IMPORTANT INFORMATION FOR LANDLORDS

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1 LETTINGS & PROPERTY MANAGEMENT IMPORTANT INFORMATION FOR LANDLORDS Lettings professionals, RICS, ARLA, NAEA, NALS, Experienced and dedicated teams with up to date knowledge of all relevant legislation Tenants rent collected with monthly/annual statements Trust our experts to manage your property Inventories & Schedules of Condition No let, no fee Gas and Electricity Safety Certificates Start earning NOW! Why Dafydd Hardy? At Dafydd Hardy, we understand the importance of providing every Landlord, whether novice or experienced with a service that maximises the financial return from their property portfolio. As members of the Royal Institution of Chartered Surveyors (RICS), we are governed by strict codes of conduct and are committed to maintaining the highest standards possible in relation to the quality of the service we provide to all our customers. Please see below a summary of the services we provide to our Landlords: We offer three levels of service as complete packages, detailed below. All fees are subject to VAT. If you have additional needs we will try to accommodate these where practicable. LETTING AND MANAGEMENT SERVICE: A This is our 5-Star package and is suitable for Landlords who prefer not to be involved in the day to day management of their property or who live away. We will carry out the following on your behalf: Collect and submit a deposit into the Deposit Protection Service (DPS) which is a government authorised Tenancy deposit protection scheme. We then collect the monthly rent, transfer funds to your bank or building society (net of our agreed fees and VAT) and send you a monthly Statement of Account Subject to referencing, we can provide a rent guarantee insurance policy for the first 6 months of the Tenancy, the cost of which is included in this package. We will contact you prior to the expiry of this policy to establish whether you wish it to continue at a fee payable by you thereafter. Arrange a Schedule of Condition & Inventory and other services required at the beginning and end of a Tenancy, including electrical and gas certification

2 Take ingoing and outgoing meter readings for services and inform the relevant utility companies and local authority regarding Council Tax Carry out regular inspections of the property in the duration of the Tenancy and report back to you Arrange and supervise any minor repairs and maintenance needed up to an agreed limit, usually including VAT. In the event of an emergency we will exceed any repair limit you may specify if, in our opinion, this would prevent further damage to your property Engage on your behalf, with your authority and at your expense, the services of a professional surveyor to report on any major problem Serve notice on the Tenant to terminate the Tenancy Sign out the Tenant at the end of the Tenancy LET & RENT COLLECTION SERVICE: B Provide a rent guarantee insurance policy for the first 6 months of the Tenancy, the cost of which is included in this package. We will contact you prior to the expiry of this policy to establish whether you wish it to continue at a fee payable by you Collect and submit a deposit into the DPS, then collect the monthly rent, transfer funds to your bank or building society (net of our agreed fees and VAT) and send you a monthly Statement of Account LET ONLY SERVICE: C Collect and submit a deposit into the DPS and the first month s rent and forward the balance to you net of our fees and VAT. Marketing your Property We have the latest technology and IT systems to ensure that our staff have access to accurate and up to date information and can communicate quickly and efficiently. Most Tenants now use the internet when looking for a home to rent, and often want to move quickly. Our main marketing tool therefore is our state-of-the-art website where rental properties are available to view. We also upload available properties to major property portals, including Rightmove and many more. This 24/7 marketing is supplemented by traditional methods such as To Let boards, local press advertising and of course our lettings offices throughout Gwynedd & Anglesey. In addition we are affiliated with the Homesale Network who are specialists in relocation. Viewings All viewings are by pre-arranged appointments and we never hand out keys to the prospective Tenant. We are happy to accompany prospective Tenants to view your property during our normal office hours and will keep you advised of any helpful feedback we receive. Credit Checks To ensure as far as possible that a potential Tenant is suitable for your property, we employ independent companies that specialise in vetting Tenants and carry out checks to establish their credit worthiness. It should be acknowledged that the system is not infallible. Provided that the Tenant receives a Class A credit check, we offer our managed and rent collection Landlords a Rent Guarantee Scheme for the first 6 months of the Tenancy. With student or sharers, we obtain separate references on each individual and if any doubt still exists, we will ask for responsible guarantors who will also be subject to referencing. We also do not let to sharers or students without the express permission of the Landlord. The referencing applies to all potential Tenants, be they professional, disabled, benefit Tenants or students.

