Terms of business

Letting only service and fully managed service.

These terms formulate the agreement between you as the Landlord and us as 3 Point Property Management LTD.

PRIOR TO PROVIDING YOU WITH OUR LETTING ONLY SERVICE AND MANAGEMENT SERVICE, YOU AS OWNER(S) MUST TAKE THE FOLLOWING STEPS:

  1. Obtain your mortgage lender/lessors agreement to the letting of your property and inform us of any special clauses they stipulate.

  2. Notify your insurance company that you intend to let the property, and ensure that the insurance cover on the building and/or contents is sufficient and current, especially public liability.

  3. Provide us with, or give permission for us to instruct a contractor to carry out, a gas safety certification and electrical installation inspection prior to a tenant moving in.

  4. Remove all items out of the property which are not to be included in the tenancy (unless the property has a current tenant, in which case confirm what items will be staying).

  5. If the property is to be furnished then furnishings must all be fire safe and meet current regulations.

  6. Ensure the property is clean and in good repair and decorative order.

  7. Provide us with a correspondence address and telephone number.

  8. Inform us of any preference you may have for a particular type of tenant e.g. non-smokers, no pets, professional couple, family etc.

  9. Provide us with two full sets of keys, to include garage, meter cupboard, shed and window keys. If only one set is provided we may need to have another set cut at your expense.

  10. It is a legal requirement to have an Energy Performance Certificate (EPC) for the property. We ask that this is provided when instruction to let the property is given. If there is not an EPC for the property 3 Point Property Management can arrange for one to be undertaken by a Domestic Energy Assessor at a cost to the landlord.

  11. Your responsibilities as a landlord can be found at www.gov.uk/renting-out-a-property

  12. The landlord should register with land registry, 3 Point Property Management LTD will not be liable should the tenant sell or mortgage the property if not registered.

  13. Provide us with any details of any Green Deal Scheme loans currently in place on the property.

AS PART OF OUR LETTING ONLY SERVICE AND MANAGEMENT SERVICE 3 POINT PROPERTY MANAGEMENT LTD WILL:

Managed properties and tenant finding only services:

  1. Carry out a valuation and property appraisal.

  2. Take internal (if property is vacant) and external photographs. Drone imagery can be carried out where appropriate.

  3. Advertise your property in our offices, our website and various property portals.

  4. Arrange viewings with prospective tenants (these can be accompanied by a 3 Point Property Management LTD representative).

  5. Receive prospective tenant(s) and guarantor (if applicable) applications.

  6. Confirm applications with you for approval (although we take all reasonable precautions to ensure the tenant/s are suitable, we cannot guarantee this).

  7. Arrange full credit and referencing check on approved applicant(s) and guarantor (if required).

  8. Prepare tenancy agreement, guarantor agreement (if required) and other necessary documentation.

  9. Collect the first month’s rent due and the deposit.

  10. Advise on tenancy deposit scheme and issue all paperwork as required by law at time of tenancy start date.

  11. Register deposit with government approved tenancy deposit scheme.

  12. Advise on the responsibilities of being a landlord.

  13. Advise you on mandatory regulations that you must comply with as a landlord i.e. furnishings/furniture, gas safety, electrical equipment, electric plugs and sockets.

Managed properties only:

  1. Conduct an inventory and schedule of conditions for the property. (Optional cost for Tenant Find Only properties).

  2. Take all move in and move out meter readings and register all tenancies and void periods with utility suppliers and councils.

  3. Collect rent and forward positive balance each month.

  4. Notify you if rent is not paid.

  5. Prepare and forward income and expenditure statements.

  6. When the tenancy ends we will check the property against the inventory. This check will state our opinion as to whether the property is in a reasonable state of repair and/or subject to reasonable wear and tear.

  7. If relevant we will endeavour to obtain the tenants agreement to deductions for the cost of any repairs to be taken out of the deposit. We will also require your written confirmation to return the deposit to the tenant, or to deduct reasonable and fair costs for any damages within seven days of the tenant vacating the property. Failure to put this confirmation in writing could result in the deposit being paid back to the tenant in full.

  8. 3 Point Property Management LTD will be responsible for the day to day management of your property. This may include arranging for general repairs or maintenance to your property. If you require quotes for these works, most contractors that we instruct are happy to provide quotes free of charge. No works will be carried without landlords consent unless in exceptional circumstances.

  9. In an emergency, we reserve the right to carry out repairs without further referral to you. The cost of repairs will usually be deducted from the rental income. If work costs exceed the rental income or the rent is not imminent, we will write to you requesting additional funds to enable payment to the contractor.

  10. Once the property is tenanted 3 Point Property Management LTD will carry out the initial inspection within the first three months of occupancy. Regular inspections of your property will usually be carried out every six months. We will forward you a written report on the condition of the property; however it is essential to note that these inspections will only identify noticeable defects at the property and are not property surveys.

