Tag: landlord

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Common Questions During Short Let Valuations

Valuations

Valuations determine a building’s monetary value and are done for both sales and lettings properties.

Valuations allow us to determine what the property is worth, as a whole or on a nightly basis (depending on whether it is sales or lettings), but they also give both parties a chance to ask any questions about the property, the process or to raise any concerns they may have.

Below we list some of the most common questions that are asked during valuations across our short-let properties.

What would you need me to leave?

Your home must be fully furnished and have everything that is needed for a short-term stay. We have a list that we send to you of all of the essential items. This includes kitchenware e.g. pots, pans and utensils, plates, glassware, hoover, and cleaning items such as a dustpan and brush, mop and bucket etc. 

Do I leave bedding and towels?

You will need to supply a duvet, mattress protector, pillows and pillow protectors but we provide the bedding, e.g., the duvet cover, sheets and pillowcases and bath and hand towels.

Who does the photographs?

Either our in-house photographer can take the photos or we can pay for them to be done by a professional photographer. We recommend professional photos on the basis that the average user on Airbnb takes 11 minutes and 31 seconds to book a property, so your property needs to stand out from the crowd.

Who sorts issues/fixes things? And how are these paid?

We have handymen who can come and fix any issues from wobbly toilet seats to broken beds. We always ensure that these are dealt with as quickly as possible to reduce any stress or inconvenience for guests.

As well as this, we have a list of vetted plumbers and electricians should we need to use them.

The cost of repairs and/or maintenance will come out of your settlement statement. However, these will all be approved by you first and if it has been a guests fault, we will do all we can to recoup the costs.

How involved in the process do I have to be?

We take care of everything, from setting up your property profile with professional photographs right through to ensuring guests enjoy their stay and everything that happens in between. You don’t need to do anything once you hand the property over to us.

Are there call-out charges?

Nope! One of the advantages about using Hopewell, is that we are a Bristol based company, so we’re always on hand for any issues that arise, whether that is in office ours, in the evening or over the weekend.

How long until my property can go live?

Your property can go live as soon as you are ready and is led by your schedule. We can get your property set up and live in as little as 24 hours on both our website and Airbnb.

When will I get paid and how?

You will receive payments on the 7th of every month and this will be for all bookings from the previous month.

Who will the guests be?

Guests can be anyone! Business travellers, tourists, even Bristol residents during their house sale. 

Can I use the property still or are there restrictions?

There are no restrictions as such, all we ask is that you honour any bookings that are already in place and provide as much notice as possible if you are wanting to use the property.

What let type best suits my property?

This depends on your situation and how long you are wanting to let it for. We may recommend going down the mid-term route if you only wish to let for 2-4 months. If longer, short-term may best suit your requirements. However, we can do a combination of both to hopefully ensure maximum bookings and profit!

So, if you’re thinking of getting your property ready for the short lets market, we hope that we’ve answered some of your questions and concerns. If you’re ready to start earning money through your property, get in touch today for a free valuation!

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The Benefits of Tenants Insurance

Tenants insurance

When renting a property the last thing tenants think of is taking out tenants insurance.

For many tenants, when they think about issues that may arise at their rental property they assume that resolving and/or fixing these issues is solely the landlord’s responsibility. However, this is a myth. 

It is a landlord’s responsibility to insure their property and take care of the bricks and mortar, but they aren’t responsible for insuring your belongings. Therefore, it is a tenant’s duty, if they wish, to ensure their possessions are protected against loss, damage, or theft.

Below we explain what tenants insurance is and the benefits of taking out this type of coverage.

Do you need insurance?

It isn’t often a requirement but you may find that your tenancy agreement states that having this type of cover is mandatory. Make sure you read through your agreement thoroughly and comply with your landlord or lettings agency. Failure to do so could result in you being in breach of your tenancy agreement.

Having insurance can also give you peace of mind. Losing your possessions to fire, flooding, or burglary can be devastating. By taking out contents insurance you can rest assured that if you were to lose anything it can be replaced and it isn’t you that has to take the full financial blow.

The cost of having to replace even a few items can quickly add up. By paying a small monthly fee for insurance, you could end up saving yourself a lot of money should the unforeseen happen.

So, what’s covered in tenants insurance?

Tenants insurance will cover the majority of your belongings in the event of flooding, fire, theft, or accidental damage. However, many policies also cover the following:

  • Furnishings and appliances that belong to the tenant
  • The loss or theft of keys to the property and the cost of having an alarm system fitted and locks changed
  • Any cash of credit cards stolen from the property
  • A set amount to cover spoilt frozen food as a result of an incident such as a powercut
  • Accidental damages to electrical items, such as TVs, tablets, and phones
  • Alternative accommodation if an incident such as a flood or fire causes the tenant to move out for a period of time

It could also be worth getting accidental damage insurance if you are renting, which can also be called tenants liability cover or tenants’ contents policies. This covers accidental damages to your landlord’s property/its funishings, for example spilling wine on the carpet.

Liability cover can also pay out for some of the most common reasons a landlord may deduct money from your deposit. Your landlord will expect the property and what is within the property to remain in good condition, however, accidents happen and this is when having liability insurance can come in handy.

It is worth noting that liability insurance will not cover damages that are caused by wear and tear or anything that has been damaged on purpose by you, your housemates, or guests.

Can I get insurance as a student?

