This Contract sets out the agreement between you as Landlord and us as your Agents for whatever services are specified in this contract
WE REQUIRE YOU AS LANDLORD TO:
Declare to us all joint owners and to confirm you are entitled to enter into this contract and receive the rent.
In the case of leasehold property confirm that the lease permits sub-letting and obtain (and confirm you have obtained) any necessary consent to sub-let from any superior lessors and lenders and inform us of any of their special terms or requirements. Obtain (and confirm you have obtained) consent to let from your mortgagee.
Inform your insurance companies that your property and contents (if applicable) are to be let and confirm with them that your cover remains adequate.
Agree with us the details of the property to be let and the contents to be included (if any). Supply a minimum of 2 full sets of keys. Three if the property is to be fully managed.
Ensure the property is safe for letting in accordance with current legislation, is clean and in good decorative order so that it is available for immediate occupation by a Tenant.
Ensure you have given us as the Agent all necessary information relevant to the service to be provided and that such information is correct and may be relied on by us. Inform us during the period of this contract of any material changes that occur.
Agree that, should the property be sold to a Tenant in occupation (or any Tenant introduced by us within six months of his leaving) you will notify us within 7 days of the exchange of contracts and to pay a fee of 1% of the sale price on completion plus VAT.
Indemnify us as the Agent against all costs, claims and liabilities of any nature and whether civil or criminal reasonably incurred by us as Agent in the proper performance of our obligations under this contract.
Agree that in the event of the property being sold or passed on with the benefit of a tenancy, to pay our fees for the duration of the tenancy and for any extensions or renewals thereof, regardless of whether negotiations have been carried out by us.
Pay the fees and charges specified for the services you require (as detailed on page 1-4).For Service Options B and C you will remain liable for the payment of fees and charges even if the Tenant fails to pay the rent.
In addition to this, Landlords will now be liable to pay all admistrative costs associated with each Tenancy. Following the Tenant Fees Act which came into force on 1st April 2019, it has become necessary to pass those fees on to each individual Landlord.
Those charges currently stand as follows, but can be subject to change should outside Agencies decide to increase their fees. This is not something that can be governed by Ashby and Austin Property Services Ltd and we would have no alternative but to increase our fees accordingly:
Administration Fees £300.00
Credit Search Fees per person £75.00
Check in Fee
This will differ according to the size of the property £70.00 – £100.00
Renewal Fees £60.00
Landlord fees will remain as they have been in as much as you will be liable to pay the cost of check out inspections ( according to the size of property this will range from £ 80.00 – £110.00 ) and for the Deposit Protection fee of £ 60.00
There is no VAT payable for any of the above fees.
Sign the “Acceptance of Client Contract and Terms of Business” Schedule to confirm your agreement to these terms.
Sign the Tenancy Agreement, or authorise us to do so on your behalf (in writing)
THE SERVICE WE PROVIDE
Option A – Letting only Services
Advise on the types of Tenancy available.
Advise on likely rental value.
Take action to market your property – such action to include appropriate advertising and the erection of a “To Let” board.
Receive applications and arrange and conduct viewings.
Obtain such references for applicants that seem to us to be necessary (for the avoidance of doubt as Agent we shall not be in any way responsible for any default by a Tenant introduced by us in good faith and selected by you).
If instructed we prepare Notices and Agreements (to be signed by you as Landlord and by the Tenant) and an Inventory and Schedule of Condition.
Ensure that an initial Gas Safety Record is obtained before letting and given to the Tenant before he moves in.
On your instructions, execute the Tenancy Agreement.
Collect from the Tenant a deposit – a minimum of five weeks rent. We will hold the deposit as stakeholder in our Client Account.
Hold Client money in our Client Account.
Collect from the Tenant the rent for the first period from which is deducted our fees and charges plus VAT as agreed in this contract.
Arrange for the Tenant to pay to you future rent by standing order.
Advise utilities of final readings and details of the new consumers.
On your instructions and for additional agreed fees negotiate rent reviews, tenancy extensions and check outs.
Write a letter to both you the Landlord and to the Tenant to confirm termination of our ”Let Only” service and to clarify that we are not responsible for the management of the property or for the renewal of the Gas Safety Record. You, the Landlord are responsible to ensure the timely renewal of the annual Landlords Gas Safety Record and give the Tenant a copy within 28 days of the date of the inspection.
Option B – Letting and Rent Processing Service
All services as provided under Option A are applicable but in addition we will:
Receive rent from Tenants and if not paid within 14 days of its’ due date demand such from the Tenant and advise you accordingly.
Take all reasonable steps to demand the rent but we will not be responsible for issuing proceedings for the recovery of rent on your behalf. If legal action is required, you the Landlord will instruct a solicitor to act on your behalf and as Agent we will provide all relevant information regarding rent payments and arrears. If we are required to attend Court there will be additional fees (charged at £150 plus VAT per day or part-day plus reasonable expenses and disbursements).
Provide you with a monthly statement of Rent and deductions and pay the balance to you as soon as practical after the funds have cleared.
If you are resident overseas it is your responsibility to ensure that we have received a Notice from the Inland Revenue (F.I.C.O.) confirming your entitlement to receive rent without tax deducted.
