There are a number of commonly used lettings terms that as agents we throw into conversation thinking people know what we are talking about... but this isn’t always the case.

As a tenant you may have just started to think about renting your first place, you may be arranging your moving in date or perhaps you have been living in rented properties for years. As a Landlord you may have just bought your first investment or own 20, either way whatever your situation the language of rental can sometimes be foreign and difficult to understand ... that's where we come in.

Here at M&M we do our very best to make sure your move runs as smoothly as possible and that the contract along with various move in documentation is explained in full to all parties involved.

In our effort to educate and inform we have put together our Jargon-busting list

AST – Assured Shorthold Tenancy

This is the most common type of rental agreement; this document sets out the rights and obligations between the landlord and tenant.

Arrears

Money that is unpaid by a tenant in whole or in part after the date specified in the tenancy agreement that it is due.

Check - in

The process of settling a tenant into a property.

Check - out

The process of moving a tenant out of the property and making sure the property is being returned in the same condition as it was originally let. 

Contents insurance 

Insurance that protects the contents of the property.

Deposit

This is an amount of money that the tenant pays to protect the Landlord in case they cause dilapidations.  

DPS – Deposit Protection Service

In 2007 new legislation was introduced to protect tenants deposits. The tenant pays the deposit to us at the commencement of the tenancy. Within 21 days of receipt of the deposit we will register this with the governments Deposit Protection Service. At the end of the tenancy, we will advise the DPS if any deductions are to be made if agreed with the tenant. Where a deduction is defended the DPS will provide a free arbitration service.  Since it is evidence based it is clear that a party who cannot produce evidence has a poor chance of winning the argument (hence the importance of an inventory!).

Dilapidations

Dilapidations are any decay, damage, or disrepair in a property.

EPC – Energy Performance Certificate

As from the 1^st October 2008 it is a legal requirement that all rented properties have an Energy Performance Certificate available for all prospective tenants to inspect at the point of marketing. This not only applies to all new properties being offered but also where an existing tenant renews their tenancy. The certificate once issued has been deemed to have a life of 10 years so its not one that you have to think about too often.

From April 2018, the Minimum Energy Efficiency Standards (MEES) came into effect. This means that all private rented sector homes must have a minimum Energy Performance Certificate rating of E, or renting will be prohibited.  Whilst the rule initially applies to new tenancies and renewals, eventually by April 2020, it will be extended to existing tenancies.

Guarantor

A Guarantor agrees to pay the tenants rent if they are unale to.

Inventory

A written document that would normally include photographs that detail the condition of a property at the commencement of a tenancy. Both the tenant and the landlord or the managing agent will sign the Inventory on the commencement of a tenancy. When the tenant moves out the property will be assessed using the inventory.

Managing Agent – US!

As an agent we are acting on behalf of the landlord and can be involved in the letting, rent collection, maintenance and management of the property.

NRL – Non-Resident Landlord

This is anybody who is earning an income and living abroad.  This now includes members of the Armed Forces and Crown Servants.  However, “backpackers” and others anticipating a “long” holiday are not generally included as long as your main residence is within the UK and you are not intending to be abroad for longer than six months. If you are a non-resident you will require certification from HMRC.

Ombudsman

An independent organization that investigates professionals such as estate agents, or solicitors when complaints are made by their customers. We are members of The Property Ombudsman.

Prescribed Information

The tenancy deposit protection legislation requires the landlord not only to protect the deposit but also to provide the prescribed information to the tenant explaining how the deposit has been protected. Prescribed Information is a specific set of information relating to a tenancy, which we as agents are legally obliged to provide to tenants. It must be served to tenants within 30 days of receiving the deposit. Details include; The amount of the deposit. The address of the rented property, the name, address and contact details of the administrator of the tenancy deposit scheme with which the deposit is held and the name, address and contact details of the landlord and tenants and any third parties who have contributed to the deposit

Referencing

This is the process by which we check that tenants are who they say they are, work where they say they work and are able to pay their rent. We currently use a company called Rent4Sure who check all of these details on our behalf to ensure we are finding our Landlords the best tenants.

Right to rent legislation

As of 1st February 2016 landlords must check that a tenant can legally rent residential property in England. Under Section 22 of the Immigration Act 2014 a Landlord should not authorise an adult to occupy property as their only or main home under a residential tenancy agreement unless the adult is a British citizen, or EEA or Swiss National, or has a ‘right to rent’ in the UK.  We obtain, check and keep all the legal documentation to fulfil these obligations.

Tenancy agreement

The Tenancy agreement legally identifies the rights of both tenants and landlords by detailing all the terms and conditions of the rental arrangements.

Tenant

The Tenant is the party legally entitled to temporary possess a property.

Utilities

Normally electricity, gas and water and may be referred to as ‘services’. In most circumstances the tenant is responsible for paying for all utilities.

FOr FURTHER INFORMATION click on the links below or give us a call. We are here to help!

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Sarah