If you’re heading off to university, you may want to protect your belongings, which you can do through students’ contents insurance. There are many policies out there but before you decide on one there are a few things you should check. For example, you may be covered by your parent’s home insurance, or if you are living in student halls, contents insurance may be included in your accommodation costs.

In summary

It is important to remember that even though you are renting from a landlord or lettings agency, it is not their responsibility to insure your belongings. Protecting them against unforeseen events such as flooding, fire, or theft is up to you. And if you are already considering taking out tenants’ insurance, it may be worth adding on liability insurance to cover the cost of any accidental damages that may occur throughout your tenancy. Top tip; remember to report or note down any damages that occur, whether caused by you or someone else, as soon as possible.

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Keeping Rentals Energy Efficient

energy efficient

As the cost of living rises and the current climate crisis becomes increasingly apparent, energy efficiency finds itself at the forefront of many conversations. Following a dramatic increase in energy bills up and down the country, homeowners, landlords and tenants are tightening their purses and keeping their eyes peeled for viable solutions.

That said, an ear to the ground isn’t always enough and a proactive approach to energy management is often most effective. In the following article, we’ll explore the ins and outs of energy efficiency, discussing why it matters and explaining how to stay one step ahead as a landlord.

What Do We Mean By Energy Efficient?

Before we jump into the specifics of energy management, it’s worth understanding what we mean by ‘efficiency’. In Layman’s terms, energy efficiency refers to an appliance or property’s ability to achieve a desired result without using unnecessary power or waste. For example, a well-insulated home will maintain a comfortable temperature without the need for excessive heating or cooling devices.

In order to quantify a property’s efficiency, Energy Performance Certificates (EPCs) are used. By grading a building from A to G, EPCs allow landlords and tenants to better understand the efficiency of their property. Properties with an EPC rating of ‘A’ are likely to attract far more tenants than those with lower ratings, implying that both bills and carbon footprints will be lower.

Why Does Energy Efficiency Matter?

So, why is energy efficiency so important? As mentioned above, inefficient energy usage leads to greater carbon emissions, higher bills and environmental damage. This is bad news for the natural world as well as your wallet. The good news, however, is that ensuring residential homes are operating efficiently can work to negate these effects; even the smallest changes can have a significant impact when implemented on a global scale.

Improving the energy efficiency of a rental property may seem like an impossible task but, with the right knowledge, homeowners, tenants and landlords could save themselves hundreds of pounds every year.

Improving Your Property’s Energy Efficiency

From long term lets to HMOs and student tenancies, managing property can feel a little like navigating a minefield at times. As a landlord, however, it is well-worth taking the time to make sure your premises are as energy efficient as possible. This will help to attract prospective tenants and reduce unnecessary outgoings.

Below, we’ll run through a few tried and tested ways to keep your rental property energy efficient.

Lower Your Boiler’s Flow Temperature

As it stands, heating bills place a real strain on landlords and tenants’ wallets. That said, a comfortable home and low heating bills needn’t be mutually exclusive. By lowering the flow temperature of your boiler by just one or two degrees, tenants could experience savings of around 10% on their heating bills, without sacrificing warmth during the colder months.

Let It Breathe

To maximise airflow and ensure that you’re getting the most out of your radiators and heating systems, it’s important to check that they’re not covered or blocked. Placing sofas or large furniture in front of a radiator may keep your back warm, but it means that your system will be working twice as hard to heat the rest of your home. By keeping radiators clutter-free, a property will circulate heat far more efficiently.

Upgrade Your Insulation

It is worth noting that lowering the thermostat and unblocking radiators is only as effective as your home’s insulation. If heat is escaping through poorly insulated walls, roofing or windows, your heating bills will certainly reflect this.

Loft, wall and window insulation should be the first ports of call, but there are plenty of ways to reduce heat loss and improve a property’s energy efficiency without breaking the bank. Draught excluders, carpets and curtains are just a few tried and tested means of improving a building’s insulation.

Switch Them Off, Or Switch Them Out

From televisions and computers to desk lamps and kettles, our homes are full of electrical devices, all of which use energy. It is worth thinking about the efficiency of these appliances and whether more efficient alternatives are available. For example, switching traditional bulbs for LED equivalents can reduce electricity usage by up to 80%. That’s good news for landlords and tenants alike, improving efficiency and lowering bills.

To ensure your property is the best it can be, why not employ the expertise of a property management service such as ourselves? We take care to fully understand the requirements of each of our clients and offer a range of packages tailored to suit your needs.

Get in touch to speak with an advisor today.

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How To Attract Long-Term Tenants

long-term tenants

There is no shortage of long-term tenants looking for a home. In fact, there’s not enough property to house the influx of renters easing back into school and work. Ads receive hundreds of responses as desperate office workers and university students race to land a room.

But for landlords, the issue isn’t attracting tenants. The real work lies in drawing in the right kind of tenant to your property.

While the average rental duration is on the rise, many major cities such as Cardiff and Leeds still see a relatively quick turnover of tenants. It takes around 22 days to fill a vacancy. Collectively, landlords lose an estimate of £547 every year to void periods.

Benefits Of Long-Term Tenancies

A steady stream of short-term tenants can seem appealing at a glance. And for some properties – like holiday homes designed for platforms like AirBnB – it’s the most lucrative business model. But unless you’re letting a summer cottage out in Swanage or West Bay for vacationers, offering your property to long-term tenants offers more stability. 

