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Updated 20th March 2008 Property Rental and Management Services, Terms & Conditions On Instruction Upon instruction your property details are circulated to suitable, prospective, applicants. We also incorporate these details onto our current property list. In addition we add your property details to our website www.sabbaticalhomes.co.uk including pictures . Our property list is distributed to major universities throughout London, USA, Europe, Australia and Japan. Once a suitable applicant has expressed an interest in renting the property we can negotiate all terms and conditions for inclusion in the tenancy agreement Our ChargesMedium / Long Term Lettings ( Over 10 weeks ) Our charge of 10% of the Gross Rent is for securing a tenant. Obtaining a character reference and proof of employment. Preparing the Tenancy Agreement, firstly for the landlord’s approval and signature and the tenants' signature. Collecting from the tenant rental payments and the security deposit called for under the Agreement. We supply a monthly statement to our landlord and forward rent directly to you, or to your Building Society/Bank account, (this must be in the UK) We meet the tenants when they arrive at the property. Short Term Lettings ( 10 weeks and under ) For short term lets of 10 weeks and under we charge 15% of the gross rent. Lettings and ManagementTo manage your property we charge an extra 5%, while the property is occupied by our tenant If we are not managing your property and are called out in an emergency, or asked to arrange a repair to your property we charge 10% of the bill or £50.00, whichever is the greater. Management while Vacant or Rented by other AgentWe believe it is important that there is continuity in the management of your property regardless of whether the property is let or if we have found the current tenant. Our services include : Regular visits when vacant, supervision and payment of utilility bills, postage sorting and forwarding etc . To manage your property on an annual basis we charge 5% of the rental value ( if rented ) or a fixed fee of £15.00 per week if vacant ( not including costs incurred on your behalf ). Where supervision of building / decorative work required, an additional charge of 10% of the value of the work carried out will also be charged. On April 6th 2007 the governments new Tenants Deposit Scheme came into force.. Sabbatical Homes has taken all necessary steps to comply with this new legislation. As part of this compliance we have :
The result of having to comply to all this new legislation is that from May 1st 2007 there will be a small administration charge of £25.00 which will be charged to the landlord by way of a lettings completion charge. This figure will be deducted from the first rental payment. Until now we have absorbed the congestion charges charged by Transport for London as only a few properties where affected by it. With the expansion of the scheme in February 2007 we are now forced to pass on these charges where necessary. When seeing tenants in on arrival or out on departure, we will not pass on the charge, as we have accounted for it in the tenant’s administration charge. We will only pass on the charge when we have to visit the property as part of our management duties, or if we are not managing, where we have to visit the property to sort out any problems. If the property has parking restrictions outside, and no free off street parking is available, you will need to provide us with a quantity of Visitor Parking Permits, otherwise we will have to charge you for parking, when we are visiting the property on your behalf. The Tenants Deposit Scheme only applies to those Agreements which are Assured Shorthold Tenancies ( See Types of Tenancy section below ) Sabbatical Homes Ltd is a member of the Tenancy Deposit Scheme, which is administered by: The Dispute Service Ltd PO Box 541 Amersham Bucks HP6 6ZR phone 0845 226 7837 email deposits@tds.gb.com fax 01494 431 123 If Sabbatical Homes Ltd is instructed by the Landlord to hold the Deposit, Sabbatical Homes Ltd shall do so under the terms of the Tenancy Deposit Scheme. Sabbatical Homes Ltd holds tenancy deposits as Stakeholder. At the end of the tenancy covered by the Tenancy Deposit Scheme If there is no dispute Sabbatical Homes Ltd will keep any amounts agreed as deductions where expenditure has been incurred on behalf of the Landlord, or repay the whole or the balance of the Deposit according to the conditions of the Tenancy Agreement with the Landlord and the Tenant. Payment of the Deposit will be made within 15 working days of written consent from both parties. If, after 15 working days following notification of a dispute to Sabbatical Homes Ltd and reasonable attempts have been made in that time to resolve any differences of opinion, there remains an unresolved dispute between the Landlord and the Tenant over the allocation of the Deposit it will (subject to the amount in dispute