Sunflower Lettings (“the agent”) offer a management and letting service for owners (“the owner”) of residential properties (“the property”). The following terms and conditions will apply upon the appointment of the agent by the owner having been supplied with a copy of these conditions hereinafter referred to as the “the instructions”.
The Agent Will:
a) Use his/her best endeavors to find a suitable tenant for the property to be let by the owner.
b) If so instructed carry out the management diligently.
c) Obey the owners reasonable orders and instructions and in the absence of any such orders and instructions in relation to any particular matter will act in a such a manner as the agent considers to be in the best interest of the owner grants to the agent absolute discretion to act in place of the owner.
a) Agree the level of rent in respect of the property with the owner prior to each letting of the property (“the tenancy”).
b) Prior to the commencement date of the tenancy collect from the tenant at least one months rent and 5 weeks deposit in cleared funds.
c) Where the property is full managed or rent collection is requested, prepare statements at least monthly. Demand, collect, receive and give receipts for rent and other payments at any time due to the owner from the tenant which are recoverable under the terms of the agreement.
d) Pay to the owner all sums received in respect of rent after deduction of the agent’s fees allowable expenses and any taxes or statutory impositions which the agent is obliged by law to hold or discharge.
e) In the case of advanced payments where the rent has be paid in a lump sum equivalent to 3,6 or 12 months rent we shall hold such monies as shareholder and release to you monthly.
3 Breaches of the agreement
a) Advise the owner or his/her appointed representative in the UK of any breech of the agreement by the tenant as soon as reasonably practicable.
b) Take such steps the owner shall direct to enforce the provisions of the agreement subject to the owner indemnifying the agent in respect of all reasonable costs incurred by the agent.
Account to the owner wherever possible no later than 10 working days after the commencement of the tenancy agreement the net sum payable after the allowable deductions. Our accounting procedures cannot be varied for any reason. All payments are made by bank transfer unless otherwise instructed by the owner.
The agent is a member of a government approved Deposit scheme which is administered by MYDEOPSITS Ground Floor, Kingmaker House
EN5 1NZ. Telephone 0844 980 0290, fax 08456 34 34 03 or email email@example.com
a) All deposits will be held by Sunflower Lettings as stakeholder and no interest is payable on these monies.
b) Any disputes between landlord and tenants are resolvable by MYDEPOSIT.CO.UK and you should agree to their terms prior to any agreed let.
c) The use of this approved scheme is chargeable on new tenancies.
d) Any costs associated with any landlord/tenant disputes are the responsibility of the landlord and Sunflower Lettings do not accept liability or responsibility for the final decision made by the approved body.
e) Sunflower Lettings agree to the terms and conditions set out by the regulatory body and will both protect and unprotect the deposit within 10 working days in the absence of a dispute, which must be raised in this time. It is agreed that a scanned/emailed copy of the certificate will be provided.
f) Sunflower Lettings require written authorisation to release to the said tenant their dilapidation deposit.
g) Should a dispute arise relating to the deposit an administrative charge will be made equivalent to £25.00 per hour.
h) Where the agent is engaged on a letting or rent-collecting basis the deposit referred to in 2 above will only be forwarded to the landlord or his agent to hold as stakeholder on behalf of the tenant if proof is given that the deposit will be protected in a registered Tenancy Deposit Scheme. Your membership number will not be sufficient and written proof is required.
i) Where the agent is engaged to manage the property the agent will retain the deposit in trust and hold it for the tenant as stakeholder subject nevertheless to the terms and conditions of the tenancy agreement.
The Owner Will:
1 Reimburse the agent for all expenses incurred in the management and letting of the premises which include inter alia:
a) The fee set out in the schedule. However, it is agreed that if a suitable tenant is found within the criteria and is accepted by the owner a fee of £250.00 will be payable to the agent if the owner then decides not to proceed with the tenancy before the commencement date. If an applicant agrees to accommodate your request of withdrawing from an agreed offer you should expect to meet reasonable costs and expenses incurred by him or her.
b) Any specific expenses the agent, which the owner has agreed to pay either verbally or in writing or has been incurred by the agent.
c) Any VAT payable on services rendered.
d) Make all payments due to the agent promptly and within 14 days of payments being demanded, if payments are not made within these conditions, interest at 3% above Barclays Bank base from the invoice date. All fees or charges incurred in the recovery of any owed sums will be payable to the owner.
e) Make such insurance arrangements for the premises as are necessary.
f) Be responsible for any consents required by the mortgagees.
