SurreyLets is now more noticable than ever in the Surrey Area thanks to its new vans that are driving around Surrey!
Have you seen it yet?
Wednesday, 15 July 2009
Friday, 10 July 2009
Udate on the OFT vs Foxtons case
ARLA (The Association of Residential letting Agents) have just sent out the text below to its agents. I wanted to circulate this to all my Landlord clients who have been waiting anxiously for over a month for news. Indeed, it was time a ruling was made.
For the reader of this part of my blog, the text content has been written by ARLA / NFOPP and not by SurreyLets
Text from ARLA
As you may have heard, the Judge in the Office of Fair Trading v Foxtons renewals case, today handed down his judgement. Ian Potter, ARLA Operations Manager, was in court to hear the judgement as was one of our Legal Advisors. Although the Judge stated that clauses in the Foxtons agreement were unfair, this was because they did not make the renewal terms clear.
Contrary to misleading information that has already appeared in the press, the ruling has not stated that renewal fees are unfair but that these fees must be explicitly laid out.
Set out below are a Press Release, links to the Judgement and most importantly, a Practice Note which sets out our initial thoughts and help to Members.
ARLA has sent out the following Press Statement.
FRIDAY JULY 10 2009
In response to the High Court judgement on the case of the OFT vs. Foxtons, Ian Potter, Operations Manager, of the Association of Residential Letting Agents (ARLA) states as follows:
“We welcome Mr. Justice Mann’s clarification on the issue of contract transparency in relation to letting agent fees. Contrary to misleading information that has already appeared in the press, the ruling has not stated that renewal fees are unfair but that these fees must be explicitly laid out. ARLA strongly supports the need for transparency and our members adhere to this premise though a strict code of practice, which binds them to ensuring all fees and charges are made clear and are reasonable.
“The lettings market has changed irrevocably in recent times. ARLA’s members have recognised this change by launching the licensing campaign for lettings agents which is founded on the need for improved standards, best practice and redress for consumers. Today’s ruling will serve, therefore, as another building block in our aim to create strong foundations for the lettings market as we re-assess the provision of our services and how we communicate them.
“To quote the clause E.III of the Code of Practice: “ The Terms of Business used by a Member Firm must be clearly presented and written in plain and intelligible language and endeavour, where appropriate, to take account of the Unfair Terms in Consumer Contract Regulations .”
“In effect ARLA members have always been encouraged to follow industry best practice and to provide information on fees and charges in clear and transparent manner.
“The letting of a residential property is, by its nature, a complex transaction centred on the emotive subject of people’s homes. A key element of ARLA’s licensing campaign to professionalise the sector is to increase consumer understanding of this complex process. We once again encourage landlords and tenants to only choose ARLA members. This is because they are advised to make all fees and charges clear and reasonable and are subject to a consumer complaint scheme if they are not.”
2. PRACTICE NOTE
OFT v Foxtons- Practice Note
Prepared by PainSmith Solicitors for NFOPP
This is a short practice note to assist members in dealing with potential changes in the way they seek fees as a result of today's decision in OFT v Foxtons. Agents who wish to understand the background of the case in more detail should await a separate communication from ARLA and NAEA which will deal with this.
Background
The OFT has been involved in legal proceedings against Foxtons Ltd in relation to 3 particular parts of their standard terms of business:
1. The charging of commission on renewal or extension of a tenancy even if Foxtons have no involvement in negotiating or dealing with the renewal;
2. The charging of commission where the landlord has sold the property with the tenant in situ and the tenant renews or extends the tenancy with the new landlord;
3. The charging of a commission where the landlord sells the property to the tenant.
The OFT has contended that the clauses giving effect to these charges are unfair and are also not written in 'plain and intelligible language' contrary to the provisions of the Unfair Terms in Consumer Contract Regulations.
Mann J has today given judgement on this contention. He has made a declaration of unfairness in relation to some aspects of Foxtons terms but has not made any further order.
The Ruling
Mann J has stated that Foxtons' clauses relating to commission on sale of property to a tenant or occupier are unfair. The ruling makes clear that these clauses will generally always be unfair where they are included within a lettings terms of business at the outset of a letting. Any effort to charge commission on sale to tenants would need to be done by way of a sales agreement at the time of sale and would therefore really require the agent to have involvement in the negotiation or arrangement of the sale.
