Letting a property for the first time

Prepare a pre-tenancy checklist

If you are letting a property for the first time it is crucial that you know your rights and obligations, health and safety regulations and the latest legislation on handling your tenant's deposit. A pre-tenancy checklist should help you make sure you've ticked all the right boxes before you take the next step in letting your property. These are some important issues to consider:

Update your insurance to take into account that your property is going to be let.

Get the requisite permission from your mortgage lender (if applicable).

Obtain approval from the council's planning office (if you plan to make structural alterations to the property or change the property's use).

Inform the council's Environmental Health Department if you plan on letting as a House in Multiple Occupation (HMO).

Make sure all furniture and furnishings comply with the latest fire regulations.

Ensure that all gas appliances and equipment have been serviced by a CORGI-registered engineer and that safety records are kept in a safe place.

Make sure that all electrical wiring has been checked and safety approved by a qualified electrician.

Inform the Council Tax department and utility suppliers that the property will be let (relevant if you plan on being a non-resident of a self-contained property).

Obtain references to make sure that your tenant is suitable and has the ability to pay their rent, making sure they have rented a property without any major problems in the past (if this is applicable).

Secure the deposit which is usually between one and two months’ rent and held for the duration of the tenancy. Legislation was introduced to the Housing Act 2004 in April 2007 to help protect all parties with regard to the return of deposits.

The inventory is one of the most important documents in the renting process and can often be the key in deciding how much of a deposit the tenant will get back at the end of the agreement.

Since the late 1990’s, the Assured Shorthold Tenancy agreement has been the most common form of tenancy agreement and sets out the duties of both tenant and landlord. There is no minimum term specified either, although the renter has the right to remain in the property for at least six months. If the fixed term is for three or more years, however, a deed must be drawn up and a solicitor employed to do so.