Tenant Deposit Scheme – ready or not?

BREAKING NEWS

Tenant Deposit Scheme – ready or not?

In April 2007, the Tenant Deposit Scheme (TDS) will come into effect in England and Wales, overseeing deposits equating to an amount worth £1.2 billion. The TDS will provide protection to both tenants and landlords entering into assured short hold tenancy agreements by offering an independent and regulated means of dispute resolution.

An area that remains peripheral to any discussions is that of the need for accurate and detailed documentation of a property and its contents. Dispute resolution will be based on evidence, so an independent inventory will be a prerequisite for a referral to the Alternative Dispute Resolution (ADR) scheme. The re-distribution of deposit monies and the resolution of disputes must be largely based on pre prepared inventories.

The process of preparing an inventory is to accurately document the state of fixtures, fittings and the internal condition of a property prior to the commencement of a tenancy. This is a professional service and only by providing proper training to the industry can TDS standards be maintained.

The number of trained inventory clerks in the UK is still only in the low hundreds. When the TDS comes into force, the rental sector is expected to experience a shock of demand for independent inventories, with a shortage of clerks.

It is clear that whilst heralding the arrival of the TDS, the property sector needs to raise awareness of the lack of inventory clerks

NEWS ON THE BLOCK MAGAZINE

Surviving MIPIM

News on the Block were delighted to send a delegation to the greatest property show on earth. MIPIM, held 13-16 March in Cannes, plays host to more than 25,000 delegates from all over the world to network, mingle, talk, and, yes, to enjoy a glass of wine with thousands of exhibitors representing all walks of property life from construction, development, investment and management to the legal profession, insurance and architecture.

This is a truly staggering event – overwhelming does not begin to describe it. Over three days the News on the Block delegation met with hundreds of key players related to the UK residential property sector, and those specifically involved in blocks of flats.

There will be a full report and podcast at www.newsontheblock.com shortly.

COMMENT & OPINION

Preparing to be a good landlord

Following the recent release of the Report for Social Housing commissioned by the Government, it has been reported that people on lower incomes are in a better situation in Council or housing association accommodation than if they were in private landlord accommodation.

Landlords have a duty to supply adequate and decent accommodation, so how do you ensure that you are a good landlord?

Firstly, before even buying a property check that repairs and fixes will be easy to access. Before your tenant moves in, it is a legal requirement for you to have two tests carried out. One is a Gas Safety Certificate for all gas equipment, which must be carried out by a CORGI registered engineer. You will also need a Portable Appliance Test (PAT) on all electrical equipment.

A landlord has a duty to provide a property in a state of good repair and good decoration. This will only help in the long run, giving the incoming tenant a clear vision of what will be expected at the end of the tenancy.

Some tenants will ignore minor problems, but a small water leak can soon be the cause of major damage if not treated. Always show tenants where the stopcock is and how to turn the gas off. Supplying them with a list of emergency contact numbers will help them to deal with a problem quickly.

If your property is managed then your agent should regularly check the building, but if you are managing it yourself, make regular visits to check for potential problems. Smoke detectors have to be checked every year. Remember that your tenant has the right to total privacy, so don’t just let yourself in - make sure that you give adequate notice.

An important point to being a good landlord is to understand your rights and responsibilities as well as those of your tenant.

NEWS ON THE BLOCK’S RECRUITMENT BULLETIN…

Senior Property Manager

London NW4

Are you tired of being bought and sold?

As our industry gains a reputation for mergers, takeovers and acquisitions, we retain a reputation for a continuity that our clients appreciate. Which is why many of our staff and blocks are still with us after 20 years. And why new clients are coming aboard.

If you’re tired of the uncertainty and ready to face a new challenge as a Senior Property Manager, why not join one of the last remaining independent residential managing agents in London?

Please email your CV in complete confidence to Joanna Sigalov at jgs@parkaspen.co.uk

DISCLAIMER/LEGAL etc.