Welcome to our guide to the responsibilities that landlords have.
And there are plenty of them (responsibilities, that is)
We’ve been serving landlords across Wigan since 1983, and during that time, we’ve seen the introduction of a never-ending list of constantly updated rules, regulations, and new laws that impact landlords across Wigan.
There are now more than 175 pieces of legislation which landlords with properties in the UK must comply with.
Landlords must be aware of these laws and run their property portfolios professionally. This approach keeps their investments protected and their tenants safe.
On this page, we will look at some of the key responsibilities that landlords have. We’ll also dispel some myths surrounding rental property rules and highlight why a good letting agent can be a landlord’s best friend.
If you have any questions about your numerous responsibilities as a landlord or anything rental property-related, please don’t hesitate to contact me or a member of our team.
We’re here to keep you on the right side of the regulations, help make your life easier, and ensure your rental investments are as profitable as possible.
Seven key areas of responsibility
- 1. Electrical – Under the Electrical Safety Standards in the Private Rented Sector (England) Regulations 2020, landlords must get their property electrics checked at least every five years by a properly qualified person. This applied to new tenancies from 1 July 2020 and existing tenancies from 1 April 2021. The electrics must be safe, and you must give your tenant proof of this in the form of an Electrical Installation and Condition Report (EICR)
- 2. Fire and carbon monoxide safety – Landlords must have at least one smoke alarm installed on every storey of a property they let out. In addition, if you have solid-fuel appliances like wood-burning stoves or open fires, carbon monoxide detectors must be provided. This regulation is set to be updated, meaning carbon monoxide alarms will also be required for gas boilers.
- 3. Gas – A gas safety certificate is legally required for any gas appliance or installation. As a landlord, you must provide your tenant with an up-to-date copy of this certificate before they move into the property. You must also provide the tenant with a copy of the new certificate after each annual gas safety check.
- 4. Energy – At the start of their tenancy, you must provide your tenant with a copy of the Energy Performance Certificate (EPC), which contains the energy performance rating of the property you are renting to them. As of April 2020, all privately rented properties must have an energy performance rating of EPC band E or above (unless a valid exemption applies) before being let out. You can also search online for the property’s EPC and check its rating on: https://www.gov.uk/find-energy-certificate EPCs last for ten years. The certificate will also offer helpful advice on improving a property’s energy rating.
- 5. Right-to-Rent – You must carry out a ‘right to rent’ check on any prospective tenant before they move in. The current (April 2022) government guidance in the form of ‘Landlord’s guide to right to rent checks’ is 86 pages long. That’s probably why many landlords hand this aspect of renting out their property to an experienced letting agent. In a sentence, the ‘right to rent’ check is carried out to confirm that a prospective tenant has the legal right to be living in England. Ignoring this check can lead to significant fines and even imprisonment.
- 6. Deposits – If your tenant has provided a deposit (highly advisable), you must protect it in a governmentapproved scheme within 30 days and give the tenant information about it. We can advise you on what deposit schemes are available and best suited to your needs. Keeping all paperwork linked to deposits safe and easily accessible is very important. It’s worth noting that deposits are capped at five weeks’ worth of rent. Landlords can no longer hold a higher deposit for things such as pets. The tenant must be provided with the prescribed information document relating to their deposit (talk to us about this).
- 7. Financial – As a landlord, it is your responsibility to pay the correct taxes (and, in some cases, National Insurance) linked to your income from your property investments. It’s a complex area, and one best looked at by an accountant or specialist tax adviser. You’ll also need to have a buildings insurance policy in place. We strongly recommend investigating other policies such as rent and legal protection that can cover you for void periods, legal disputes, and unpaid rent.
Other responsibilities to consider include:
Maintenance of any furniture or appliances you have provided as part of the tenancy.
Repairing things within the property that may have stopped working, e.g. showers, boilers, taps, etc.
Ensuring the property is free from serious hazards from the start of and throughout any tenancy.
Make sure blinds (if provided) are safe by design, and they do not have looped cords.
And in some cases, ensuring the property is not at risk of Legionnaires’ disease.
Top Tip
You or your letting agent must provide your tenant with a copy of the government guide: ‘How to rent: the checklist for renting in England’. This needs to be given when a new tenancy starts as a printed copy or, if the tenant agrees, via email as a PDF attachment.
