Landlord Responsibilities Along with a significant potential to earn a good income for a landlord, property investment also comes with several legal landlord responsibilities. Here’s a chart outlining the main obligations:
Energy Performance Certificate (EPC)
All tenancies require an EPC before you can even market the property. It determines how energy efficient your property, and the impact the home has on the environment, on a scale of A-G. The certificate includes recommendations on how to improve the home’s energy efficiency. An EPC lasts for 10 years and has a one-off fee.
My Deposits Protection Scheme
A rental deposit is taken from tenants to protect against breaches of tenancy, including failure to pay rent or bills, damage to the furniture and property. All letting agents and landlords are required to protect the deposit in a government-authorised deposit protection scheme within 30 days of receiving it from the tenant.
Right to Rent Act
Introduced in 2016, all landlords and letting agents must check that new tenants have the right to be in the UK before renting out their property. Evidence (e.g. passport or a biometric residence permit) has to be seen and a copy obtained.
Landlords must ensure that gas appliances, fittings and flues are safe to use and that annual safety checks are carried out by a technician on the Gas Safety Register. The landlord must issue a copy of the check to each tenant within 28 days of the check being completed, and to any new tenants before they move in. As part of our service, we organise the gas safety check and ensure that tenants receive a copy.
Although there is no legal obligation to have professional checks carried out on electrical appliances, there is an obligation to ensure all electrical equipment is safe. All certification should be carried out by an electrician registered with the National Inspection Council for Electrical Installers and Contractors (NICEIC). We suggest you conduct a Portable Appliance Test (PAT) annually and an Electrical Installation Condition Report (EICR) every 5 years.
Smoke Alarms & Carbon Monoxide
All properties must have interlinked mains-connected or battery-operated smoke detectors/alarms on each floor, checked prior to a tenancy commencing to ensure they’re in full working order. You must also provide carbon monoxide detectors where you have open fires.
Any furniture that contains upholstery (e.g. beds, mattresses, headboards, sofas, cushions, pillows, seat pads, nursery furniture) must have a suitable label attached in a prominent position so the wording can be read with reasonable ease.
Overseas Landlords and Income Tax
The scheme requires UK letting agents to deduct basic rate tax from any rent they collect for non-resident landlords. If non-resident landlords don’t have UK letting agents acting for them, it is their responsibility to inform the Inland Revenue of rental income received, and to pay any tax due. Non-resident landlords can apply at any time for approval to receive rent with no tax deducted..