3 Tenancy Agreement Your preferences regarding Tenants who may be smokers, have children and/or pets are strictly adhered to. Our computer software is continually updated to ensure that our Tenancy Agreements comply with the most up to date legislation, for your protection. In most cases a private residential Tenancy will be governed by the Housing Act 1988 (as amended in 1996) and will be an Assured Shorthold Tenancy. These tenancies are either for a minimum period of 6 months, or one year (less a day). They can be renewed for an additional 6 months/1 year or left to run on a Periodic basis (month by month). Alternatively when the Tenant is a Company or the Landlord is in residence, these tenancies will not be governed by this Housing Act, but will include many of the same clauses and conditions of an Assured Shorthold Tenancy. In these agreements the Notice Period is agreed between the parties prior to the start of the Tenancy (usually one months notice from the Tenant and two months from the Landlord). Payment of Rent and Deposit We use computer software especially developed for the industry to maintain up to the minute records on all Tenanted properties and receive rent by standing order from Tenants and transfer it directly to your nominated bank or building society account. All rents are collected monthly in advance and we take a deposit from the Tenant normally equivalent to 1 month s rent. Deposits are held by the DPS. ADDITIONAL SERVICES Schedule of Condition & Inventory We recommend that a Schedule of Condition & Inventory is prepared prior to the letting of your property for your own protection and we will be pleased to provide this service to you if you wish. For a fee quotation, please contact us. If we are managing the property on your behalf, this is essential but the cost of this is included in our standard management fee. Under the DPS, it is strongly recommended that Landlords always have an up to date Schedule of Condition & Inventory, which should be produced at the beginning of the Tenancy and then updated at the end of the Tenancy. Without this document, it is very difficult to demonstrate if the property has deteriorated during the Tenancy and without sufficient evidence to the contrary, the DPS may automatically award in the favour of the Tenant. Energy Performance Certificate (EPC) From the 1st October 2008, each rental property is required to have an EPC which gives the property an Energy Efficiency Rating and an Environmental Impact Rating between A & G. This is valid for 10 years, must be available on request by any prospective Tenant and be prepared by a qualified assessor. We can arrange for this to be carried out for you if you wish and will be pleased to provide a fee quotation. If substantial upgrading works (new boiler, insulation or double glazing) are carried out, then it may be advisable to have this updated at the next change of Tenancy. GENERAL INFORMATION Many Landlords have service contracts for central heating, kitchen and electrical appliances and so on. It is advisable to keep these in force whilst the property is Tenanted, leaving full details with us. Copies of all instruction manuals should be left at the property, but we advise Landlords to retain originals as these can be difficult to replace. Some manuals may also be available to download online. If your property is managed, there will be occasions when maintenance work is required. You may have preferred contractors and if so, please advise us and we will endeavour to use them. Please advise us of the location of the mains water stopcock, distribution/ fuse box, any private drainage system and the security alarm code (if applicable). You should maintain the property during the letting as if you were living in it yourself because:- The expenditure may be tax deductible The market value of the property is maintained The standard of Tenant and rental value will be maintained A happy, contented Tenant is more likely to stay, maintaining your flow of regular income Condition of the property Landlords should professionally clean carpets prior to the commencement of the Tenancy and the property should be maintained in good decorative order inside and out. The wiring and plumbing should be safe and in a good state of repair. Tenants generally check the property before paying their deposit and so the property should always be clean and tidy. Safety There are now various laws and recommendations governing the safety of Tenanted property:-