That’s currently in short supply if you’re a landlord. High inflation rates have slashed into a once lucrative rental market. Reforms that will ban “no fault” evictions threaten to saddle landlords with difficult renters and tedious tussles in court.

Short-term lets also aren’t for landlords who let as a side business. Frequent turnovers mean more handling, dealing with tenants, and maintenance in between. If you have little time, managing a short-term let can quickly become a pain.

Your Guide To Drawing In Long-Term Lets

If you’re looking to let long-term, how do you attract tenants that can give you a steady, low maintenance source of income for years?

Don’t Rush the Screening Process

Hundreds of applications and eager tenants are jostling for space. People will naturally want to put their best foot – and offer – forward in hopes of locking down a property. Unfortunately, a keenness to dot i’s and cross t’s doesn’t automatically make someone a good candidate. How sure are you about a tenant’s ability to pay rent on time? Can you really trust these people to care for your property?

There’s no direct test that will give you answers. But you can infer using data from a few sources. For instance, payslips and proof of employment will tell you about a tenant’s financial capacity. Criminal checks can increase confidence in trustworthiness. If a tenant isn’t a first time renter, you can reach out to their previous landlords for valuable insight you can only get from experience.

Renovate and Repair

While people may settle for shoddy and poorly kept rooms in the interim, they’ll be thinking of searching for new lets even before they completely unpack their belongings. The first step in keeping tenants around for the long haul starts with making a home they’ll hate to leave. 

Nobody wants to go home to peeling paint. Sprucing up your property can work wonders for encouraging tenants to stay longer. Preventive maintenance will make everyone happier. Landlords won’t have to deal with fixes for longer, and tenants won’t have to deal with the disruption caused by a leaky pipe or mouldy walls.

Supply Useful Utilities

Homeownership is the lowest it’s been in years. Faced with rising mortgages and a scant number of low to moderately affordable housing, people are putting off buying homes in favour of renting.

Coupled with many still trying to financially rebuild after the pandemic, anything that can help save a few pounds is a welcome boon. Furnishing your property with essential yet pricey household appliances–also known as “white goods”–can make it an attractive option for first time renters who have yet to purchase their own.

Allow Some Redecorating…

Fully-furnished homes may be nice to look at, but they don’t actually encourage long-term renting. While renters technically don’t own your home, it will be theirs for the next couple of years. People want places that feel like their own.

So give tenants a little more leeway in terms of decorating. Most tenants won’t take a hammer to your walls, and simply want a few touches that make the space theirs. If storage is the problem, pre-installing hooks and other mounting systems will save your tenants time and keep new holes from peppering your drywall.

…And Pets

Few perks are as divisive among landlords as pets. On the other hand, an ill-behaved pet can cause a lot of damage. It can also be a nuisance and cause of complaint from neighbours or your apartment’s management.

But pet ownership is also a sign of a good tenant. Pets take real work, and healthy-looking animals can mean a tenant knows how to be responsible for something in their care. Plus, with 62 percent of households owning some sort of pet, allowing pet ownership is a competitive advantage. Tenants will be less likely to move out after they find a quality let that allows pets.

Offer Maintenance Help

The larger a property is, the more intimidating its upkeep. While amenities like pools and gardens can seem like fantastic perks, looking after them can weigh down on a tenant after a while, prompting them to search for something more low maintenance.

Keep tenants enamoured with your property by providing help. Fill the garden with plants that’ll be easy to look after. Leave shears–or even better, a lawnmower–on the premises for use. If the property has a pool, offer to share the responsibilities–just remember to outline everyone’s duties clearly in your contract.

Above All, Prompt and Clear Communication

Even the most attractive amenities and perks can be soured by a poor relationship between landlords and tenants. Decorating limits, pet permissions, maintenance duties–everything can be talked about and negotiated. If a tenant finds you difficult to talk to or contact for concerns, you may find them leaving even a perfectly well-kept property.

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7 Landlord-Approved Hacks To Decorate a Rental Home

Decorate home, funiture, plants,

Your home is an extension of who you are. The choice of paint, trim, and decorations are all reflective of a homeowner’s personality. 

Unless, of course, you’re living in a rental home. There’s considerably less freedom to customise when you’re living in a let. Most agreements prohibit tenants from making major changes or drilling holes through the wall. And there is some decor that even the strongest adhesive can’t hold up.

But that doesn’t mean you can’t decorate and have to settle for dull and drab. Here are 7 renter-friendly hacks for bringing your rental home a little closer to the Pinterest home of your dreams.

Decorate Your Floors

When you enter a room, the first thing you notice is typically the wall decor–maybe it’s a bold and brash painting, or an intricate work of macrame art. Or perhaps an ostentatious piece of furniture that draws your eye first, big and commanding in the middle of a room.

Walls and furniture often take centre stage because tenants gloss over flooring. Yet floors are as much of a blank canvas as your walls. And there are many ways to bring it to life–without using a drop of paint or leaving behind residue that’ll break your tenancy agreement.

Rugs and runners come in different shapes, sizes, and materials. If you’re on a budget–and large area rugs can get expensive fast–you can layer several smaller pieces to add character to your plain floors.

Add Depth With Floating Shelves

Just because you’re renting doesn’t mean you can’t decorate and walls have to be kept bare. While drilling is prohibited for many lets, you can get around the restriction with floating shelves. 

Many floating shelves can be affixed using a strong adhesive, which kits should already come with. You can even install shelves with exposed brackets. Normally you’d need screws to mount these, but non-damaging adhesive wall screws can do the job as well without making holes.

