CONTENTS
LETTER OF INTRODUCTION
REGULATIONS, LEGISLATION & INSURANCE
Thank you for enquiring about our property management service. I trust the following is of interest.
Remembering that we are ultimately responsible to you, the owner, and that we are only temporary caretakers of your property, we will always safeguard your interests. For this reason all properties are undertaken on a full management basis. We limit the number of properties which we manage at any time, to ensure that strong personal control can be maintained without compromising standards. Initial interest is stimulated through our contacts in companies and from our City Centre showroom, as well as circulating details to the large number of prospective tenants who contact us daily. We have our own Internet site, subscribe to Speedial which enables Hotel residents to call us direct and this is supported further by our T.V. advert shown on in-house video channels. Additional interest is generated through B. T. Talking Pages, Free Pages and regular press coverage. Overall about 33% of our revenue is devoted to advertising and promoting the properties managed by us. It has never been our policy to recovered this from our clients and on the rare occasion that we need to advertise at the landlords expense we will give advanced notice to the proposed cost of the advert.
You can therefore rest assured that from the interest we generate from prospective tenants only the best are offered the properties we manage. We conduct accompanied viewing with pre vetted persons and only once the right tenant has been selected do we prepare a lease and inventory. During the let regular inspections are carried out and when the rent is collected we will credit this directly to your bank account. This high standard of service continues throughout the tenancy leaving you with peace of mind and minimal involvement.
As most of our new clients come from referrals, you may already have some details of our management service. Nevertheless, we have attached a set of current particulars which we trust proves of interest and helps explain a little more about our service.
In order to accurately assess the rental potential of your property, a visit will be
necessary, and we hope shortly to be invited to do so.
At The Accommodation Company Limited we provide a service which we are sure you will find is of the highest professional quality and achieves the best results.
"We never forget that we are temporary caretakers of your home and so we will always safeguard your interests"
Specialising solely in quality furnished and un-furnished properties we have many years experience in managing a number of Town And Country Lettings throughout the United Kingdom. As a small, private, limited company with a network of sub-agents we have grown and prospered from the service we offer to landlord and tenant alike. We are confident that together with our existing clients you will find our service second to none.
Through our policy of only accepting properties which reach our personal quality standards and ensuring that they comply with fire and safety legislation, whilst carefully limiting the number of properties under our control, we ensure that every client receives the highest standard of management. As a result we are able to attract the best of tenants, and have recently let to corporate bodies including advertising agencies, banks, insurance companies, hospitals, oil related industries as well as show business personalities and of course professional private individuals.
All properties are administered on a full management basis. This involves general marketing, advertising and promotional work, interviewing prospective tenants, lease and inventory preparation and rental collection. Thereafter we regularly inspect the property and will organise any necessary repairs or improvements.
On the following pages you will find full details of our service. Should you require further information regarding tax liability we have an information package with some useful guidelines available on request. You may find that if you have a mortgage over your property your lender will require a copy of the intended lease. We will be happy to furnish them with a draft of our pro-forma lease.
Remember that a good management agent will minimise your risk and safeguard your interest whilst maximising your rental income.
At the turn of the last century in the West of Scotland over 90% of the population rented their homes against about 60% by 1960 and 50% today. Past attempts to impose rent controls forced many investors away from residential letting, but now our public services can no longer subsidise rents it is the private sector that is filling the gap. As the millennium nears we are set for another change. Recent studies forecast that the total number of people living in privately rented accommodation will rise over three fold to about 15% of the population in the next five years.
Demand for residential property continues to grow for several reasons. Firstly, with very few new houses being built by local authorities coupled to the success of the Council House Right to Buy Scheme the number of public rector houses available for let continues to shrink. This demand is falling back on the private landlord. Erratic behaviour in the property market and increased numbers of relocation's means that there are more transitional employees estranged from a property they are unable to sell. These people invariable let their homes and rent another in the new location. Often having sold a property and moving to pursue work they find that they are unable to obtain a mortgage due to the short term contract.
