International Letting Agents
Agents will also visit properties fairly regularly. “We visit
every three to six months, although we’ll often go round more
frequently,” says Catherine Cockroft, director at Aylesford
& Co. The agent should take action to ensure tenants are meeting
their responsibilities.
Jacqueline Ironside says: “We’d write a report to the
landlord if the garden isn’t being looked after or the property
isn’t being cleaned. We’d contact the tenant to talk
it through then confirm that in writing.” And there should
be established procedures for chasing rent, although should a landlord
have to go for repossession proceedings because of non-payment,
he would have to instruct solicitors directly.
International Letting Agents & Checking The Applicant
Checking the applicant out thoroughly beforehand is essential. Caroline
Crawford, associate at Knight Frank’s central London lettings
department, would take financial references from a bank and professional
references from solicitors, accountants and employers, but doesn’t
use credit reference agencies (some agencies do credit searches).
The agent should always ensure landlords approve the references
and go back for further information if you’re not satisfied,
even getting overseas bank and employer testimonies, or maybe negotiating
a larger than standard rent payment in advance.
More generally, a letting agent who’s managing the property
will hold back some of the rent as a float for minor outgoings,
usually depending on its size and how frequently rent is paid. Aylesford
& Co, for instance, would retain around £500 when rent
is monthly.
International Letting Agents - Agents Usually Want Discretion
Agents usually want discretion to spend up to a certain amount
without consulting the landlord first - Ironsides asks for £500.
“But if it’s an emergency, say the hot water breaks down
on a Friday evening and we have to replace the boiler, we would have
to go ahead and do that,” says Anne O’Malley, a Hamptons
property manager, even though it might cost significantly more. “We
couldn’t leave the tenant for a weekend without any hot water.”
To keep a handle on costs while giving the tenant peace of mind
- weekend call-out charges in London can go upwards from £100
- the agent should give them contact numbers for contractors, but
make it clear that it is only for out of hours emergencies.
An agent charging 15-16 per cent for letting and management may
charge extra sometimes, and attitudes vary here.
International Letting Agents & Jacqueline Ironside
Jacqueline Ironside distinguishes day-to-day management problems,
like dripping taps or central heating troubles, from events like a
serious leak in the roof. She may charge 10-15 per cent of the cost
of the work to sort this out, but says it depends on circumstances.
A percentage charge is fairer than a time-based charge, she says,
as it covers everything from organising the initial appraisal by the
contractor to liaising with the insurance company and overseeing the
claim. Caroline Cope at Simmons & Sons points out that
if the damage is such that the property isn’t being let, then
the agent isn’t earning the management fee.
In that kind of situation, she would oversee work to get it fit
to let again, liaising with surveyors if necessary, and would charge
at £70 per hour based on a time sheet. Otherwise, she says
she’ll often absorb the cost of the additional work in getting
burst pipes and blown boilers put right when processing the insurance
claim.
International Letting Agents - Hamptons And Aylesford & Co
Hamptons and Aylesford & Co say that their full management
fee includes everything except processing insurance claims - these
can get complex and time consuming, especially in leasehold property.
Hamptons would charge an amount equal to 10 per cent of the insurance
claim, while Aylesford would charge £75 plus VAT for claims
up to £1,000 and over that 6 per cent of the claim. But Aylesford’s
Catherine Cockroft adds that while management includes finalising
minor repairs, replacement and cleaning between tenancies, it would
charge 10 per cent of the cost of major redecoration or refurbishment
works and twenty to sixty pounds a week to visit an empty property.
Sophie Head at Beaney Pearce says that if there’s a short
period between tenancies, it will keep an eye on properties without
extra cost. But if the landlord decides not to let for a few months,
it would negotiate an ‘empty management’ fee.
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