Mann J has stated that Foxtons' clauses which seek to charge commission on renewal where the landlord has already sold the property to another landlord are probably unfair.
Finally, Mann J has stated that renewal commission clauses are unfair where they are not expressed in plain and intelligible language and not brought directly to the landlord's attention at the time they enter into the terms of business. He has stated that Foxtons terms are unfair as they are not expressed in plain and intelligible language.
Mann J has not stated that all renewal commission clauses are unfair and nor has he stated that nobody can rely on them. He has not made any injunction against Foxtons or anyone else stating that these clauses must be withdrawn or that cases based on them cannot be taken. His ruling does mean that County Courts must follow the principles set down in his ruling. Members should take legal advice before seeking to rely on any of these clauses or those of similar type in the Courts.
__________________________________________________________________________________
For the reader of this part of my blog, the text content has been written by ARLA / NFOPP and not by SurreyLets
Text from ARLA
As you may have heard, the Judge in the Office of Fair Trading v Foxtons renewals case, today handed down his judgement. Ian Potter, ARLA Operations Manager, was in court to hear the judgement as was one of our Legal Advisors. Although the Judge stated that clauses in the Foxtons agreement were unfair, this was because they did not make the renewal terms clear.
Contrary to misleading information that has already appeared in the press, the ruling has not stated that renewal fees are unfair but that these fees must be explicitly laid out.
Set out below are a Press Release, links to the Judgement and most importantly, a Practice Note which sets out our initial thoughts and help to Members.
ARLA has sent out the following Press Statement.
FRIDAY JULY 10 2009
In response to the High Court judgement on the case of the OFT vs. Foxtons, Ian Potter, Operations Manager, of the Association of Residential Letting Agents (ARLA) states as follows:
“We welcome Mr. Justice Mann’s clarification on the issue of contract transparency in relation to letting agent fees. Contrary to misleading information that has already appeared in the press, the ruling has not stated that renewal fees are unfair but that these fees must be explicitly laid out. ARLA strongly supports the need for transparency and our members adhere to this premise though a strict code of practice, which binds them to ensuring all fees and charges are made clear and are reasonable.
“The lettings market has changed irrevocably in recent times. ARLA’s members have recognised this change by launching the licensing campaign for lettings agents which is founded on the need for improved standards, best practice and redress for consumers. Today’s ruling will serve, therefore, as another building block in our aim to create strong foundations for the lettings market as we re-assess the provision of our services and how we communicate them.
“To quote the clause E.III of the Code of Practice: “ The Terms of Business used by a Member Firm must be clearly presented and written in plain and intelligible language and endeavour, where appropriate, to take account of the Unfair Terms in Consumer Contract Regulations .”
“In effect ARLA members have always been encouraged to follow industry best practice and to provide information on fees and charges in clear and transparent manner.
“The letting of a residential property is, by its nature, a complex transaction centred on the emotive subject of people’s homes. A key element of ARLA’s licensing campaign to professionalise the sector is to increase consumer understanding of this complex process. We once again encourage landlords and tenants to only choose ARLA members. This is because they are advised to make all fees and charges clear and reasonable and are subject to a consumer complaint scheme if they are not.”
2. PRACTICE NOTE
OFT v Foxtons- Practice Note
Prepared by PainSmith Solicitors for NFOPP
This is a short practice note to assist members in dealing with potential changes in the way they seek fees as a result of today's decision in OFT v Foxtons. Agents who wish to understand the background of the case in more detail should await a separate communication from ARLA and NAEA which will deal with this.
Background
The OFT has been involved in legal proceedings against Foxtons Ltd in relation to 3 particular parts of their standard terms of business:
1. The charging of commission on renewal or extension of a tenancy even if Foxtons have no involvement in negotiating or dealing with the renewal;
2. The charging of commission where the landlord has sold the property with the tenant in situ and the tenant renews or extends the tenancy with the new landlord;
3. The charging of a commission where the landlord sells the property to the tenant.
The OFT has contended that the clauses giving effect to these charges are unfair and are also not written in 'plain and intelligible language' contrary to the provisions of the Unfair Terms in Consumer Contract Regulations.
Mann J has today given judgement on this contention. He has made a declaration of unfairness in relation to some aspects of Foxtons terms but has not made any further order.
