| We are
members of ARLA the Association of
Residential Letting Agents. |
| This page
is to
aid tenants who are looking to rent property through a residential letting
agency and consists of questions that every tenant should ask and the answers
they should receive. |
| The following questions are
answered below: |
|
As a tenant, I want to
rent. What should I ask?
What is ARLA's fidelity bond?
Do I pay any fees to the Agent?
What money do I need to find at the beginning?
What information will I need to supply?
What are my responsibilities?
What is a tenancy agreement?
How long does it take?
How long is a typical let?
What happens if I want to stay on or leave early?
What else do I have to pay for?
What must I do at the end of a tenancy?
How do I get my deposit back?
Who has been holding my deposit?
What is a holding deposit? Do I get it back?
What are the ARLA Membership Requirements?
|
As a tenant, I
want to rent. What should I ask?
First: Is the agent a member of ARLA? You will benefit from their experience,
professionalism and compliance with ARLA’s bye laws, regulations and
accounting procedures. Their professional indemnity insurance which complies
with the requirements of the Association’s Fidelity Bond will protect your
deposit. |
|
What is
ARLA’s Fidelity Bond?
The ARLA Fidelity Bond is designed as a
protection of first resort for monies entrusted to ARLA members by landlords and
tenants during the ordinary course of their business as letting agents.
|
| In the event of proven theft or
fraud if a member agent or its staff, if you cannot recover monies deposited
with the agent during its period of membership of ARLA from the agent and the
agent’s own insurance does nor cover the loss, you may make a claim to ARLA
for reimbursement of the money you have lost. |
| Click here for full details
of the bond. |
Do I pay any
fees to the Agent?
You should not pay introductory fees but there will be certain costs for you to
cover, for inventories and for administration including the preparation of the
tenancy agreement and taking up references. |
What money do
I need to find at the beginning?
Normally at least a month’s rent in advance
and the equivalent of a month to six weeks’ rent to be held as a deposit
against damage and dilapidation’s (and the administrative charges noted
above). |
What
information will I need to supply?
The addresses of referees for the agent to
write and confirm your ability to meet the rental commitment. These will
normally include your bank or building society, employer, previous landlords, or
for some, your solicitor and/or accountant. |
What are my
responsibilities?
These should be clearly set out in your
tenancy agreement, which you should read carefully before you sign. If in doubt,
ask the agent. There is a duty for professional agents to ensure that anyone
relying on them is offered correct advice. |
What is a
tenancy agreement?
It is a legally binding document between you
and the landlord, applicable only to you and the property you are renting, that
states the amount of rent, the length of the tenancy, your rights and
responsibilities. Your agreement will most probably be an Assured or an Assured
Shorthold tenancy under the Housing Act 1988. For bona fide companies and/or
rental values over £25,000 a year, the agreement will be drawn up under contract
law. |
How long does
it all take?
Normally, about ten working days to take up
and confirm references, clear your cheque covering the first rent period and the
deposit arrange for inventories and the transfer of utility accounts into your
name. No professional agent should allow you possession before all this has been
done. |
How long is a
typical let?
Most agents require it to be a minimum if six months and rarely write a tenancy
agreement for longer than a year. |
What happens if
I want to stay on or leave early?
Tenancies are frequently renewed and agents often agree the terms for renewal at
the beginning and include them in the tenancy agreement. If you’re likely to
leave before the end of the original term agreed, you must negotiate break
clauses to be written into the agreement. If not, you will remain responsible
for the rent until the end of the term agreed, unless a new and satisfactory
tenant can be found. |
What else do I
have to pay for?
The tenant usually pays the utility bills
such as gas, electricity, water and telephone during the course of the tenancy,
TV. license, etc; and the Council Tax applicable to the property. |
What must I do
at the end of a tenancy?
Ensure you fulfil your obligations stated in
the tenancy agreement to leave the property in the condition it was in at the
start, or deductions will be made from your deposit. These will include thorough
cleaning and all linen, used or not, freshly laundered. If you have moved
furniture, return it to where you found it at the time of the inventory. |
How do I get
my deposit back?
After an inventory check and condition inspection, provided there are no missing
items or damage, your deposit should he returned shortly after you leave the
property. You cannot set your deposit against the last tent payment due. |
Who has been
holding my deposit?
Normally, the agent in a designated
client’s deposit account. That is why it is important to use an ARLA
agent. |
What is a
holding deposit? Do I get it back?
Holding Deposits - usually a nominal amount
— can be required when you make an offer on a property. If, for any reason,
you decide not to go ahead by an agreed date, the holding deposit will be
retained against administrative costs already incurred. |
| Otherwise it will be
off-set against the first rent and full deposit payments. If the landlord
decides not to proceed then the holding deposit will be returned. Paying a
holding deposit in no way obliges either party to enter into the tenancy. |
What are the
ARLA Membership Requirements
There are stringent requirements for
membership of the Association of Residential Letting Agents. |
| |
| A firm must have been in
the letting and management business for at least two years before it can
be invited to join the Association |
| All member firms must
carry Professional Indemnity Insurance to a required standard. |
| Separate client accounts
must be held |
| Commissions for letting
property may only be obtained from landlords |
| Business must be carried
out from a properly designated business premises |
| All ARLA members
must
lodge a copy of their professional Indemnity Insurance policy with the
Association to comply with the requirements of the Associations Fidelity
Bond |
