Why let
There are many reasons why our client landlords let their residential properties. For example they may own a house or flat that they are temporarily unable to occupy themselves due to a work move perhaps but to which they wish to return in the future. Alternatively many of our landlords invest money in purchasing a property specifically to let out with the rental income each month providing a monthly return on the capital whilst the asset is growing in value.
Whatever the reason you are considering letting a property it is essential that the right tenants are placed in the property in order to ensure smooth running of the tenancy and of course complete protection of your asset.
Who we let to
At Bagleys we are specialists in selecting suitable persons to take over the properties in our care. We have the experience and technology to vet prospective tenants extremely thoroughly. With our commitment to taking on only properties of a high standard and which are therefore in great demand we can afford to be selective with prospective tenants to ensure that they not only fulfil our financial and character vetting requirements but are also individually suited to the property for which they apply. In short if we wouldn’t let them into our personal houses we won’t let them into yours.
The demand
The rental market is experiencing increasing popularity. Where once the trend among affluent and professional people was to purchase a property many now opt to rent sometimes short term but increasingly longer in many instances. From one bedroom flats and apartments to period terraces and large country houses there is a strong demand for well presented good quality property.
With the expansion of industry in North Worcestershire and its accessibility to Birmingham and Worcester and the motorway network there has been a steady increase in company lets. Many of our selected tenants are in the area for a limited period of time because of their work and do not wish to purchase locally. They may own a property elsewhere in the country to which they will return. Alternatively there are families relocating on a more permanent basis who do not wish to purchase until they are settled and have had an opportunity to investigate the area and make their choice of what and where they would like to buy. They may have property to sell and need good quality accommodation for six months or so until they are in a position to make their purchase.
Buying to let – How Bagleys can help
An increasingly popular option for people to invest money is buying to let. With the right advice and the right property you could receive a good monthly income as well as capital growth. If this is something that you are considering we strongly suggest that you take advantage of our up-to-date knowledge of the rental market our experience of the area and of the letting industry to make this work for you. It is not only important to choose the right property to suite your requirements and preferences but also to fulfil the criteria which will make the optimum profit for you. We do not charge for this service and there is no obligation. We can advise you on location and type of property to purchase and all matters relating to the preparation of the property for rental prior to marketing.
Free rental valuation and advice
We will gladly make an appointment for our Lettings Manager to visit your property without obligation. On this advisory visit we will tell you how much you may expect to receive in rental income advise you on all aspects of the letting process including up-to-date information on regulations concerning gas electricity furnishings and so on and answer any questions you may have.
Strict and thorough tenant selection
On your instructions Bagleys will prepare individual details of your property display details with colour photographs in our prominent high street shop front. We also send details of your property to selected people registered on our extensive mailing list. Prospective tenants wishing to view will be registered with Bagleys and the vetting process will already be in operation. When viewing the prospective tenant will meet a representative of Bagleys at your property. This is a major part of the vetting process as further time spent with the prospective tenant will help determine their integrity and suitability.
References and assessment
Prospective tenants must fulfil our application requirements without exception. We must be satisfied through credit ratings and references that they are financially secure to take on the tenancy. We do this by using a credit rating agency who are able to give us detailed information on each person’s credit history. They request written references directly from the applicant’s employer or accountant previous landlord or Mortgage Company and with the referees. Everything must be satisfactory. Where every reference cannot be obtained for example if a potential tenant has been working abroad and is not listed with the credit agency a guarantor must be appointed by the applicant. The guarantor will have full legal responsibility for the tenancy in addition to the tenant and will be vetted the same way.
Viewings
All viewings will be accompanied and if you are residing at the property we will confirm all appointments with you and whether or not you will be present. If the property is empty it is important that we hold a set of keys to conduct viewings and ideally we like to hold a set for times when you are away from the property. We will always notify you prior to any viewing.
Assured Shorthold Agreements and notices
Once a tenant has been fully and successfully vetted and prior to the commencement of the tenancy they will sign an Assured Shorthold Tenancy Agreement. This is the legal agreement which binds the tenant into the contract with the owner of the property. The Tenancy Agreement is retained by ourselves and a copy is kept by the tenant. As your management agents Bagleys will sign these agreements on your behalf. Although recent legislation permits us to draw these agreements for a period of less than six months the preferred minimum period remains six months. To terminate the agreement the tenant must give notice of one month and the Landlord must give written notice of two months whereby we will issue a legal ‘Notice to Quit’ as official notice to the tenants.