"Demand for private rented accommodation is expected to triple in the next five years"
Other people are reluctant to take on a new mortgage having read of past negative equity problems and repossessions. They are aware that the capital growth necessary to recover the cost of buying and selling a property can take years at current trends. These people are waiting until they are settled in their career and often linger until after they are married and have started a family before they plan to buy their first home. Added to this there are people of low income, students, mental health patients being placed in to the community who are stretching the resources of housing associations and halls of residence.
A growing number of companies have headquarters or branch offices in Central Scotland and there has always been a demand from this sector. This is our forte. We have been building our business contacts for the past thirteen years and many relocation agents, personnel officers and company directors regard us as their expert at hand to steer the latest employee or relocatee to the best property to match their needs.
As with all commodities in a free market rent is determined by supply and demand and therefore the rent attainable will be affected by the market conditions at the time of renting.
LETTING YOUR PROPERTY IS A COMPLEX BUSINESS. AT T.A.C.L. WE TRY HARDER THAN ANYONE ELSE TO GUIDE YOU THROUGH THE BUREAUCRACY AND POSSIBLE PITFALLS. WE BELIEVE THAT APPOINTING US AS YOUR AGENT IS THE BEST MOVE. WE ARE EXCLUSIVELY LETTING AGENTS AND OUR STAFF HOLD THE EXPERTISE TO OFFER YOU THE BEST SERVICE AVAILABLE. WE WILL:-
PROMOTE YOUR PROPERTY
"Unlike many of our competitors, we never hand out the keys
to your property. All prospective tenants are accompanied"
We will stimulate initial interest through our contacts in companies, from our 45' window and by circulating details. We are leaders on the Internet, are the only Glasgow Letting Agent to Subscribe to the Hotel Speedial which enables residents to call us direct from their bedroom and this is supported further by our 45 second advert which appears every 20 minutes on many in-house video channels. In addition we advertise on local radio, newspapers, talking-pages, freepages, yellow pages and wherever necessary to attract the Best Tenant.
SELECT THE BEST TENANT
Careful screening to select the right person eliminates many of the problems associated with letting. Although time consuming we find that interviewing and checking references virtually eliminates long term problems.
PREPARE THE LEASE
"We wouldn't let anyone live in your home unless we would let them live in ours"
Our Legal Advisor will ensure that a lease is tailor made to suit both you and your tenant's requirements, offering you maximum protection and peace of mind.
CONDUCT INSPECTIONS AND TAKE AN INVENTORY
The inventory is prepared prior to entry and checked again on departure. Additionally, we inspect the property at least quarterly to ensure that the property is being looked after and give early warning of any defects. Any problems can be quickly rectified and we will obtain quotes to ensure the job is done to a high standard at an acceptable price.
COLLECT RENTALS AND PAY INTO YOUR ACCOUNT
Cash flow is important to everyone. As soon as we have cleared funds from the tenant we will settle any accounts you instruct us to pay and transfer the balance of funds directly to the account of your choice.
RETAIN A DEPOSIT
Prior to entry we will collect a security deposit from the tenant. We also place any accounts for electricity, gas, telephone etc., into the tenant's name thus minimising your responsibility. The deposit will only be returned to the tenant provided that the property is left in a similar condition to that when first let to them, and all bills have been paid.
OUR FEES ARE ATTRACTIVE AND WILL BE AGREED IN WRITING WITH YOU AT THE OUTSET. UNLIKE MANY OTHER AGENTS WE DO NOT CHARGE FOR REGISTRATION OR ANY OTHER FEES UP FRONT.
DEDUCT OUR FEES MONTHLY
We simply deduct our management charges from the monthly rental, so you can rest assured that we attempt to achieve continuity of tenure as we cannot earn our fees unless your property is let. Our full management service provides all the facilities detailed herein. In certain cases you may instruct us to run a specific advertising campaign for your properties; naturally in these circumstances we would expect you to pay the cost of these adverts.
"Cash flow is important to everyone. We pay you promptly"
Our standard fees for finding and vetting the tenant, preparing the lease and inventory and attending to all other administration, are 50% of the first months rental. Our ongoing monthly management charge is 12% of the gross monthly rent, Although we are able to negotiate an alternative fee with you in specific circumstances.
PAYMENT PROCEDURES
We will not allow a tenant entry into your property until we have cleared funds, therefore you should receive the first month's rent on the date of entry or immediately after.