The Ruling
Mann J has stated that Foxtons' clauses relating to commission on sale of property to a tenant or occupier are unfair. The ruling makes clear that these clauses will generally always be unfair where they are included within a lettings terms of business at the outset of a letting. Any effort to charge commission on sale to tenants would need to be done by way of a sales agreement at the time of sale and would therefore really require the agent to have involvement in the negotiation or arrangement of the sale.
Mann J has stated that Foxtons' clauses which seek to charge commission on renewal where the landlord has already sold the property to another landlord are probably unfair.
Finally, Mann J has stated that renewal commission clauses are unfair where they are not expressed in plain and intelligible language and not brought directly to the landlord's attention at the time they enter into the terms of business. He has stated that Foxtons terms are unfair as they are not expressed in plain and intelligible language.
Mann J has not stated that all renewal commission clauses are unfair and nor has he stated that nobody can rely on them. He has not made any injunction against Foxtons or anyone else stating that these clauses must be withdrawn or that cases based on them cannot be taken. His ruling does mean that County Courts must follow the principles set down in his ruling. Members should take legal advice before seeking to rely on any of these clauses or those of similar type in the Courts.
__________________________________________________________________________________
Saturday, 23 May 2009
Testimonials
SurreyLets is always proud and pleased to get a positive testimonial from my Clients. Here are just a few on the ones I have had recently...
It has been a genuine pleasure to have Surrey Lets as one of our service providers. Sally has tremendous experience in the lettings arena, and is truly committed to offering exceptional service to both Landlords and tenants. She offers a highly personal and professional service which is what makes her stand out in the over-crowded lettings world.
Vanessa Warwick / 4wallsandaceiling
Surrey Lets provided an excellent service and took away all the worries of letting my property. They went to great lengths to find tenants, and once they found them, they did everything to sort out any problems however big or small.
Mr Heard - Landlord
Every time I called Surrey Lets they went the extra mile, even out of hours. Refreshingly good service. Mine was a complicated home move; Surrey Lets made it simple.
Mr Poulton – Tenant
"This time I failed to let my Guildford studio flat through the usual channels, and then I found Sally at SurreyLets. She introduced excellent tenants and handled the whole business with courtesy and efficiency."
Mrs M - Guildford Landlord
We would like to thank you for the efficient, personal and friendly service that you provided with finding us a suitable tenants.(they are amazing!!)
From completion to our first tenant was less than a week, therefore this worked out to be very cost effective and profitable. We have been very impressed and would recommend you way above any high street agency. We wish you all the best for SurreyLets
Mr M & Mrs J Smith, Guildford
It has been a genuine pleasure to have Surrey Lets as one of our service providers. Sally has tremendous experience in the lettings arena, and is truly committed to offering exceptional service to both Landlords and tenants. She offers a highly personal and professional service which is what makes her stand out in the over-crowded lettings world.
Vanessa Warwick / 4wallsandaceiling
Surrey Lets provided an excellent service and took away all the worries of letting my property. They went to great lengths to find tenants, and once they found them, they did everything to sort out any problems however big or small.
Mr Heard - Landlord
Every time I called Surrey Lets they went the extra mile, even out of hours. Refreshingly good service. Mine was a complicated home move; Surrey Lets made it simple.
Mr Poulton – Tenant
"This time I failed to let my Guildford studio flat through the usual channels, and then I found Sally at SurreyLets. She introduced excellent tenants and handled the whole business with courtesy and efficiency."
Mrs M - Guildford Landlord
We would like to thank you for the efficient, personal and friendly service that you provided with finding us a suitable tenants.(they are amazing!!)
From completion to our first tenant was less than a week, therefore this worked out to be very cost effective and profitable. We have been very impressed and would recommend you way above any high street agency. We wish you all the best for SurreyLets
Mr M & Mrs J Smith, Guildford
Tuesday, 19 May 2009
The Green Green Grass of home. Cannabis Farming in the Private Rental Sector.
I have written a few blogs on the rise in Cannabis Farms in private rental accommodation. However this week I received a call from a Landlord in Surrey who had been alerted by neighbours (not his managing agent!) of their suspicions. As the police attended, the remaining tenant was seen rushing away from the scene. Upon entering, it was plain to see, that the property was indeed another statistic of Cannabis Farming in the Private Rental Sector. It seems to be happening more nd more in Surrey.