These renter-friendly fixtures are usually decorative and can only bear the load of a few ornaments. But that’s okay. Like rugs, you can stagger floating shelves in different configurations to maximise the available space.

Decorate with Your Memories

Removable wallpaper can still feel like too pricey of a job for renters, especially if you’re only staying for a short period of time. It also doesn’t stick as well on textured walls, like brick. Depending on the quality of the panels, you might end up with wallpaper that leaches toxic materials, or are fire hazards.

A safer and more affordable way to spruce up walls without repainting or covering the whole thing up with wallpaper is through collages. Lain out gallery-style, photo walls add a nice personal touch to your space. Check out some affordable tricks to bring your own photography into your home.

You don’t need frames if you don’t have them. Neither will you need nails. Using bare photos gives wall collages an eclectic and crafty vibe. Plus, card stock weighs next to nothing and can easily be mounted using removable adhesive like Blu Tack.

Small Touches, Big Impact

When you decorate a space, it can be easy to get lost in the big projects like installing wallpaper or swapping out furniture pieces. But in interior design, even the more understated elements of a space go a long way in tying an aesthetic together.

Some effortless ways to bring your personality to your home without breaking the bank: throw pillows, curtains, and couch blankets. Curtains are relatively easy to install, and come in a limitless array of designs. Throw pillows make even old and generic sofas look cosier. Drape a blanket over it, and it’ll look like a piece straight out of a lifestyle magazine.

Ornaments are also key for curating the essence of your chosen aesthetic, whether it’s the free-spirit of boho or the edge of industrial. Place knick knacks strategically on coffee tables and end tables. Take photos and keep an inventory of existing decor so you can stay on-theme when you shop for new items.

Clever Small Space Solutions

Without the ability to add built-in closets or overhead cabinets, renters have limited storage to work with. Fortunately, you can carve out a lot of new space in your small flat with a little bit of creativity. 

Position furniture at an angle near the corners of your room. Use the space behind it to store organisers and boxes. Use multipurpose furniture, like coffee tables and ottomans that double as storage spaces. Skirted tables look good, let you cover a table you may not like, and give you an accessible space for stashing your stuff. If your closet’s starting to clutter, freestanding rails will make your flat look like a high-end boutique while giving you more room for next season’s outfits.

If you’re fond of having friends over, small flats can feel limiting. But with convertible and expandable furniture, you can entertain groups without having to buy large tables or more seating. Nested tables offer more dining space. Convertible sectionals can transform your living room into a guest bedroom when needed.

Open Up Spaces With Mirrors

Walls can make a space feel claustrophobic, especially when it’s found between two open areas, like your living room and kitchen. Homeowners typically deal with that problem by knocking it down.

Unfortunately, a major remodelling project is not an option if you’re renting, but what you can do instead is play with mirrors. Mirrors, when placed strategically, can create the illusion of space and make rooms seem bigger and brighter.

If making things bigger than they appear is the goal, choose oversized mirrors with simple frames. Ornate frames can make a space look more cluttered. Place them at eye level and near light sources like windows and lamps; the reflections will give the room an airy, spacious vibe.

Illuminate With Chic Lighting

Stock lighting for lets is often–to put it simply–hideous. Many landlords don’t put much thought into lighting beyond basic ceiling lights. Many renters accept it as part of living in a rental because contracts often prohibit rewiring.

Yet there’s a world of possibility between the unsightly bulbs your flat comes with and the elaborate fixtures you see on Pinterest. Renters can revamp and light up a room without picking up a single tool. 

Floor lamps are both functional and decorative. If you’re limited on floor space, consider tucking them neatly against corners to brighten the perimeter of a room. You can also place small lamps on your shelves and end tables to chase away dark spots and create cosier task areas for work or study. If lamps are too much for your decorating budget, you can get creative with cheaper fairy lights and plug-in lights. For ugly ceiling lights, out of sight is out of mind–especially with beautiful DIY lampshades and covers.

As limiting as your landlord–and budget–can be, you can still make a rental home feel like your own. All it takes is a little time, creativity, and clever placement.

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Top Interior Trends of 2022/23

Hopewell Interior Trends 2022 and 2023.

Whether you’re a landlord, homeowner, or tenant, interior design has a big part to play in making your space feel like your own. From attracting potential tenants, impressing your new neighbours at your housewarming party or looking for ways to make your rental feel more like home. We have a breakdown of the current interior trends, as well as a forecast of what we suspect will be on-trend in 2023 to help you plan ahead. 

More is more

In recent years the ‘less is more’ minimalist style has been overwhelming the interior design industry. But the people have said: “enough is enough”.

After living in lockdown, this year has seen an explosion in the maximalist approach. Where people are reclaiming their space, now there are no limits to what you include in your design.

Since spending more time at home, people began understanding the need to have more things in one space, creating multifunction spaces, and beginning to incorporate these into their layout. This maximalist approach allows people to have their comforts and practical items in one place whilst styling around them. 

We have seen an increase in shelves and storage units being introduced into shared spaces, the introduction of broader and bolder colour pallets, and mixing and matching patterns and materials. In short – forget the rules and do what your heart desires. 

Consider your space 

As mentioned, the introduction of multi-functional spaces recently overtook the interior design priorities, becoming an essential part of people’s lives during the pandemic. Working from home caused us to adapt and use the room around us and use space more flexibly. Due to this, people began introducing collapsible desks, room dividers and extra storage spaces to help adapt to working in their usual living spaces. 