The tenants future payments are made by Standing Order and drawn from the tenant's bank account monthly on the anniversary of the entry date. We expect to be in receipt of cleared funds around three to six days later and action payments to your account by electronic funds transfer, unless you specifically request a cheque. You should have cleared funds into your account within sixteen days of the due date each month.
STANDARD LEASE DURATION
The standard rental term is a Short Assured Tenancy under the Housing (Scotland) Act 1988 (except with our English properties) and normally covers a minimum six month period with the ability to extend by monthly options typically to a maximum of twelve months. Although longer leases can be arranged for up to nineteen years that still give the owner certain rights to regain possession of the property at the end of the tenancy.
VARIABLE LEASE DURATION
In some cases a tenant may request to let a property for less than six months. Provided the property is available for six months (to comply with the terms of a Short Assured Tenancy) this request may be satisfied. When this occurs we will discuss the proposal with you and would normally recommend that a higher rent is charged or the tenant pays an additional fee. This would compensate you for the reduced occupation but would only be offered if we have no other parties interested in a longer term let.
MULTIPLE OCCUPANCY LETS
Glasgow probably has the most stringent laws in the country relative to multiple occupation. Basically if more than two unrelated persons live in a flat or more than five unrelated people in a house, it will need Planning Permission for use as an M.O. In any case if three or more unrelated people share a property it will need Environmental Health consent.
REGULATIONS, LEGISLATION & INSURANCE
THERE ARE A NUMBER OF OTHER ISSUES THAT YOU NEED TO CONSIDER BEFORE LETTING A PROPERTY. WE HOPE TO EASE THE WAY IN OVERCOMING ANY OBSTACLES YOU MAY COME ACROSS. IF YOU NEED ANY HELP IN THE FOLLOWING AREAS REMEMBER THAT WE ARE HERE TO HELP.
LENDERS PERMISSION
If you have a mortgage or secured loan over your property you may require the permission of your lender before proceeding with the let. If you require assistance with this please ask.
EXPATRIATE LANDLORDS
"We keep our owners up-to-date with changing legislation.
Our Qualified Health and Safety Officer will keep you informed of safety regulations and will examine your property to offer you the best advice"
It is essential that you complete an Inland Revenue application form to enable your rent to be paid without the need to deduct tax. Failure to do so will result in basic rate tax being deducted at source from the rent.
OWNERS CONTENTS & PROPERTY INSURANCE
It is normal practice for the owner to insure the property and its contents. (The tenant is responsible for insuring any items they introduce to the property). Many Insurance companies will not insure your building or contents when your home is let. Also as a landlord you need to consider your public liability position.
Fortunately we have a policy specially written for let property. It covers not only your property and contents but also legal protection, rent arrears, home guarantee for gas and electric central heating, wiring and white goods. Another major advantage is that there is no excess on this policy. A full quotation will be provided when requested.
FURNISHINGS & ELECTRICAL GOODS FIRE & SAFETY REGULATIONS
The Consumer Protection Act make it an offence to supply in the course of a business any furniture to which the regulations apply which fails to meet the ignitability test. Furthermore, all portable electrical appliances must be tested annually. Refer to our Memo/fact sheet March '93 for further details. Failure to comply can result in imprisonment or a fine currently up to £5000 or both.
These rules are quite in depth, so to ensure our clients property complies with the regulations we have our own in house qualified "Electrical Health and Safety Officer" and for a modest fee we can ensure your property stays on the right side of the law. For extra peace of mind we can also arrange to supply, fit and test fire extinguishers, fire blankets and smoke alarms.
GAS SAFETY REGULATIONS
These regulations come under the Health & safety at Work Act but include provision for Landlords and Letting Agents to ensure that any Gas appliance used in a let property is tested at least once a year to safeguard against the dangers of Carbon Monoxide poisoning. Please ask for our Memo dated December '94 & February '95 for full details
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We have been represented on the internet since July 1994 and first registered our own domain name in September 1995. Since then we have been regularly placed in the top 50 "Real Estate Sites" by the hit box who monitor site activity and display the top 1000 in each category.http://www.hitbox.com |