Landlords are constantly challenged by an ever-growing number of obligations. Failing to comply with such legal requirements can result in serious sanctions and costly court proceedings.
When this happens it’s common to see courts fall in favour of the tenant. Property expert, Daniel Long, shares his top tips on how landlords can deliver a legally compliant rented property service and prevent disputes in court.
The importance of getting your tenancy agreement right
A tenancy agreement is a contract between you and your tenants, setting out the amount of rent to be paid and establishing the rules with which each party must comply to.
Getting legal advice from the start and ensuring it is legally watertight will ensure you aren’t faced with tenant disputes later on. Always ensure this contract is signed by yourself and the tenant prior to the tenant moving in.
Remember the landlord’s options for changing the terms of a tenancy agreement are fairly limited so don’t agree to alterations during the renting period.
Always consider the option of having a guarantor in place so if your tenant fails to pay or moves away, you are able to recover the debt.
Deposit protection
In most situations a landlord should take a deposit to help support the tenancy agreement and gain protection against a tenant failing to comply. It’s just as important for landlords to play fair too and comply with the Tenancy Deposit Rules. Once a deposit is taken it needs to be put in one of the government authorised tenancy deposit schemes. If you fail to do so not only is the deposit returnable but the tenant could bring a claim for three times the amount. At the end of the initial fixed term, the deposit either needs re-depositing with the scheme or alternatively prescribed information needs to be re-served within 30 days.
Don’t be hasty
Legally you are only able to end the tenancy by either the tenant surrendering the tenancy or by requesting a court order. Once a court order is obtained a bailiff needs to be instructed to remove the tenant. Don’t take matters into your own hands.
Stick to the law when evicting tenants
Always go through the correct channels when you need to evict a tenant. You must lawfully obtain a possession order and if you do anything which can be seen to interfere with the tenant’s occupation of the premises, the tenant may bring a claim against you for unlawful eviction. In those circumstances the damages are not limited to the tenant’s loss but are linked to the potential value of the property.
Be aware of new illegal immigration fines
Recently new rules came into effect for landlords in the West Midlands. Those who fail to check whether prospective tenants are in the country legally can face a £3,000 fine. This is expected to be rolled out across the UK. In the meantime familiarise yourself with the Home Office’s guidance on unlawful discrimination as well as the Code of Practice, which includes a list of acceptable documents to use to verify a tenant’s immigration status.
Our expert team will be able to advise and guide you through the minefield of obligations and duties the law imposes on landlords of residential properties call 0161 7614611