being below £5,000) be submitted to the ICE for adjudication. All parties agree to co-operate with any adjudication. When the amount in dispute is over £5,000 the Landlord and the Tenant will agree by signing the Tenancy Agreement to submit the dispute to formal arbitration through the engagement of an arbitrator appointed by the ICE although, with the written consent of both parties, the ICE may at his discretion accept the dispute for adjudication. The appointment of an arbitrator will incur an administration fee, to be fixed by the Board of The Dispute Service Ltd from time to time, shared equally between the Landlord and the Tenant. The liability for any subsequent costs will be dependent upon the award made by the arbitrator. The statutory rights of either the Landlord or the Tenant(s) to take legal action against the other party remain unaffected. It is not compulsory for the parties to refer the dispute to the ICE for adjudication. The parties may, if either party chooses to do so seek the decision of the Court. However, this process may take longer and may incur further costs. Judges may, because it is a condition of the Tenancy Agreement signed by both parties, refer the dispute back to the ICE for adjudication. If the parties do agree that the dispute should be resolved by the ICE, they must accept the decision of the ICE as final and binding. If there is a dispute we must remit to The Dispute Service Ltd the full deposit, less any amounts already agreed by the parties and paid over to them. This must be done within 10 working days of being told that a dispute has been registered whether or not you or I/we want to contest it. Failure to do so will not delay the adjudication but The Dispute Service Ltd will take appropriate action to recover the deposit and discipline me/us. Sabbatical Homes Ltd must co-operate with the ICE in the adjudication of the dispute and follow any recommendations concerning the method of the resolution of the dispute. If the Landlord warrants that all the information he has provided to Sabbatical Homes Ltd is correct to the best of his knowledge and belief. In the event that the Landlord provides incorrect information to Sabbatical Homes Ltd which causes Sabbatical Homes Ltd to suffer loss or causes legal proceedings to be taken the landlord agrees to reimburse and compensate Sabbatical Homes Ltd for all losses suffered. TDS Leaflet
A copy of the TDS leaflet as supplied by The Dispute Service can be downloaded from our website, or emailed on request. Since the introduction of the Housing Act 1988 on 15 January 1989, the majority of private residential lettings came under the system of assured and assured shorthold tenancies. The legal framework was further amended on 28th February 1997 whereby such lettings on or after this date became automatically an assured shorthold tenancy (AST) Therefore, when granting the tenancy, an assured shorthold tenancy agreement is the most common form of tenure. There are however, several notable exceptions:
In the above situations, the letting will fall outside the control or statutory provisions of the Housing Act 1988 and a “common law” or “contractual” tenancy will normally result. In most cases Sabbatical Homes tenancies will be deemed Holiday Lets and a Common Law Agreement will be produced Sale of PropertyIn the event that one of our client tenants or any other client introduced by Sabbatical Homes Ltd purchase property owned by you, we will charge a sales commission of 1% of the total value of the transaction.Search and Purchase of PropertySabbatical Homes now offer a property acquisition service. Our service for non resident clients wishing to purchase property within the United Kingdom includes searching for the required property from a given brief, showing the properties, negotiating the price on behalf of the client, arranging for surveys, solicitors, and completion. The cost of this service is 0.5% of the agreed purchase price up to £750,000 of the property value and then 0.25% on the value above £750,000. Refurbishment, Design and Build Sabbatical Homes now provides a full refurbishment service to clients wishing to redecorate, update or re-model their property. From arranging all service trades, to design and build, Sabbatical Homes can manage the whole project. The cost for this service is 10% of the total cost of the work carried out. In the event that one of our client tenants or any other client introduced by Sabbatical Homes Ltd, contacts you directly to rent your property, should you decide to not use Sabbatical Homes Ltd, you will still pay us an introduction fee equal to 10% of the total rental value.What you Need To DoAccommodation Hand BookTo help with the smooth running of your home please prepare a folder with instruction and information regarding the workings of your property, together with any instruction manuals for equipment left for the tenants use. This is very important and avoids misunderstandings and unnecessary breakage. The