I do not use the word devastation or devastated lightly. The former being the state of the property the latter the state of the Landlord. What choked him was entering his child's bedroom that still had all the trappings of a nursery in its decor had been vandalised beyond most of our comprehension.
A beautiful, normal family home, turned into something that felt somehow corrupt.
In the pictures in this blog you will see the ducts that the tenants have installed to vent the property, these go up the chimney. You will see the holes in the walls that have been butchered to accommodate these vents. Floors covered in plastic with mounds of soil that had leaked and penetrated the wooden floors and carpets beneath. The bolt holes across the ceilings where high voltage heat lamps had hung, and a mountain of wiring. Every room demonstrating tens of plug sockets overloaded as the tenants had bypassed the meter and tapped into the mains, bhich has since been cut of by the supplier.
The stench of cannabis, or soil and of damp hung in the air and penetrated the very fabric of the building.
It begged one question to me. How on earth did these people get to rent this property?
Times are tough in the lettings market. Landlords are keen to get empty properties occupied, agents desperate for the deals. Does this make our vision a little less clear, do we take slight risks. Is the temptation of cash just too much?
In this case not. The references, I am told, seemed OK. There was a bank account and rental was being paid. However this is common, after all, no criminal actually wants to appear as one!
In my experience, there are warning signs to watch out for.
1) Potential Cannabis tenants like properties to be a little more secluded, but with access to main road links. (This property had open fields in front of it and was detached, this is not unusual)
2) Properties are often in communities where comings and goings are not going to be questioned. However the property needs a degree of privacy. Often drive in garages are a plus as are older style properties with a chimney
3) One of the first things the tenants do on a viewing is look at the electricity meter. They are looking to see if it can be over ridden.
4)The tenants typically seem to have a beauty business of fast food business and the property is for either staff or them with a large extended family.
My advice of Letting a home to combat this?
Agents need to be absolutely aware of who it is renting a property. Take NI number, driving licence number and a copy of a passport, these are "traceable" Ids. A 6 week deposit does not touch the surface of this sort of damage.
Landlords ensure you have good insurance that would cover you for this eventuality.
Don't be tempted by cash deals unless you know the circumstances in which you are accepting it. Cash over good reference checking and ensuring the agents see genuine ID a false economy.
Lastly, trust your instinct. Its normally right.
Canabis farming in the private rental sector is alarming and can be avoided. Look out for some of the behaviours listed above and please ensure the checking is thorough and there is tracable ID taken.
For any advice about Letting your home and how to avoid the pitfalls, please call SurreyLets
Friday, 8 May 2009
OFT vs Foxtons - Update 8th May 2009
I have spoken to David Oliver at the National Federation of Property Professionals this morning who has advised that the Foxtons / OFT case was heard on 27th April and the Judge has asked for time for the case to be considered before making a verdict. The decision is thought to be expected at the end of May. Watch this space!
Thursday, 7 May 2009
Avoid an empty property creating you a void period
Excess supply and falling rents is a ‘pattern replicated over most of the UK’ according to the FindaProperty rental index. There is an increase in properties being let by “Accidental Landlords” who have decided not to sell and let and as a global recession is stronger in Europe than the UK there has been a decline in Corporate Relocation, there has been more empty stock in the upper end of the rental scale, all of which has contributed to the falling rents.
So as a Landlord - what do you have to do to ensure your property is the one that is getting the viewing's and most importantly, securing a tenant?
SurreyLets are keen to explain to Surrey Landlords that in your property needs to stick out from the crowd. If the property is furnished, it should be staged to best demonstrate what rooms are used for and what space is available. Property should be sparkling clean and neutrally decorated. Externally the property should have kerb appeal, clearly identifiable with a number or a name and the front looking really smart and well cared for.
Once you are satisfied the price is right and the presentation perfect and the property is still untenanted, SurreyLets suggest you try some tenant incentives like a "rent free" period (after all - if the property is going to sit empty for another month two weeks free is irrespective if your tenants move quickly) or a "cash back" upon checkout at the end of the tenancy. I know of one Landlord at the moment who has a holiday let that's sitting empty, so she is advertising a weekend away to her tenants, another Landlord in Cobham offered 2 weeks rent free and within days the property was let above others in it price range - do anything to stand out and attract prospective tenants to your property.
