked to EN50291 and also have the British Standards kitemark or another European approval organisation marked on it. Carbon Monoxide Alarms usually have a battery life of up to 5 years. They should be fitted in each room with a gas appliance. For further information regarding Gas Safety visit - Cleaning To maximise the letting potential and avoid disputes over cleaning issues at the end of a tenancy it is strongly recommended that professional cleaners are contracted at the start of a new Tenancy. Inventory We will arrange for an inventory to be carried out 2-3 days prior to the start of the tenancy. The inventory is your evidence as to the condition of the property at the time you hand it over to the tenant. It is important that the property is cleaned to a professional standard and the property is ready for occupation so the inventory clerk can accurately record the condition. Maintenance/Repairs The Landlord is responsible for all repairs to the property unless the damage has been caused through tenant negligence. This document is only a Guide to Letting your property. Corbin & Co can assist you with information and advice, please contact us on or

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