Tips for Letting to Companies

If you are letting to a company for their exec tenants, your property must be central - and close to a tube or train station (by which I mean less than 5 minutes walk).
Don’t come unstuck on furnishings and find out what the market wants first.
Bear in mind that those relocating with their families may bring all their furniture with them whilst singletons may expect you to provide a fully furnished place.
And of course, if you furnish, the standard has to be as good as any hotel. So forget MFI and Ikea.
Foreign expats in particular will look for large rooms and lots of storage space.
Generally, this market will be less price sensitive than normal lets -after all it is the company who is paying!
However for that they will expect not only good furnishings but a prompt and efficient service if anything goes wrong. So if the washing machine breaks down on a bank holiday, you’ll probably have to fix it that day and the extra call out cost will have to go and hang itself.
This is the last post before the New Year. It's time for a break!
I wish you a happy Xmas and a prosperous New Year. Good luck. David Lawrenson
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Tips for Landlaords to Avoid Becoming a Victim of ID Fraud

Check bank and card statements carefully. Look out for transactions you don’t recognise.
Shred unwanted personal documents containing your name and address.
Don’t use obvious passwords, like your husband’s first name.
For outstanding bills on any property you own and let, always give utility suppliers, banks and the Council Tax people your new address or correpsondence address and insist they send all post there.
Tell your old tenants to do the same when they move.
Use the Royal Mail’s redirection service.
When looking for new tenants do a thorough reference check.
Anti fraud organisation CIFAS has more advice on how to avoid ID fraud. See www.cifas.org.uk
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Why are some letting agents so keen on getting landlords to go for 12 months tenancy agreements?

Following on from yesterday's post, some people have asked me, "Why are some letting agents so keen on getting landlords to go for 12 months fixed term tenancy agreements?"
Well, a few less scrupulous agents do it because their commission may be based on the 12 month term – i.e. they may get double what they would get on a 6 month term – and as they usually get the commission up front out of the first moths rent and deposit there is a strong incentive here!
Indeed, in the recent BBC documentary that went behind the scenes at a few up-market London agents, one agent was trying to do just this, even though the landlord and tenant’s circumstances clearly meant both would have preferred a 6 month term.
I think most agents play fair and dont do this, but some do, so watch out for it.

Always Use a 6 month term on your tenancy agreement

Always use a 6 month term on your tenancy agreement!
If you issued a 12 month agreement and your tenant stops paying, you will not be able to use the faster “Section 21 accelerated possession procedure” because a Section 21 notice cannot expire earlier than the end of the fixed term.
Also, you cannot use Section 21 for any claims based you make for rent arrears or where the claim starts before a fixed term has ended.
Try to do so and the judge will kick your claim into touch!
Instead, you will have to wait for rent arrears to reach two months and then serve what’s called a Section 8 notice.
And, unlike in the Section 21 procedure (which is done by post), with a Section 8, you will have to attend court for a hearing.
So, always give shorter fixed terms to your tenants because if they prove to be bad you can use the Section 21 accelerated possession procedure - which is usually faster, cheaper and less hassle than going down the Section 8 route.

Germany Calling for Property Investors

I'm a bit hot and cold about most overseas markets for property investment.
However, there is one market I do like - Germany.
So when two other thinkers whose opionion I admire say they are also interested, then I have to take notice.
First, there was Dominic Farrell at Beware the Sharks. He's an old property mate and he thinks property in Germany looks good (and he's not selling property there)
And then there is Ms Marrin in the Sunday Times. She always talks a lot of sense about most investments.
So, a trip to Germany, specifically Berlin, is now on my very long New Years To Do list.
Yields are high and property costs a fraction of most places in central and eastern Europe.
It's worth a look.
If any readers want to join me on a trip there in the New Year, please let me know.
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