So as a Landlord - what do you have to do to ensure your property is the one that is getting the viewing's and most importantly, securing a tenant?
SurreyLets are keen to explain to Surrey Landlords that in your property needs to stick out from the crowd. If the property is furnished, it should be staged to best demonstrate what rooms are used for and what space is available. Property should be sparkling clean and neutrally decorated. Externally the property should have kerb appeal, clearly identifiable with a number or a name and the front looking really smart and well cared for.
Once you are satisfied the price is right and the presentation perfect and the property is still untenanted, SurreyLets suggest you try some tenant incentives like a "rent free" period (after all - if the property is going to sit empty for another month two weeks free is irrespective if your tenants move quickly) or a "cash back" upon checkout at the end of the tenancy. I know of one Landlord at the moment who has a holiday let that's sitting empty, so she is advertising a weekend away to her tenants, another Landlord in Cobham offered 2 weeks rent free and within days the property was let above others in it price range - do anything to stand out and attract prospective tenants to your property.
The way we do business is changing......
The way in which we do business is changing. As a nation we have gone from the cottage industries where we shopped locally and knew the name of the bank manager and only did business with those who we knew and trusted, to the 90’s world of overseas call centres and automated calling. The world wide web offering making the world a contactable smaller place, the rise of the large and faceless corporation and the relief when we heard we were only 5th in the queue to now, 2009, the last part of the first decade in the third millennium. The phrase “Third millennium business” is becoming more frequent, but what actually is it and why is a Letting Agent writing about it?
Third Millennium business will bring together the era of Web2 and the rise of social media. As we are more conversant in technology than ever before we will use the web to upload and share more. Facebook was one of the largest rising social network groups amongst middle aged people. We use the web to find businesses and services and to find and share information with other people. We use people in our friend groups and contact lists on social media sites to link into business and products. The faces and contributions of people on these sites become people we trust and want to do business with. Third Millennium business cuts out the larger corporations because people buy people first and gravitate to do business through people they trust. We no longer automatically trust the suited corporate bankers, the hard sales person and the politician. This form of Authority is not what it once was, we want to do business with people we trust, people with a profile, we want honesty, transparency, accountability, communication. We want to deal with people
SurreyLets uses these principles in its marketing as an online virtual company. It offers a complete lettings and property management service, corporate and private relocation, home search services and add on products like rental guarantee. You deal with the director, Sally Asling, who is a Fellow member of ARLA and been in Lettings for 18 years has an impressive CV covering all aspects of the industry. SurreyLets is the vision of Sally Asling who wanted to offer a more personal and professional service to Landlords and Property Investors. Recognising the changing pace of third millennium business SurreyLets can be found on Twitter and posts current and relevant information and industry news via the means of blogging. SurreyLets deals in real time internet mediums so that wherever you are in the world, contact is easy quick and simple.
Third Millennium business will bring together the era of Web2 and the rise of social media. As we are more conversant in technology than ever before we will use the web to upload and share more. Facebook was one of the largest rising social network groups amongst middle aged people. We use the web to find businesses and services and to find and share information with other people. We use people in our friend groups and contact lists on social media sites to link into business and products. The faces and contributions of people on these sites become people we trust and want to do business with. Third Millennium business cuts out the larger corporations because people buy people first and gravitate to do business through people they trust. We no longer automatically trust the suited corporate bankers, the hard sales person and the politician. This form of Authority is not what it once was, we want to do business with people we trust, people with a profile, we want honesty, transparency, accountability, communication. We want to deal with people
SurreyLets uses these principles in its marketing as an online virtual company. It offers a complete lettings and property management service, corporate and private relocation, home search services and add on products like rental guarantee. You deal with the director, Sally Asling, who is a Fellow member of ARLA and been in Lettings for 18 years has an impressive CV covering all aspects of the industry. SurreyLets is the vision of Sally Asling who wanted to offer a more personal and professional service to Landlords and Property Investors. Recognising the changing pace of third millennium business SurreyLets can be found on Twitter and posts current and relevant information and industry news via the means of blogging. SurreyLets deals in real time internet mediums so that wherever you are in the world, contact is easy quick and simple.
Subscribe to:
Posts (Atom)