following information is essential: 1) The name, address and telephone number of the person managing/over seeing any repairs to the property in your absence and a key holder in case of an emergency 2) The location of the STOP COCK, the main FUSE BOX and the main GAS supply tap It is helpful to include in your instruction folder:- The telephone number of a handyman, plumber, electrician and cleaning lady who are familiar with your home. Prior to lettingThe Landlord must ensure that the property is thoroughly cleaned and properly maintained throughout, all machines, appliances and gas/heating/water systems should be in excellent working order and recently serviced. Bed linen must be freshly laundered and ironed. Carpets, curtains, duvets, blankets, bed covers should be professionally cleaned where possible. Check bed pillows are not stained. It is advisable to supply mattress and pillow protectors. Windows should also be cleaned and gardens well maintained. RentThe tenant will expect to pay the following - Rent, telephone, gas, electricity and in some cases the Council Tax. It is less complicated when a Landlord continues paying Council Tax by standing order. For rentals of under one year the Council Tax should be included in the rental price. The Tenant will be invoiced monthly. The rent received by Sabbatical Homes will be paid to you less our commission, either by electronic transfer directly to your bank or building society. The rent should be inclusive of :- Ground rent, service charge, water rates, insurance premiums, TV licence etc. and all out-goings for which the Landlord is responsible. Gas & Electricity and TelephoneWe recommend that you pay all your bills by standing order. We will recoup the money from the tenants based on the meter reading taken at the beginning and at the end of the tenancy. Alternatively, for lets of one term (c4 months) or more, you may prefer the gas and electricity to be transferred into the tenants name. Please arrange for the utility companies to read the meters shortly before your departure, this avoids confusion as so many bills are based on estimated readings. Where the utilities are to be transferred into the tenants name, we recommend the following:- Before the beginning of the tenancy you will need to notify the utility company that you require a final bill as you are giving up the service and give the name of the new subscriber. At the end of the tenancy, the tenant (as the subscriber) must contact the utility company requesting that the gas/electricity service be transferred back into your name. Lets of under 8 weeks gas and electricity to be included in the rental price Telephone If the line is being transferred to the Tenants name - the Landlord (as the subscriber) informs BT or your telephone service provider they wish for a final bill and for the service to be transferred into the tenants name on the date specified. At the end of the tenancy the tenant does the same, please note you will also have to contact BT agreeing for the service to go back into your name.You are not giving up your telephone number by doing this. For shorter periods it is recommended that the account remains in the landlord’s name and readings taken by BT or your telephone service provider are recorded at the beginning and at the end of the letting term. When requesting itemised bills please make sure these are for calls of .10p and over otherwise the bills get too unwieldy - overseas calls and operator controlled calls are then supplied to the landlord by BT or your telephone provider. Sabbatical Homes will recoup the appropriate cost for the landlord from the tenant. Should you wish to find how much is owed on your BT bill, telephone your telephone provider and request a meter reading, or in the case of BT simply use ‘Call my bill’ service on 0800 854 608 and follow the operators instructions. If you use another service please informs us. We can monitor telephone usage more accurately by using the telephone providers’s online billing service,.To use this facility we will need a copy of your latest telephone bill – which contains the necessary information to register online. If you are already registered for online billing, just let us know your username and password. If gas, electricity and telephone bills are kept in your name they can be sent to us C/O Sabbatical Homes (by prior agreement) for safe keeping. and payment management Please supply Sabbatical Homes with your most recent telephone and utility bills, this enables us to calculate the latest charges, plus this also gives us the correct reference numbers if we need to contact the telephone and utility companies with any queries. Please be advised we cannot be held responsible for any failure that may occur on the part of the various services complying with any request. Sabbatical Homes will deduct £150 from the first rental payment, which will be held on your account as contingency against any expenses / bills that need to be paid on your behalf. At the