4 Gas & Electrical Safety All let properties that have either natural or bottled gas are required under Gas Safety (installations & Use) Regulations 1998 to have an annual Gas Safety Certificate issued by a Gas Safe registered engineer and a copy given to us and the Tenant. It should be noted that work on any gas appliance must be carried out by a Gas Safe registered engineer. Landlords have a Duty of Care under The Electrical Equipment (Safety) Regulations 1994 to ensure that the electrical installations and appliances are safe. From 1 st January 1997, all new electrical appliances must carry a CE mark and an instruction booklet or clear working instructions must be provided. We therefore strongly recommend that annual portable appliance tests (PATs) are carried out and an Electrical Condition Report (which checks the wiring) is carried out every 5 years on all Tenanted properties. Furniture & Furnishings All upholstered furniture (including mattresses, pillows and seat pads) left at the property must comply with the Furniture and Furnishings (Fire) (Safety) Regulations 1988 as Amended Furniture manufactured prior to 1st January 1950 which has not been re-upholstered is exempt. Upholstered furniture purchased after 1993 should carry a label with the heading Carelessness causes fire. Mattresses should have a label stating compliance with BS7177. Any items not appropriately labelled may not conform to such regulations and therefore must be removed from the property. Smoke Detectors There is no legal requirement to install smoke detectors in a let property. However we believe it is in the best interests of both the Landlord and the Tenant and to satisfy a reasonable Duty of Care that battery operated smoke detectors are installed on every floor. Please note that homes built after June 1992 are by law required to have linked, mains wired smoke detectors on every floor. Carbon Monoxide There are no regulations requiring detectors in Tenanted property. However we recommend that they are installed. The annual Landlords Gas Safety Certificate should highlight any potential hazards. The Garden The garden should be left neat and tidy by the Landlord at the commencement of the Tenancy. It is a requirement of our Rental Agreement that the Tenant keeps the grass cut, borders and paths weed free and shrubs trimmed. Adequate gardening equipment should be left for the Tenant to maintain the garden. A power breaker should be provided if any electrical garden equipment is provided. Should you require certain plants or trees to be pruned or treated in a special manner, we recommend that you employ a specialist contract gardener. What to leave We are happy to provide advice in relation to household items which may be provided with the property. Unfurnished properties should normally have carpets, curtains, kitchen white goods and lampshades. As a general rule, do not leave items of a personal or sentimental nature, or valuables of any kind. Please note any items left and therefore forming part of the Tenancy will become subject to wear and tear and may require monies spent to maintain or replace over time. Mail Please make arrangements with Royal Mail to have your post re-directed. Keys Ideally, there should be at least one full set provided for each Tenant, including any garage, shed, window locks etc. and one full set for us if we are managing the property. Damages & Dilapidations When a Tenant checks into a managed property, the Inventory & Schedule of Condition should be available and agreed. The cost of any damage or deterioration which has occurred during the Tenancy term, with the exception of fair wear and tear can be assessed at the Tenancy end and will be deducted from the deposit, unless remedied by the Tenant. Income Tax The Inland Revenue states that all UK derived income is subject to taxation after the deduction of allowable expenses. It is your responsibility to advise the HM Revenue & Customs that you are renting out your property. We recommend that you employ an Accountant to act on your behalf whether residing in this country or abroad. Where Landlords are resident overseas, tax will be deducted unless we are provided with relevant appropriate certification from HM Revenue & Customs.

5 Council Tax Council Tax is payable by the Tenants of the property and a clause to this effect is included in our Tenancy agreement. When the property is empty, the Landlord is responsible for this charge and the basic rules are:- Substantially unfurnished property first six months totally exempt. Furnished dwellings 50% of the Council Tax payable. Ground Rent and Maintenance The Landlord is responsible for any ground rent, any service charges and for the maintenance of the property. Mortgages & Insurance It is your responsibility to advise your mortgage provider that you intend to rent your property. Most banks and building societies require you to seek permission to rent out your property and may require break clauses or additional clauses to be inserted into the Tenancy Agreement in relation to this. A copy of any consent should be provided to us so that we can be assured that any requirements of your lender have been complied with. The provider of your Building & Contents Insurance should also be notified that your property is Tenanted. The company we use for credit checking and referencing Tenants will be able to provide you with quotations for appropriate insurance, if you wish. Lessees Your permission must be sought and consent given, if your Tenant wishes to sub-let all/part of your property and the intended letting period for must not exceed the term of the Tenancy. In some instances, we may need to include such an arrangement within the Tenancy Agreement. Proof of ID Proof of identification and in the form of a current passport or photo driving licence is required from all Landlords. Proof of residency is also required in form of a recent utility bill or bank statement. We must see the original documents at one of our offices. We hope this has answered any questions you may have and welcome an opportunity to discuss our services with you. Letting & Property Management Dept. 157 High Street, Bangor, Gwynedd LL57 1NU Tel:

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