RENT GUARANTEE SCHEME

The rent guarantee is designed to protect your rental income in case your tenant defaults for any reason.

  • If the tenant fails to pay the rent the insurer will pay the monthly rent in arrears with no excess charges, 6 months of rental payments will be paid up until vacant possession has been obtained.

  • The insurer will also cover all legal costs involved in regaining possession.

GENERAL

  • 3 Point Property Management LTD will use our standard Tenancy Agreement, and cannot accept any other form of Tenancy Agreement. Additional clauses where pets are allowed may apply.

  • It is advisable to let your property on an Assured Shorthold Tenancy for an initial 6 month fixed period, which automatically converts to a Statutory Periodic Tenancy after the fixed period.

  • 3 Point Property Management maintains a designated client’s bank account. Any interest paid or received from the handling of the account will be our responsibility.

  • All costs, expenses and other losses we might incur in acting as your agent in letting and managing your property must be paid for by yourself unless they are incurred as a result of 3 Point Property Management LTD’s failure to discharge their contractual obligations.

  • Should you be classed as a non-resident landlord, for tax purposes we are obligated to deduct income tax at the basic rate on the rental income from your property, unless we have received the appropriate exemption certificate from the Inland Revenue. We would advise that you seek advice from a tax advisor.

  • We reserve the right to alter these Terms of Business on giving you written notice. Where the amendments are commercial rather than statutory, if the landlord does not accept the amendments then the contract shall continue according to the old terms or be null and void.

  • We are members of ‘The Property Ombudsman Scheme’. Further details can be found at www.tpos.co.uk

LEGIONELLA - LEGIONNAIRES DISEASE RISK ASSESSMENTS

The landlord accepts that they are responsible for the risk assessment necessary for the control of legionella on their rental property, 3 Point Property Management LTD will carry out a general risk assessment at property visit and notify the tenants of any risk. The landlord will notify 3 Point Property Management LTD should there be anything in the property that could cause a higher risk.

1. ELECTRICAL INSPECTIONS

Electrical Inspections - (If you already hold an Electrical Inspection Certificate and all the recommended work has been completed, this Section does not apply).  It is the Landlords legal duty to have a Electrical Installation Inspection Report carried out to ensure that a property is safe. If anyone is injured by any faulty electrical appliance or fixture owned by the Landlord or by an electrical circuit, then it would be the Landlords duty to prove that the appliance, fixture or circuit was safe. These certificates are valid for 5 years once carried out.

2. EXCLUSION OF LIABILITY

3 Point Property Management LTD shall not be responsible to the Landlord in any respect of any damage, costs, claims or liability whatsoever arising from the property failing to be safe and/or being in breach of any statutory or local rules and regulations affecting the property unless caused by 3 Point Property Management LTD’s failure to reasonably discharge their contractual obligations.

TENANCY DEPOSIT SCHEME

We will hold the deposit as stakeholder under the terms governed by the Tenancy Deposit Scheme.

The Tenancy Deposit Scheme of which we are a member is administered by:

The Dispute Service Limited, West Wing, First Floor, The Maylands Building, 200 Maylands Avenue, Hemel Hempstead HP2 7TG

Telephone: 0300 037 1000

Email: deposits@tenancydepositscheme.com

Website: www.tenancydepositscheme.com

TENANTS IN RECEIPT OF HOUSING BENEFIT OR LOCAL HOUSING ALLOWANCE

If you accept a tenant who is in receipt of Housing Benefit, Universal Credit or Local Housing allowance, you may expect benefit payments in arrears. This may effect your rights to any rent guarantee scheme.

HOUSING BENEFIT OVERPAYMENTS

If a tenant is in receipt of Housing Benefit or Local Housing Allowance and monies have been paid over to the landlord, if there has been an overpayment of benefit it is the landlord’s responsibility to refund the local authority.

TERMINATION

Conditions applying to the termination of a letting and management service are as follows:

  1. If appointed to let your property 3 Point Property have 28 days to agree a letting of the property. At the point no suitable tenant has been found the property 3 Point Property can be dis instructed. Written conformation of withdrawal is required.

  2. 3 Point Property Management LTD reserve the right to serve seven days notice of termination if they believe you are in breach of any regulation relating to the property (whether statutory or not), and if the breach relates to issues under the Race Relations Act, Sex Discrimination Act or Disability Discrimination Act we will serve notice of termination with immediate effect.

  3. Either you or 3 Point Property Management LTD may end our agreement, which is for a minimum of six months from the start of the tenancy, by giving two calendar months written notice.

  4. All monies owed to us under the agreement up to the date of termination of the agreement must be settled in full unless the Landlord specifies that the property is required back on a certain date, 3 Point Property Management LTD will continue letting and re-letting the property until advised otherwise in writing by the Landlord.