Now we are returning to the office, and working from home is something we have an option to do, it’s the perfect time to plan a multi-functional space you feel comfortable in. Take time to design a space which works with the rest of your decor and that you are happy to step into when hard work comes knocking. 

Be aware of your current space and consider how storage can be introduced. Look into shelves that work with your current flow or ottomans and storage boxes that can have dual purposes. You may also consider introducing soft furnishings such as rugs to help separate areas and give them their own personalities.

Self-spaces 

Self-spaces have become important to people across the globe. As people began to dedicate space in their homes to accommodate them working from home, they also decided to dedicate a room to take care of themselves and introduced ‘self-spaces’. These areas are designed to help you escape from the noise and give you a chance to spend time on some self-care. 

These spaces are entirely up to you to design, as it should be a space where you feel most comfortable. So whether that looks like pink and whites, soft furnishings and fairy lights, or dark greens, filled with plants and wall art, make it your own vibe and create a space where you can unwind and relax. 

Sustainable 

It’s 2022, and we’re taking a step in the right direction by moving more and more towards sustainable living. This has been reflected in our homes as the biophilic design takes over the world of interior design and social media. People are using plants to create a natural space where you really feel at one with nature. Introducing raw materials like softwoods and an earthy colour palette helps bring the look together. 

Another sustainable trend we’ve been seeing a lot of is upcycling and reusing old objects and furniture rather than contributing to the old-minded throw-away culture. Whether you own something that could use a new lease of life, or you need a new item and vote for a trip to the charity or second-hand shop rather than ordering it online. It all counts towards the sustainability of the planet. 

Loud and Proud 

As we move into 2023, we expect to see more bold and statement pieces in home design. As seen this year, there has been a lot of use of bold retro ’70s colours thrown into the mix. Interiors are becoming bolder and more adventurous with vibrant primary and pastel colours in colour-block designs, paired with clashing patterns. Although this has been growing in popularity in bedrooms, we see it making a huge move even into shared spaces. Colourful kitchens, painted doors and floors will be at the top of the list in 2023. Add bold details like mood lights and statement mirrors to complete your design and put your mark on the space.

Stay up-todate!
For more on interior trends and design inspo, follow us on our socials @hopewellbristol 

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Property Jargon Busters: Top 12 terms you should know!

Property

Are you looking to rent or become a landlord and are having difficulty understanding the property expert jargon? If you’re finding yourselves overwhelmed or confused by the terminology, and are struggling to move forward with your move or purchase, then take a look at our jargon breakdown for some helpful information on some keywords. 

HMO 

This initialism stands for ‘House in Multiple Occupation’ and is sometimes  referred to as a ‘House Share’. This is when three or more people, who are not from the same household, live in one property and share facilities such as kitchens, bathrooms and communal areas. 

HMOs are popular amongst University students and can also be regularly occupied by young professionals looking for somewhere cost-effective to live after leaving home or University.

PCM and PW

PCM stands for ‘Per Calendar Month’. This can be in reference to rent, which will be paid to the landlord or Letting agent monthly. This is the most standard practice when it comes to rent payments, bills and other contractual obligations. Similar to this, you may also have come across PW which means ‘Per Week’. 

STC 

While house hunting you may have come across STC, but what does this mean? Once the property owner has accepted an offer , the property will be moved to the sold ‘subject to contact’ status, meaning that the property owner is awaiting legally binding contracts to be signed and returned by the potential buyer. At this stage, the property will be close to being removed from the market. However, if for any reason the contracts cannot be completed, the sale will fall through and the property may go back to the market, allowing other potential buyers to view the property and make an offer. 

Assured shorthold tenancy

An Assured Shorthold Tenancy (or AST) is an agreement between a tenant and landlord in which the tenant is given security of tenure for an agreed length of time, usually 6-12 months. Since being introduced by the Housing Act in 1988, it is now a default and applies to most tenancy agreements in England and Wales used by Private Landlords and Letting Agents. 

A key feature of an AST agreement is that using sections 21 of the Housing Act 1988, Landlords can evict tenants without reason; However this may be changing soon due to government changes to the private rented sector. 

Short Lets 

You may have seen on our own website or through our social media, that we often use the term Short Lets. This is an abbreviation for ‘Short Term Lettings’ and can refer to any property we have available to rent for as little as one day, to one month. If you think of Airbnb, where you might go to search for weekend breaks or city escapes, these will most likely be Short Term Lets. 

Long Lets

Long Lets is an abbreviation for ‘Long Term Lettings’ and quite literally is for people who are looking to rent for a longer term. Our Long Term Lettings will be properties that we are offered on either 6 or 12-month AST contracts. If you are looking for somewhere to live permanently, then these are the properties you will want to search for. 

Mid Term 

Although other letting agents offer Medium Term Lettings which can be contracts of three to eight months, our ‘Mid Term’ Lets are a bit different here at Hopewell. With our Medium or ‘Mid Term’ Lettings, we offer fully furnished properties that are available to rent on a month-by-month basis, with all bills included in the price. 

These properties offer more flexible terms and are perfect for people who need temporary accommodation either between homes, for ongoing home renovations, or are visiting the area for a longer period and would prefer not to live out of a hotel. 

To Let 

When a new property comes onto the rental market, it will be listed with the ‘To Let’ status. This means the property is available for viewings and to accept offers. 

