LANDLORD GUIDE & FAQ
LANDLORD CHECKLIST - WHAT YOU NEED TO RENT A PROPERTY
Before letting your property you need to ensure your mortgage provider is aware of your intention to let and you have either a Buy To Let mortgage or Consent to Let agreement with your lender.
Buy to Let is a mortgage agreement where your lender gives you permission to let out the property. The difference is that fees and interest rates tend to be higher and the minimum deposit if often around £25,000. What you are able to borrow will depend on your expected rental income and typically lenders would rental income to be 25% more than your mortgage payment. When buying Buy to Let its a good idea to talk to a broker who can help you get the best deal. HMO letting offers huge rental potential offers sometimes three times the rental yield than you would receive with a single tenant.
Consent to Let is an agreement with your mortgage provider for permission to rent out your home. Usually for a period of 6-12 months. If you do choose to let your property without consent you may face penalties for being in breach of your mortgage contract. Some banks may insist you change to a Buy to Let mortgage which may be more costly.
YOU MAY ALSO NEED;
PAT or Portable Appliance Testing is compulsory in HMO rented properties for all electrical appliances.
PAT testing is not a legal requirement for non HMO rented properties.
Rent is paid on the same date each month, via bank transfer. A full statement is also sent explaining all income and expenditure.
We usually take care of the deposit lodgement with the Deposit Protection Scheme. However, landlords do have the option to do this themselves.
It is the contract that you sign between you and the landlord which outlines the terms and conditions of your tenancy. It is a legally binding document that describes the landlords and tenants obligations in full.
HMOs are usually fully furnished by the landlord, the cost of which can be incorporated in to the rent and is tax deductible.
Yes! It is the landlord’s obligation to fix most repairs.
Sherratt Properties provide all associated services including inventory and health and safety checks.