end of the tenancy ( if the tenancy is a one off ) the balance of the contingency together with any tenant re imbursements will be paid directly into your bank account. Under the terms of a tenancy agreement, a Landlord is responsible for insuring the building and the contents included in the inventory (if any). Landlords should advise their insurance company the property will be tenanted. We recommend that you fit a hotel style electronic key pad style safe for your guests to keep their valuables ( passports, travellers cheques etc ). We have selected a particular good value safe which can also hold most laptops and can arrange for one to be fitted ( See our website for more details ) InventoryOptional, this can be prepared by yourself, or if you prefer a professionally prepared inventory. We recommend Howard Inventories 0208 371 3250 they will compile a very detailed inventory of the contents and condition of the property, plus perform a check-in and check-out, the fee for this service is by direct negotiation with Howard Inventories. When contacting them please tell them that you have been recommended by Sabbatical Homes Ltd- so that you benefit from their special rates. It is the Landlord’s duty to satisfy him/her self as to the accuracy of any inventory, be it your own or a professionally prepared one. Sabbatical Homes cannot accept any liability for any claim arising out of an inventory dispute. GAS regulations for Landlords. All Landlords must ensure that all gas appliances and boilers are serviced by a CORGI registered inspector, at least once a year and you are required by law to hold a Landlord’s Gas Safety Record inspection certificate. (please leave a copy for your tenant in the property instruction folder) Failure to comply with the regulations (installation and use) can result in prosecution. For further information call; Freephone 0800 300 363. We can arrange for this to be done on your behalf, by our Corgi registered engineer Electricity Regulations for Landlords Energy Performance Certificates ( Mandatory from Oct 1st 2008 ) A new compulsory Energy Performance Certificate (EPC), initiated by the EU in January 2003, will be introduced in the UK from October 2008 on all residential properties available for rental. All properties where a new rental agreement is created after October 1st 2008 must have an EPC. ( They are valid fro 10 years ) The reports, prepared by qualified home inspectors, ( DEA’s ) will advise consumers on which energy measures - ranging from thicker loft insulation right through to solar panels - could cut carbon emissions from their home and improve their energy rating. When introduced, the law will require that when a building is rented out, an EPC not more than 10 years old must be made available by the owner to prospective tenants. The EPC will be based on the existing EU colour scheme, which is used to indicate the energy efficiency of domestic appliances like a fridge, dryer and so on. ( See our website for downloadable PDF ) The cost of having an EPC carried out will depend on the individual home inspector. Currently the cost is around £85 – but we anticipate this rising to over £120 after October 2008 when the Certificate becomes mandatory. Electrical Equipment (Safety) Regulations 1994 In order to comply a Landlord must ensure that all the electrical equipment in his property is safe. It must therefore comply with the Consumer Protection Act 1987 but must also comply with the above regulations. Therefore in order to minimise risk the Landlord must ensure the safety of all animals and the property as well as those humans who either live in the property or may enter upon the premises. Safety includes minimising the risk of injury as well as death. The Landlord must: PENALTIES: Furniture regulations for Landlords. Furniture and soft furnishings must comply with the Fire and Safety Regulations 1988. (details of this act and the amended fire resistance requirements may be obtained from Her Majesty’s Stationery Office). As a landlord you must ensure that all of your property is safe and in no way poses a danger to anyone entering the premises. You must ensure that all glass doors have safety glass fitted, that the garden poses no danger to anyone, i.e. an old iron fence may cut a child’s hand, the guttering may not be held up properly or the kitchen cupboard door that you have been meaning to fix may fall of it’s hinges and injure another party. You have a duty of care to ensure that your property poses no danger to your tenant, a visitor or even someone trespassing on your property. Check your property thoroughly to ensure that there are no hidden dangers. What may be seen as an everyday inconvenience to you and something that you will get around to fixing one day can end up as major incident to someone else and cost you a fortune. Landlord Repairing Obligations Repairing Obligations: By this, we understand that as a landlord you should ensure that all the sanitary installations and heating