Let Agreed 

Once a property has an offer accepted, the agent will change the property listing to a ‘Let Agreed’ status. Similar to STC, the property is close to being removed from the market, but it hasn’t received all the necessary documents to finalise the tenancy. If the documents and contracts needed to finalise the tenancy aren’t received by the agent, then the property could be reverted back to the ‘To Let’ status, opening it up to new viewings and offers. 

If you see a property you like and it is under ‘Let Agreed’, it might still be worth saving the property. If the tenancy is finalised, the property will then become unavailable, as it will have been removed from the market. 

Property Manager 

Property Managers deal with the day to day of properties within our short or long term portfolios. Our team of expert property managers are here to help our tenants and landlords with whatever issues or questions the property may incur. When you stay in a ‘Managed Property’, all correspondence regarding the property will go through our Property Managers and they will be your first port of call. From listing the property, arranging viewings, and managing cleaning and repairs, our Property Managers are here to ensure both landlords and tenants have the best experience possible. 

Landlord 

A landlord is a person who owns the property and allows others to use it in exchange for payment. If you are looking to rent and are going through an agency, then the likelihood of you meeting your landlord during the renting process is slim. However, if your property is not managed by the agency you have rented through, then your landlord will be your first port of call when something needs addressing in or with your property. 

If your property is managed by your letting agent, then all communication between the landlord and tenant will go through the agency, meaning you will contact your Property Manager for any faults, fixes, or queries you may have. 

Tenant

A tenant is a person who rents and occupies a property that is owned by a landlord. 

Is there still some property jargon we haven’t quite cleared up for you? Feel free to tweet us @hopewellbristol and we’ll be happy to help! 



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A Guide to Property Tax for Landlords

Property tax…lets talk about it…

Most people purchase a buy-to-let property because they want to make an investment. While the return is likely to be good, either through the money you make in rent or when you sell the property later, it’s important to know that you will need to pay tax at every stage of your investment. This will be when you pay for the property, when you rent out the property, and when you decide to sell it. In this guide, we’ll look at the different types of property tax landlords pay and what can be done to minimise the amount.

What Property tax do Landlords Pay?

Unless they are a first time buyer, or the property is below a certain value, everyone is liable to pay a tax, known as stamp duty when purchasing a house. If the property isn’t your primary residence, you are also liable to taxation on the rental profits as part of your income tax, as well as any increase in the value of the property over the time that you own it, which is called capital gains tax.

In England and Northern Ireland, you don’t pay any tax on the first £125,000 of the purchase price of your primary residence. In Scotland the limit is £145,000, and in Wales it is £180,000. However, if you’re purchasing a buy-to-let property in England, you have to pay a 3% tax rate on top if it costs more than £40,000, which rises to 4% in Scotland and Wales.

Income Tax on Rented Property

When you rent your property out to a tenant, you must pay property tax on any profit you make from the rental income that isn’t covered by your personal allowance. The current personal allowance, which will stay the same until the 2025-26 tax year, is £12,570.

As well as covering profit made from rent money paid by your tenants, rental income also includes money made from sources such as utility costs, cleaning fees for communal spaces, and parking fees. If you own more than one property you can combine all rental receipts and expenses together, which allows you to claim one property’s expenses against another’s income. The exception to this is any property owned overseas, which will usually be reported separately as foreign income.

As with self-employed people, landlords are entitled to certain tax relief measures in the form of allowable expenses, for example paying letting agent fees. The following expenses can be deducted from a rental income, as long as they were incurred wholly and exclusively from the rental of a property:

  • Insurance, including landlord insurance
  • Property maintenance and repair bills
  • Council tax and water rates
  • Utilities such as gas and electricity
  • Letting agent fees
  • Accountant’s fees
  • Legal fees for lets less than one year old 
  • Legal fees for renewing a lease less than 50 years old
  • Household costs (eg. phone calls, stationary, fees for advertising a property)
  • Vehicle running costs for trips related solely for your rental business

The following expenses cannot be included:

  • The full amount of mortgage repayments on the property
  • Home improvement costs
  • Clothing
  • Personal expenses
  • Private phone calls unrelated to your rental business

Make sure you keep copies of receipts for all of the expenses that you claim. HMRC has the right to demand to see proof of expenses for up to six years after you claim them, so ensure you keep them safe or scan them and store them digitally.

Landlord Mortgage Interest Tax Relief Explained

It used to be the case that landlords used to be able to deduct the interest they paid on mortgage repayments as part of their tax relief. However, since April 2020 this is no longer the case. Instead, landlords receive a tax-credit, which is based on 20% of their mortgage interest payments. This is less generous for higher or additional rate payers than the old system, as the credit only refunds the tax at the basic 20% rate, rather than the top rate of tax that they pay. It may also force some landlords into a higher tax bracket as they need to declare the income that was used to pay the mortgage when filling out their tax return. 

Selling a Property: Capital Gains Tax

When you sell a property that isn’t your primary residence, any increase in value over the time that you have owned it is liable to capital gains tax. The gain is defined as the difference between the purchase price and the sale price and is not the amount of equity you are left with after the sale.

For example, if you bought a flat for £137,000 and sold it six years later for £215,000, you pay tax on the £78,000 difference between the two figures. This means that if you are remortgaging or borrowing more to buy another property, you must leave enough equity in the property to cover the capital gains tax bill in case you need to unexpectedly sell it.