Myth-busting
The most misleading ones usually surround responsibilities and obligations that landlords don’t have to follow.
There are many myths and incorrect information about the responsibilities that landlords must take on board.
Myth-busting The most misleading ones usually surround responsibilities and obligations that landlords don’t have to follow.
Here are seven common myths we have had to bust.
MYTH: I own the property, so I can turn up at it whenever I like to check it out.
FACT: The Landlord and Tenant Act 1985 allows a landlord access to inspect the property, as long as they have given at least 24 hours’ notice and the proposed visit is at a reasonable time. However, the tenant must be given the opportunity to refuse the visit.
MYTH: I can change the locks and take back my property at any time if my rent isn’t paid on time.
FACT: You must follow a strict set of procedures and legal steps including court orders and potentially bailiffs. Call us to discuss this further if you need more detailed advice.
MYTH: I can leave white goods/items in the property but I don’t have to repair them.
FACT: Anything supplied with the property at the commencement of the tenancy is the landlord’s responsibility to repair and maintain, providing any damage has not been caused through misuse or neglect.
MYTH: I can have a copy of my tenant’s referencing forms.
FACT: You can request this but you will need the tenant’s consent before these forms can be provided.
MYTH: I can chuck a tenant’s stuff out if they abandon the property.
FACT: You must check your original tenancy agreement for an abandonment clause. If no clause is in there, it is usual for a landlord to be duty-bound to hold/store items for three months before disposing of them. Remember, there is a process for regaining possession/surrendering tenancy for abandoned properties.
MYTH: I can make a profit on utility bills on inclusive rents.
FACT: No, you can’t. You must charge whatever the tenant has used and not put anything on top.
MYTH: I can make deductions to the tenant’s deposit.
FACT: There’s a process to follow before deductions can be made to a deposit. These deductions require agreement from the tenant or arbitration from the authorised deposit scheme being used.
The price of getting it wrong – Hefty fines and prison sentences
The penalties and punishments of falling short of your responsibilities as a landlord can be severe.
Hefty fines and prison sentences can accompany the most serious breaches. Also, any run-ins with local authorities and government agencies can prove extremely stressful and time-consuming for landlords. It’s the main reason why we created this guide – to help landlords avoid a compliance calamity which is often due to not knowing their responsibilities rather than willful negligence.
Common cases and penalties
You could be hit with a ‘standard’ £6,000 fine and/or six months’ imprisonment for failing to comply with gas safety legislation.
You can be fined up to £30,000 for a breach of electrical regulations.
‘Right to rent’ breaches (where you allow someone to live in your property that doesn’t have the legal right to live in England) has an increasing scale of £1,000 – £3,000 fines and possible imprisonment in the most serious cases.
The vast majority of landlords want to do the right thing and take their roles seriously. But the authorities are taking stronger stances against those who break the laws.
Five ways to spot an exceptional letting agent
An exceptional letting agent can make your life a lot easier and more relaxed, especially when it comes to keeping the right side of rental laws and regulations.
- Upfront about the small print – An exceptional letting agency will be transparent and forthcoming about its fees and contract terms. We want our relationships with landlords to be long-standing ones, and that’s why we treat everyone honestly and fairly.
- Marketing Matters – Check out how the agency is marketing other rental properties they have on their books. Are you impressed or depressed by what you are seeing? The best agents know that every aspect of a property’s marketing matters if you are to attract great tenants willing to pay value for money rent.
- Embark on A mystery tour – Unfortunately, this isn’t as exciting as it sounds, but it is hugely revealing when seeking out the best agents for you. Mystery shop three agents in your area that you like the look of. Who gives you the best impression over the phone and/or in person?
- Cheap but not cheerful – The old saying ‘you get what you pay for’ is never more accurate than when it comes to cut-price letting agents. Established agents who deliver personal and professional services to landlords know their value and charge accordingly. However, cut-price deals from agents usually mean standards of service drop and little/no money is invested into the management and
- Recommendations and reviews – Word of mouth from family and friends can be great. But always ask if the person has used the agency they are putting forward. Also, look out for Google and social media reviews of agencies you are looking at. An agency’s best (or worst) advert is what their clients say about them.
We hope you enjoyed our guide to your responsibilities as a landlord.
Contact us today if you have any questions about it or anything else to do with rental property.