including pipes as well as boilers and radiators are in safe working order at all times. Should a tenant complain that there is a malfunctioning unit it is in your best interests to ensure that it is fixed as soon as possible to ensure minimum risk to the tenants health. The Landlord and Tenant Act 1985 Section 11 1. Disclosure of landlord's identity (a) to keep in repair the structure and exterior of the dwelling-house (including drains, gutters and external pipes), (b) to keep in repair and proper working order the installations in the dwellinghouse for the supply of water, gas and electricity and for sanitation (including basins, sinks, baths and sanitary conveniences, but not other fixtures, fittings and appliances for making use of the supply of water, gas or electricity). (c) to keep in repair and proper working order the installations in the dwellinghouse for space heating and heating water. (1A) If a lease to which this section applies is a lease of a dwelling-house which forms part only of a building, then, subject to subsection (1B), the covenant implied by subsection (1) shall have effect as if- (a) the reference in paragraph (a) of that subsection to the dwelling-house included a reference to any part of the building in which the lessor has an estate or interest; and (b) any reference in paragraphs (b) and (c) of that subsection to an installation in the dwelling-house included a reference to an installation which, directly or indirectly, serves the dwelling-house and which either- (i) forms part of any part of a building in which the lessor has an estate or interest; or (ii) is owned by the lessor or under his control. (IB) Nothing in subsection (1A) shall be construed as requiring the lessor to carry out any works or repairs unless the disrepair (or failure to maintain in working order) is such as to affect the lessee's enjoyment of the dwelling-house or of any common parts, as defined in section 60(1) of the Landlord and Tenant Act 1987, which the lessee, as such, is entitled to use. (2) The covenant implied by subsection (1) ("the lessor's repairing covenant") shall not be construed as requiring the lessor- (a) to carry out works or repairs for which the lessee is liable by virtue of his duty to use the premises in a tenant-like manner, or would be so liable but for an express covenant on his part, (b) to rebuild or reinstate the premises in the case of destruction or damage by fire, or by tempest, flood or other inevitable accident, or (c) to keep in repair or maintain anything which the lessee is entitled to remove from the dwelling-house. (3) In determining the standard of repair required by the lessor's repairing covenant, regard shall be had to the age, character and prospective life of the dwelling-house and the locality in which it is situated. (3A) In any case where- (a) the lessor's repairing covenant has effect as mentioned in subsection (1A), and (b) in order to comply with the covenant the lessor needs to carry out works or repairs otherwise than in, or to an installation in, the dwelling-house, and (c) the lessor does not have a sufficient right in the part of the building or the installation concerned to enable him to carry out the required works or repairs, then, in any proceedings relating to a failure to comply with the lessor's repairing covenant, so far as it requires the lessor to carry out the works or repairs in question, it shall be a defence for the lessor to prove that he used all reasonable endeavours to obtain, but was unable to obtain, such rights as would be adequate to enable him to carry out the works or repairs. (4) A covenant by the lessee for the repair of the premises is of no effect so far as it relates to the matters mentioned in subsection (1)(a) to (c), except so far as it imposes on the lessee any of the requirements mentioned in subsection (2)(a) or (c). (5) The reference in subsection (4) to a covenant by the lessee for the repair of the premises includes a covenant - (a) to put in repair or deliver up in repair, (b) to paint, point or render, (c) to pay money in lieu of repairs by the lessee, or (d) to pay money on account of repairs by the lessor. (6) In a lease in which the lessor's repairing covenant is implied there is also implied a covenant by the lessee that the lessor, or any person authorised by him in writing, may at reasonable times of the day and on giving 24 hours' notice in writing to the occupier, enter the premises comprised in the lease for the purpose of viewing their condition and state of repair. What can the tenant do? Unfortunately several landlords are of the impression that they do not have to do anything. Well, you do because you have a duty of care to your tenant! The term duty of care is valid to just about everything we do in everyday life. We all have a duty of care to each other! You must ensure that the dwelling is safe, hygenic and that all the items in the property are safe to use. We all know about the gas, Electric and Furniture regulations, but