Capital gains tax includes an annual tax-free allowance, just as income tax does, which is currently £12,300. You are also allowed to deduct the costs of selling or improving your property from your gain. These allowances include:

  • Estate agent’s fees
  • Solicitor’s fees
  • Survey costs
  • Stamp duty
  • Costs of improvement works and major renovations

Rates of capital gains tax depend on the tax bracket you are in. For higher or additional rate payers it is charged at 28%. For basic rate payers, your taxable capital gains are added to your taxable income, minus your personal allowance. If the total amount falls into the basic rate income tax band you pay 18% capital gains tax, and any amount above the basic rate will be taxed at 28%.

A capital gains tax return must be submitted, and any tax owed must be paid within 60 days of the sale on the property being completed. 

Letting a Room in Your House Tax-Free

The rent-a-room scheme allows live-in landlords to receive up to £7,500 a year from a lodger before they have to begin paying tax. The landlord doesn’t need to own the property to qualify, but they must have their landlord’s permission to sub-let.

If you do own the property, you must have permission from your mortgage provider to let out a room. If your lodger pays less than £7,500, you are automatically exempt from property tax and don’t need to do anything other than keep a record of the income. If you receive more you need to complete a tax return, as is usual for other methods of renting out a property. It may be worth employing the services of an accountant to see which choice will leave you with the most money.

Becoming a landlord can feel overwhelming and confusing due to the sheer amount of details you are required to understand. At Hopewell, our expert letting agents can walk you through the process and give you all the information you need. Get in touch with us today to get started and fo further information on property tax.

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8 Property Management Tips for First Time HMO Landlords

HMO Landlord

Houses of Multiple Occupancy (HMOs) can be a lucrative source of income, and buy-to-let landlords can earn three times as much money letting out separate rooms in a shared house compared to letting a whole property to one family. However, HMOs are heavily regulated compared to other types of rental properties and failing to comply with the rules can lead to a big fine. 

In this article we’ll outline the eight most important tips for first time HMO landlords.

1. Get to Grips with the Rules of your Local Housing Authority

Different local housing authorities have different rules when it comes to HMOs, so it’s crucial to know the legislation. A large HMO is classed as a property let to five or more people from two or more households who have shared access to facilities such as a kitchen and bathroom. 

All large HMOs must be licensed in England and Wales, but in some areas Local Housing Authorities (LHA) have introduced additional licensing for certain types of smaller HMOs, so you must check the rules in your area.

2. Obtain an HMO Licence

If a licence is required, you must obtain one before letting any of the rooms in your HMO. Letting a licensable HMO without a license is an offence and can result in very large fines, usually between £10,000 – £30,000. 

When you apply for a license, the LHA will carry out an inspection before granting it. The cost of an HMO license varies a lot, depending on where your HMO is based, but it will usually be over £300 and can be over £1,000 in some areas of London. Once you have it, it will last five years before it needs to be renewed.

3. Get a Mortgage that Allows HMO Use

Not all buy-to-let mortgages are suitable for HMOs, so it’s vital to check with your mortgage provider before applying for a license. Or, if you know you’re planning on letting a property as an HMO, make sure you get a mortgage that allows this first. Some standard buy-to-let mortgages allow HMO use for small properties (three or four tenants), but a large HMO needs a specific mortgage product. 

4. Get the Right Insurance

Houses of multiple occupancy must have specialist insurance cover, so don’t rely on the usual buy-to-let insurance deals and hope that you are covered. HMOs are perceived to be higher risk, so some providers won’t cover them, but there are still plenty of deals available. Make sure your insurance covers the building itself, the contents and any loss of rent if the property is damaged or destroyed. You also need to beware of tenants subletting rooms in your property, as this can render your insurance void.

5. Carry Out Your Duties as a HMO Landlord

The Management of Houses in Multiple Occupation (England) Regulations 2006 lay out the various rules and regulations that HMO landlords must abide by. These stipulate that landlords must:

  • Follow strict fire safety rules specifically for HMOs
  • Provide the landlord’s contact details to the occupiers and display them prominently in the property
  • Maintain a supply of gas and electricity
  • Ensure gas appliances are tested annually and electrical appliances every five years
  • Make sure the property is clean and up to standard before tenants move in
  • Maintain common areas, fixtures, fittings and appliances
  • Provide waste disposal facilities

Landlords must carry out regular inspections of their HMO to ensure that safety and maintenance issues are kept under review. If tenants report faults or issues, landlords must respond promptly.

6. Find the Right Tenants

Having a group of people who gel and create a harmonious household works in your favour as a landlord, as it saves you having to deal with conflicts or issues. Look for tenants who have similar lifestyles and living patterns. For example, a group of lively students who stay up late won’t be a good match for someone who works morning shifts and needs to go to sleep early. 

A group of people who enjoy living together are likely to have fewer disputes and you will have a slower turnover of tenants, which means less periods of time when rooms are empty. If you are happy with your existing tenants it can be a good idea to allow them a say when screening prospective new tenants.

7. Have a Written Tenancy Agreement

It should go without saying that you must have a written tenancy agreement in place with each person living in your property. Having room-only agreements allows you as landlord to have regular access to the property as you retain control over the common parts of the property, which isn’t the case with joint tenancies. Assured shorthold tenancy agreements usually run for 12 months with a six month fixed period during which neither party can end the agreement, unless the rules of the tenancy have been breached. 

