Foxtons has launched a new service which allows landlords and tenants to conduct rental deals online. This eliminates the need for time consuming journeys to high street branches to sign rental agreements and pay deposits.

As of 1st of October 2010 all tenants who have been paying rent £25,000 – £100,000 per year (£480.80 -1,923.08 per week) for their main residency will automatically get Assured Shorthold Tenancy (AST) status.

The landlords will formally have to protect the deposits on these tenancies. Your landlord must provide you with prescribed information about the scheme (either custodial – DPS – or insurance based scheme – TDS, TDSL) within 14 days from when the new regulation comes into force. 

Update: Comment from Nick (Pimlico-Flats):

This is not actually true. Department of Communities and Local Government have stated:

“We do not consider that deposits taken before 1 October will need to be protected as these were not taken in connection with a shorthold tenancy and therefore do not meet the criteria for protection specified in the Housing Act 2004.”

However that is merely the Government’s position, it is actually up to the Courts to make a ruling.

It’s no secret that the management of a rental property in London is often too difficult for many landlords and professional managers to handle. We understand that it is not easy to find a decent plumber or builder whom you can trust, and count on. But in too many cases it seems that managing a rental is such a daunting task, so stressful, that it induces procrastination.

I recently had an acquaintance wait for a professional manager to fix problems in the newly rented apartment for – 6 weeks. The deal was that everything would be done very shortly. After dozens of calls and a few letters, when no-one showed up for over a month, she finally went to the manager’s office, and basically said she’s not leaving until someone gives her an exact date and time when the plumber comes. The next day the plumber came and the problem was fixed. But the management company still ended up paying for delaying with the works. The tenant asked for a compensation, and as a reputable company, they agreed to pay for the inconvenience.

One of the worst problems the managers have, is that they fail to communicate with the tenant. The manager could have at least talked to the tenant, let her know what is going on, how much longer it is going to take. Maybe the tenant could have organized a plumber herself but how could she if she’s not sure she’s going to get a refund?

Here is some advice on what you can do to speed up the process of getting things fixed in your new rental:

Do not sign the agreement before the problems are fixed.
Never if there is no heating, no water or if the conditions are hazardous to your health.

Before you sign the agreement:

Check everything in the rental before signing the agreement.
Try to imagine a day in your life, and act it out doing all those things you normally would do during a day.

Take as much time as you need to do the check-up.
Tell the agent or landlord before meeting for the final viewing that you will need time (depending on the size of the place) to check that everything is the way it is supposed to be.

The final checking should be done after the previous tenant has moved out.
Otherwise you will most likely be more reserved to look everywhere, and could end up missing something important.

Look at the EPC
Check the rating and see what is advised in order to get the place in better condition. Ask what the landlord is willing to do, then put it down in writing.

If there are no major problems in the rental, and you do sign the agreement:

Always make sure to have in writing everything that needs to be fixed or done, along with the approximate dates by which the landlord promises to fix each problem.

Take action if the problems have not been fixed when promised, don’t just wait around hoping.
Best bet is to remind the landlord by sending him the list by E-mail or mail. If noone reacts, go to their office.

If you think you can fix some things yourself – tell the landlord.
Write down how much is the refund for that.

Want to read how bad it can really be? Here’s a link to a thread in LandlordZone forum: New flat’s ceiling collapsed and neighbours are noisy.

Photo: West London

Q: My landlord did not think a written tenancy agreement is necessary, and in the haste of moving into a new place I did not care so much. But now, 3 weeks after moving in, I wish I had something tangible to hold on to… Isn’t he legally obliged to give me a contract?

Well, it depends. Since your tenancy started after 28 February 1997, the private residential agreement is always automatically Assured Shorthold Tenancy (unless agreed otherwise in writing). Now, if you agreed to a fixed term of 3 years and more, you are legally entitled to a written tenancy agreement. If your tenancy is shorter, the landlord does not have to give you a written agreement.

If you need something tangible, you should know, that with the Assured Shorthold Tenancy Agreement, you have the right to ask for a written statement of any of the following main terms of the tenancy:

1. The date the tenancy began
2. The amount of rent payable and the dates on which it is due
3. Any rent review arrangements
4. The length of any fixed term

Source: DirectGov

Image: -Gep- at Flickr

For those of you who are new to London, here are the most common types of tenancy agreements that are used here:

Assured Shorthold Tenancy Agreement (AST) – Most common, most flexible. All the tenancies that started from 28 February 1997 will be AST-s unless agreed otherwise in writing. This agreement has straightforward notice procedures for bringing the tenancy to an end after the minimum 6 months period and a special Accelerated Possession court procedure should tenants fail to vacate.

Assured Tenancy Agreement - Usually issued by a housing trust or housing association. A more secure agreement granting a longer stay. Much more difficult to end than AST.

House and Flatshare Agreement -Both resident landlords and non-resident landlords can use these agreements. The main purpose is to create a tenancy agreement, which will not have the force of an Assured Tenancy or even an Assured Shorthold Tenancy Agreement. It allows both the tenant and the landlord to end the agreement quickly.

Holiday Lettings Agreement – An agreement with the intention of using the premises for holiday accommodation. The term of the letting agreement will usually be quite short, often one or two weeks, and usually less than three months, but certainly less than six months. If it is intended to create a tenancy agreement in excess of six months, an Assured Tenancy or an Assured Shorthold Tenancy or a House & Flat Share Agreement should be used.

Regulated/Protected Tenancy - If you moved into the property before 15th January 1989, you may have a Regulated or Protected Tenancy. This type of tenancy offers the most protection against rent increases or eviction.

Important: Please read the agreement carefully before signing it. You can always ask the landlord to give/send you a copy to read beforehand.

PS The tenancy agreements do not have to be in writing, even though we strongly recommend it. The verbal agreement is by law just as binding.

Sources: Houseshare.com, Government’s website Directgov, ARLA & the Citizen Advice Bureau’s Advice Guide