bear in mind that you should ensure that any other possible problem could be put down to your negligence. For example, that gutter that you have been meaning to fix for the last two years, suddenly decides it has given up hanging on by its’ last hinge and plummets to the ground, hitting the tenant as they walk out of the door. Well, you will be liable! The tenant can prosecute you for failing in your repairing obligations and also seek compensation. Another very good reason to ensure that you have the correct insurance policy for being a rented property. Many Landlords have asked us why they should repair something that a tenant has damaged. The answer is because it is the law. As a landlord, it is often difficult to prove that the damage was the fault of the tenant. You can get engineers in who will say that the heating has broken down because it has been on high all day for the last four months, but then there is little you can do about this. The tenant has a right to heating and if they are cold, then they are going to turn it on and up. You have a duty to ensure that the heating is working correctly at all times and it does not matter how the tenant behaves. We had an excellent case a few winters ago whereby the tenant left the property for two months over Christmas and turned the heating off. The pipes froze and burst and the water tank split. The water tank was situated in the loft of a five storey house that was being rented out for £2500 per month. Upon the tenants return they rang the landlord and immediately informed him of the disaster. The landlord rang us up in a panic and asked what they should do. As we were arranging for repair men to enter and replace carpets and decorate after getting the dryers in it occurred to us to have a look through the tenancy agreement. Sure enough, there was a clause that stated that the tenant must inform the landlord if they are going to be absent from the property for more than two weeks. Plus we had also put in the contract that the tenant upon leaving the property for any period of time must ensure that the heating is left on so as to avoid the freezing of any pipes. The tenant had failed on both counts and was faced with a serious bill to pay. Fortunately they had the foresight to take out insurance and we all lived happily ever after. If you have a particularly difficult tenant who complains the whole time about things that need mending, don’t worry too much. At least you know the property is being looked after! The term no news is good news, does not really apply to landlords! However, if you have a tenant who appears to be breaking everything he touches, then your best course of action may be to serve notice and deduct the cost of repair from the deposit. Note however, that you will have to come to agreement with the tenant and that it is unwise to just take the money and run! TAX. for Non-Resident Landlord. From 6th April 1996 letting agents or, where there is no letting agent, tenants must account for tax at the basic rate on the United Kingdom rental income of a landlord whose place of abode is outside the UK (a non-resident landlord). If you have an accountant they will be able to instruct you on the correct procedure. You can apply to the Inland Revenue to have rent money paid without tax deductions - they will then issue Sabbatical Homes with an exemption certificate. Sabbatical Homes NRL agent number is NA 035799 If you need to register as a Non resident Landlord you can download an application form from our website Please note, if we do not hold an exemption number for you, we are legally bound to deduct 22% of the rent. For more information and application forms contact the following;- (we have always found them very helpful). FICO (Financial Intermediaries and Claims Office),St John’s House,Merton Rd,Bootle, Merseyside, L69 9BB. Tel; - 0151 472 6208/9. Fax;- 0151 472 6067 The Inland Revenue have produced a leaflet about this scheme, IR 140, called “Non-resident landlords, their agents and tenants”. You can get the leaflet from the address above or from any Tax Enquiry Centre or Tax Office. (Information correct - Nov 2003) Click here for Property Details Form >>>>>>>>>>>>> Contact:
Elaine Godfrey - David Godfrey :
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Telephone : +44 (0) 208 906 4747
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Fax :+44 (0)5601 169 787
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Email : info@sabbaticalhomes.co.uk
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Mail : Sabbatical Homes Ltd
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House 44 Millway Mill
Hill London NW7 3RA United Kingdom |
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Copyright © 2008 Sabbatical Homes Ltd All rights reserved Queries regarding this site should be addressed to info@sabbaticalhomes.co.uk This site is now managed by Preferred Developments Ltd @ www.c-instore.com |
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