If no such exemption is available we must deduct income tax on rent received, less allowable expenses, and account to the Inland Revenue as required by current taxation rules. A quarterly charge will be made to cover additional administration costs incurred.
For the avoidance of doubt, it is confirmed between the parties to this contract that:
a) As Agent we shall have no obligation or duties in respect of management of the property (other than processing of rent) or for the renewal of the Gas Safety Record.
b) As Agent we shall not be liable in any way for any defect or omissions in any documentation prepared for or provided by your solicitor or another party.
c) You the Landlord are responsible to ensure the timely renewal of the annual Gas Safety Record and for providing the Tenant with a copy within 28 days of inspection.
Towards the end of the Tenancy Agreement you may instruct us to serve Notice to terminate the Agreement or for an agreed fee to negotiate an extension and/or drawing up the documentation (see scale of fees).
Option C – Letting and Full Management Services
All services as provided under options A and B are applicable but in addition we will:
Notify the Council and utilities (except telephone) of the tenant’s details
We will be responsible for all day to day management including arranging general repairs and maintenance (subject to an agreed limit) and, if so instructed, using nominated contractors. We reserve the right in an emergency to take whatever action we consider necessary (even above agreed spending limits).
The cost of repairs will be deducted from rental income and shown on your monthly statements.
If repairs and/or refurbishments are authorised at a cost of over £500 (including VAT) then we will charge an additional fee of 10% plus VAT on the total cost of the works, to be paid by deduction from rental income when the repairs are completed.
We will carry out visits to assess the general condition of tenanted property once every three months. A written report will be sent to you. (Note: All such visits will only identify visible problems relating to the general condition of the property. They are not surveys or detailed inventory checks).
We will arrange for the timely annual renewal of the Gas Safety Record (unless specifically Instructed in writing by you not to do so) and give a copy to the Tenant within 28 days of the date of the inspection.
We can provide the following services when the property is empty:
Visit the property weekly, logging visits and notifying you of apparent problems.
Batching up and forwarding your mail.
Checking that doors are locked and windows closed on each visit.
If possible, meet with the neighbours and leave our business card.
The fee for our “Emptycare” service shown on the Scale of Fees and Charges is subject to a minimum fee on each occasion it is used and such fees are payable in advance. Please note that:
We will re-offer the service if the property falls vacant again.
You will probably have to arrange some of these services to maintain your insurance cover when the property is empty. Please check the details of your insurance policy.
We may use the information provided by you to offer other services relevant to the Letting & Management of your property.
THE LIABILITY OF YOUR AGENT APPLICABLE TO ALL SERVICES
The Agent undertakes at its expense to provide the services set out in this agreement. As Landlord, you agree to give us a reasonably opportunity to remedy any failure or shortcoming in the provision of such services as soon as is reasonable and practicable after any such failure or shortcoming is identified and reported to us by you in writing.
The Landlord accepts that any forecast that might be made by the Agent in respect of future income or expenditure is a general indication only that may change in response to changing market conditions and other factors and the Agent therefore cannot accept any responsibility for such forecast.
The Agent is not liable for any loss, injury, damage or legal or other expenses sustained as a result of any defect in the equipment or materials used in the property, whether or not such defect be latent or apparent on examination, or as a result of any act, omission or insolvency of any person other than the Agent or its employees.
The Agent shall not be liable to indemnify the Landlord in respect of any claims made by a third party for any loss, injury, damage or legal or other expenses (other than as a direct consequence of negligence on the part of the Agent or any of its employees) and the Landlord shall indemnify the Agent for any loss, injury, damage or legal or other expenses in respect of any such claims.
In no circumstances shall the Agent be liable for any indirect or consequential loss damage, cost or expense of any kind whatsoever and however caused saved where death or injury results from negligence on the part of the Agent or its employees.
WARNING TO LANDLORDS:
Usually it is necessary to serve Notice on a Tenant to obtain possession of your property (even when it is the end of a fixed term contract), Notice is usually a minimum of two months but in some circumstances can be longer.
If the Tenant does not vacate time must be allowed for Court Proceedings.
It is essential that if you require us to seek possession that you give us the maximum possible prior warning in writing at least 2 weeks before the deadline for giving notice so that the relevant procedures can be carried out in accordance with the timescales required by legislation.
TERMINATING THIS CONTRACT
The following conditions apply to the termination of this contract by either party:
If we consider that you are at any time in breach of regulations relating to rented property we reserve the right to give you seven days’ notice of the termination of this contract.
In the event of either party wishing to terminate this contract then the following terms will apply:
We may terminate this contract by giving you six weeks’ notice in writing.
You may terminate this contract after the initial four month period by giving us six weeks’ notice in writing and paying the appropriate fee due for the tenancy period.
VARIATIONS TO THIS CONTRACT
We reserve the right to vary any of the terms of this contract by giving you 3 calendar months written notice of the variation (including fees and charges).
Subject to agreement you may upgrade the level of service from one option to another by giving 14 days’ notice in writing and permitting us to prepare for your signature the new contract.
Ashby and Austin Property Services Ltd is committed to providing a high quality professional service to its clients. In the unlikely event of any dispute or complaint arising every effort will be made to resolve the matter internally and you should in the first instance refer the matter to the Manager of the office responsible for your property. It is our aim to resolve such matters through our internal complaints procedure if at all possible.