g) Be responsible for the servicing and inspection of any gas appliances within the premises annually and to keep a record of such services under section 35 of the health and safety revised regulations October 1994. Please note that if a copy of the gas safety certificate is not received by the agent at least 72 hours prior to the commencement date a gas safety check will be carried out by an engineer appointed by the agent and all expenses are payable by the owner.
h) To ensure that all the furniture and furnishings are fire resistant.
i) Be responsibility for the provision of an Energy Performance Certificate, which must be made available from the time of marketing free of charge to any prospective tenant. Unless instructed otherwise we will arrange an Energy Performance Certificate to be carried out and you will be obliged to pay the invoice accordingly.
j) Provide one proof of identity ands one proof of address in order to comply with the Proceeds of Crime Act 2002 and the Money Laundering Regulations.
2 Indemnify and keep indemnified the agent from and against any and all losses damage or liability whether criminal or civil suffered and legal fees and costs incurred by the agent in the course of conducting the management of the premises resulting from:
a) Any acts and/or omissions and/or negligence of the owner or its servants or agents.
b) Any claim by any third part in respect of any matter arising from the letting and/or the management of the premises provided that such a liability has not been incurred as a result of the negligence of the agent, provided that:
Exclusions – the agent will not be responsible for:
i) Any act or omission from the tenant(s)
ii) The deduction of any sums in respect of taxation or other indebtedness of the owner from the rent or sums received by the agent for or on behalf of the owner which they are demanded by any third party except where such demand is made pursuant to statute or court order.
iii) Any damages to the premises during the period of the agents engagement.
a) The owner will be responsible for the agents fees:
i) Letting only service – the equivalent of 5 weeks rent plus vat payable in advance.
ii) Rent collection service – the equivalent of 2 weeks rent plus 10 % monthly.
iii) Managed service – equivalent of 2 weeks rent plus 15 % monthly.
iv) All rent collection and management fees are invoiced and payable by monthly installments.
v ) It is agreed that if a suitable tenant is found within the criteria and is accepted by the owner a fee of £250.00 will be payable to the agent if the owner then decides not to proceed with the tenancy before the commencement date.
vi) Any additional services requested see separate ‘schedule of fees’
vii) Subject to a minimum fee of £650 plus vat
b) In the event that a tenant introduced by the agent subsequently purchases the property whether before during or after the tenancy the owner shall pay the agent commission on the entire sale price at 1.5% +vat. Such commission to be payable to the agent upon completion of the sale.
c) For the avoidance of doubt in the event that the owner sells the property with the tenant found by the agent in occupation then for so long as the tenant shall remain in the occupation of the premises the owner shall be liable to the agent for fees in accordance with the clause.
d) Any copy statements required from our accounts department will be at a chargeable rate of £5.00 per statement.
e) In the event that a tenant found by the agent shall enter into a further tenancy – the agent shall be entitled to receive a further fee subject to the same terms outlined in 3a ii) and iii). A 50% reduction shall be applicable for those fees outlined in 3a i)
f) Where the instructions indicate the agent to manage the property the agent will inspect the premises quarterly unless otherwise specified although additional costs may in incurred.
g) In the event that you have a British Gas 3 Star Service plan, you will need to ensure that it covers all gas appliance’s within the property otherwise a certificate will need to be arranged – the cost of which is approximately £95.00 plus vat.
h) If you have agreed for works to be undertaken in the property, the cost of which amounts to more than £500.00, we will require you to place us in funds for the total cost of the works agreed, before the works start.
i) Wherever possible we will endeavour not to spend more that £150.00 at any given time. It shall also be agreed that a float of £150.00 will be withheld from the first invoice as a maintenance float throughout the tenancy and after any deductions will be replenished by the next months rent. If an extra cost exceeds this amount we will try to notify the landlord. In the event of an emergency however, there will be no limit, but we will always contact the landlord.
j) Where Sunflower Lettings are managing or rent collecting on a property for a landlord that is not UK resident and has not obtained an exception certificate from the Inland Revenue, a charge of £100.00 will be made. This charge will cover the preparation of quarterly and annual returns made to the Inland Revenue and the supply of year end certificate.
4 Termination of management
The owner and the agent are each entitled to terminate the management agreement upon three month’s notice in writing on the event of a new tenant being found. Whereupon the agent shall:
a) Cease to manage the premises.
b) Return to the landlord al original documents relating to the premises.
c) If requested pay the landlord the deposit which the agent has previous held as stakeholder for the tenant on such a condition that such a deposit will thereafter be held by the landlord as stakeholder for the tenant.