The best advice for landlords in the UK

Discover the best advice for landlords based in the UK. Our comprehensive guide will give you 9 top tips to make your rental process as smooth as possible.

Ellie

5 minute read

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1 Dec 2023

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Renting out

Being a landlord in the UK comes with its own set of responsibilities and challenges. Whether you're a seasoned property owner or just starting out, renting your properties to tenants can be a complex process. From renting out your house to screening your tenants, there's much to consider. In this comprehensive guide, we'll share the best advice for UK landlords to guarantee success as a landlord.

As a landlord based in the UK, one of your first steps in renting out a property is to attain the required licences. Failure to obtain these licences can lead to a hefty fine. Some licenses you may need to obtain are:

• HMO Licence: Typically, you’ll need to obtain an HMO licence if you’re renting to at least 3 tenants from more than 1 household who are sharing facilities.
• Selective Licensing: Certain areas might enforce selective licensing to enhance living conditions and tackle issues. Stay informed about local schemes and comply accordingly.
• Mandatory Licensing: Property types like large HMOs could demand mandatory licensing. You can determine whether you need Mandatory Licensing on the UK Government website.

Selecting the right tenants is essential for a smooth and hassle-free rental experience. By doing a thorough tenant screening process, you can avoid potential problems down the road. Before agreeing to the tenancy, make sure to:

• Check references: Ask for references from previous landlords to gain insights into the tenant's rental history and financial stability.
• Run rental credit checks: A credit check helps assess the tenant's financial responsibility and ensures they can meet their rental obligations.
• Check rental history: Inquire about their previous rental experiences to gauge their reliability as tenants.

Protecting your tenant’s security deposit isn’t just a legal requirement; it also safeguards your property and creates trust between you and your tenants. Under the Tenancy Deposit Protection (TDP) scheme, you need to:

• Register the deposit: Place the tenant's deposit in a government-approved scheme within 30 days of receiving it.
• Provide information: Give your tenants the necessary information about the deposit scheme, including how to retrieve their deposit at the end of the tenancy.
• Adhere to regulations: Comply with regulations regarding deposit deductions and return timelines.

Certain Energy Performance Certificates (EPCs) and safety certificates are legal requirements for UK landlords. An EPC rates the energy efficiency of your property, while safety certificates ensure the well-being of your tenants. Remember to:

• Obtain your certificates: As a landlord in the UK, you’re legally required to obtain several safety reports, such as fire safety and EPC. You must obtain these for as long as you rent your property out.
• Conduct safety checks: Regularly inspect electrical and gas systems and appliances to ensure they continue to meet safety standards.
• Provide certificates: Give your tenants copies of safety certificates and EPCs before they move in.

Routine property inspections help you to stay on top of property maintenance and address any issues promptly. That said, you must conduct inspections lawfully to respect tenants' privacy. When planning an inspection:

• Give notice: Give your tenants at least 24 hours' notice before the inspection to give them ample time to prepare and ensure they’ll be there during the inspection.
• Document everything: Keep detailed records of property conditions during inspections to track any changes over time.
• Address concerns: Use inspections as an opportunity to address any concerns or issues your tenant may have.

Landlord insurance is not a legal requirement for UK landlords, but it can provide invaluable protection for you and your properties. Consider these factors when choosing your landlord insurance:

• Types of coverage: Landlord insurance can include building insurance, contents insurance, and liability coverage. Tailor your policy to your property's needs.
• Tenant type: Different types of tenants will require specific insurance coverage due to varying risks (e.g. you may need a more comprehensive insurance policy whilst renting to those with pets). You’ll also need to tailor your policy according to your tenants.
• When to get insurance: The best time to get landlord insurance is before tenants move in to guarantee your insurance coverage is effective from day one.

The best way to invest in your rental is to make consistent and smart upgrades to improve your property's look and functionality. Some ways you can generate higher revenue from your rentals are:

• Renovations and upgrades: Consider aesthetic updates and repairs that improve the property's looks and functionality.
• Tenant amenities: Adding attractive features like a washer/dryer, smart TV, or high-speed internet can attract premium tenants.
• Market research: Keep up to date with local rental trends to ensure your investments align with tenant preferences and market demand.

Understanding your legal rights and responsibilities as a landlord is crucial for a successful and smooth rental experience. Pay particular attention to:

• Tenancy agreements: Familiarise yourself with different tenancy types to craft clear and comprehensive tenancy agreements that outline both parties' expectations, responsibilities, and rights.
• Repairs and maintenance: As a landlord, you’re responsible for ensuring your property is a safe and habitable environment for your tenants. As such, most [repairs and maintenance required are the landlord's responsibility.
• Rental laws: Familiarize yourself with UK rental laws to protect yourself and your tenants from any potential legal issues that may arise.

When it comes to ensuring a smooth and legally compliant landlord-tenant relationship, seeking legal advice can be crucial.

When to Seek Legal Advice?

There are several scenarios where it’s wise to seek legal advice as a landlord:

• Tenant disputes: When disagreements with tenants arise, especially those related to eviction, unpaid rent, or property damage, legal advice can help protect your interests while adhering to tenant rights.
• Lease and agreement drafting: Before creating or revising tenancy agreements, consulting a legal expert ensures that your contracts are legally binding and enforceable.
• Rent increases: Navigating rent increase regulations can be complex. Legal guidance ensures you follow the proper procedures and remain compliant.
• Complex legal matters: Legal advice can provide clarity and a sensible approach if you're facing complex legal situations, whether that is owning multiple properties or a unique tenant dispute.

How to Seek Legal Advice

To find legal advice for landlords in the UK, find a solicitor experienced in property law and landlord-tenant matters. Their expertise will be invaluable in guiding you through specific issues. Many solicitors offer initial consultations. Use this opportunity to discuss your situation, understand their approach, and gauge their suitability.

If you’re concerned about the cost of seeking legal advice, there’s plenty of free legal advice for landlords in the UK:

• Free legal advice providers: Landlord Advice UK provide a free advice line. Simply call 020 3903 2000. Help 4 Landlords UK also provides free advice through their online form.
• Landlord Associations: Joining a landlord association like the National Residential Landlords Association (NRLA) can grant you access to free or discounted legal advice.
• Online forums: Online platforms like Property Tribes have active communities where landlords share their experiences and offer advice. Though it’s not professional legal advice, these platforms provide valuable insights from fellow landlords.

This article is for informational purposes only. Please consult the appropriate authorities or a lawyer for legal advice.

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