Compiling a clear and accurate inventory
Together with the Agreement the Inventory is the most important document in the letting process. A full inventory is carried out at the property once the owner has fully vacated and just before the tenant takes up residence. Meter readings are taken at the same time. Our inventories not only list the entire contents fixtures and fittings and their condition but also the condition of decoration. When the tenant moves in they must check the inventory and sign it. Any alterations made by the tenant must be countersigned and approved by ourselves minimising the risk of disputes at the end of the tenancy.
Carrying out quarterly inspection visits
Quarterly visits are made to the property by a representative of Bagleys to check on the general condition and that the tenants are fulfilling their obligations to look after the property. This opportunity is used to maintain relationships with the tenant and keep in touch regarding their tenancy for instance whether they wish to extend for a further term should the property be available. It is often the case on these visits that small maintenance problems come to light which the tenant has not felt serious enough to warrant a call to our offices. Following a quarterly inspection a report will be sent to you for information. If we are unhappy with any aspect of the tenancy we will arrange to see the tenant and discuss the problems.
Holding keys in case of emergencies
It is important for us to hold a set of spare keys in case of emergencies. Always supply us with two sets one for the tenants and one for us.
Rents collected and paid directly into your account
Rents are generally collected from the tenants via standing order and are usually due by the first of each month in advance. The rent less our charges will be paid into your nominated account by the 15th of the month (dependant on rent due date). If you do not wish for the money to be transferred into your account we can send you a cheque if preferred.
Monthly statements
Monthly statements of account are sent to each Landlord advising of the rental monies received deductions of our commission and any emergency repairs that have been carried out together with relevant invoices.
Holding deposits in case of dilapidations
A tenant’s deposit is normally equal to one month’s rent and is held in by the Deposit Protection Scheme (DPS). This deposit is refundable at the end of the tenancy subject to the property being left in the same condition as when it was taken. If after the final inspection we feel that the property has not been left in the same condition allowing for normal wear and tear money can be used from the deposit to pay for cleaning and breakages.
Dealing with maintenance problems
If a maintenance problem occurs at your property it is important that it is rectified as soon as possible particularly if the problem involves electricity gas or water or could cause further damage to the property if not dealt with immediately. We will always contact you and keep you informed of any such problems. However it is not always possible to make contact immediately and on occasions it may be necessary for us to instruct our maintenance contractors to rectify urgent problems. If this happens we will settle their bill and deduct the money from your rental payment. Rest assured we will endeavour our keep costs to a minimum.
Our own team of maintenance contractors are extremely professional and very competitively priced. You may prefer your own contractors to be called upon in the event of a problem in which case we will note their contact numbers accordingly.
Gas safety legislation- Electrical safety
Government Legislation requires the Landlord to hold a Landlord’s Gas Safety Certificate issued by a C.O.R.G.I. Registered Engineer concerning all gas appliances in rented property. A copy of this certificate must be issued to both landlord and the incoming tenant. The certificate is valid for a period of twelve months. At the present time there is no legal obligation to hold an electrical safety certificate however there is a duty of care regulation and we would advise that to give ‘peace of mind’ to both landlord and tenant an electrical safety check should be carried out by an approved electrician.
Furniture legislation
Recent government legislation relating to furnished rented accommodation insists that all furnishings at the property comply with the Furniture and Furnishings (Fire) (Safety) Regulations 1988 (as amended 1989 and 1993). These regulations apply largely to persons letting residential property as a business. However all information will be made available to ensure that any furniture complies.
What to leave
Both furnished and unfurnished properties are equally lettable. However the following guidelines should assist you in deciding what to leave at the property.
A property offered unfurnished should contain all carpets curtains light-fittings and built in appliances. Any appliances to remain at the property will be the responsibility of the owner to maintain should they inadvertently malfunction through no fault of the tenant. It is usual however to leave at least a cooker and many people also choose to leave a refrigerator washing machine etc. A property offered furnished can include all furniture (so long as it complies with the aforementioned government legislation) although you are advised not to leave televisions videos or expensive hi-fi equipment.
Our management fee is 8% of the monthly rental income for one property or 6% for several. There are no hidden or additonal charges.