8. Keep Detailed Records

Written records should be kept of correspondence and conversations with tenants, as well as all inspections that you do of the property. You should also keep records of any maintenance that is carried out, and the correspondence you have with the tradespeople doing the work. This type of evidence can be very useful if any disputes arise. 

It is also important to have detailed financial records, including all incomings and outgoings related to the property. Whilst it isn’t necessary to operate your HMO as a limited company, it’s a good idea to open a separate business bank account for all finances related to it.

Running an HMO requires planning and careful management, as there are various pitfalls that can lead to large fines. However, if you do your research and know the rules and regulations that apply, carry out your duties properly and choose the right tenants, it can be a lucrative and rewarding way to rent out your property. 

If you need further information, get in touch and one of our expert letting agents will be happy to help.

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5 Five Fire Safety Regulations Every Residential Landlord Should Know

A fire in the home is a devastating event that can happen surprisingly easily. House fires claim the lives of over 200 people in the UK every year, with the majority of these fatalities taking place between 10pm and 6am, when people are asleep. During sleep, your sense of smell decreases to being almost non-existent, which is why people don’t realise they are in danger. 

According to Home Office statistics, there were 35,016 fires in homes in the UK during 2019/20. There are around 37,000 domestic fires every year, the majority of which – over 12,000 are caused by misuse of cooking appliances, for example cookers and toasters. Around 67% of accidental fires were caused by human error, such as out of control bonfires, careless cooking, negligent use of appliances and playing with fire, such as matches or lighters. A further 25% were caused by non-human factors like chimney fires, faulty electrical appliances, or faulty fuel supplies. In 2019/20 the daily rate of house fires was highest in April and lowest in August. 

If you are a residential landlord it’s vital that you are up to date on fire safety regulations to ensure that your tenants are safe and you are complying with the law. For example, do you know the rules around smoke alarms in rented properties? In September 2018, 38% of battery operated smoke alarms did not sound during a fire. The biggest cause? Disconnected, missing or flat batteries. It’s crucial to know what is your responsibility and what is the responsibility of your tenant. Read on to find out the fire safety regulations that every residential landlord needs to know.

What are a landlord’s fire safety responsibilities?

There are laws in place that are designed to ensure that you as a landlord are doing everything you can to prevent fires and protect your tenants. The specific responsibilities of a landlord include:

  • Installing a smoke alarm in each storey of a property, as well as a carbon monoxide alarm in any room with a solid fuel burning appliance (for example, a wood burning stove)
  • Ensuring there is access to escape routes at all times, and checking your tenants are doing the same
  • Ensuring that all furniture and furnishings are fire safe
  • Providing fire alarms and fire extinguishers in houses of multiple occupation (HMO)
  • Ensuring there are no fire hazards near areas where fires may start (for example combustible materials should not be stored near boilers or other heat sources)
  • Make sure all appliances have an annual Portable Appliance Test (PAT)
  • Check all appliances have a British or European safety mark
  • Check for labels on appliances and furnitures that manufacturers are legally required to supply stating they are fire safe

What are the fire safety laws for rented properties?

The fire safety laws for rented properties are laid out in various Acts that every landlord needs to be familiar with. These are the key laws you must follow:

1. The Housing Act 2004, including Housing Health and Safety Rating System (HHSRS)

This Housing Act 2004 and HHSRS lay out the main requirements of fire safety in a rented home. The rules include ensuring that tenants are able to escape the property in the event of a fire, and making sure that repairs to the fabric of the property, such as walls and ceilings, are done in a timely manner so that fire is unable to easily spread to other rooms.

2. Furniture and Furnishings (Fire Safety) Regulations 1988/1989, 1993 and 2000

If you have a furnished property or intend to furnish one before renting it out, you need to ensure that the furnishings are safe and follow these specific regulations. They apply to all items that are upholstered or contain upholstery, including sofa, armchairs, mattresses, sofa beds, curtains and cushions. Read the Act in full for specific information on how to ensure your furniture and furnishings are fire-safe.

3. The Regulatory Reform (Fire Safety) Order (2005)

This act covers fire safety in buildings that have communal areas, such as blocks of flats and HMOs. Hallways, stairwells or shared spaces such as kitchens and living rooms provide specific fire risks.

4. The Smoke and Carbon Monoxide Alarm (England) Regulations 2015

These regulations set out the requirements for landlords to ensure that warning systems are in place to warn tenants in the event of a fire. They outline what is expected in terms of smoke alarms and carbon monoxide alarms, and set out the hefty fines you could receive if you are in breach of the rules. The rules vary between different countries in the UK, so be sure to check with your local authority if you are unsure.

5. Building Regulations

Building regulations impact on fire safety. This is especially important if you are refurbishing a property before letting it out, as it must follow the latest rules and regulations. The work must meet the standards for letting a property, which are different to those of a property you live in yourself. Houses of Multiple Occupancy have different rules from regular tenanted properties, even if they are unlicensed. You should check with your local authority to find out the exact rules, as they can vary from one area to another.

Once you know the rules, they need to be enforced. The best way to do this is to carry out regular inspections, either yourself as a landlord or via a trusted letting agent, to make sure that your tenants are sticking to the rules and haven’t moved furniture around and blocked safety exits.  

You should also make sure you have a comprehensive inventory that notes all of the furniture you put in the building. During inspections you can check that your tenant hasn’t removed fire safety labels or replaced items for non-fire safe ones without you knowing. As well as ensuring that you are legally covered when it comes to the rules and regulations, this will also allow you to make sure that your tenants are safe and happy in their home.