HOOPER PROPERTIES LTD - RESIDENTIAL LETTINGS AND PROPERTY MANAGEMENT AGENCY TERMS OF ENGAGEMENT
PART 1 ; LETTING (FURNISHED/UNFURNISHED)
If you are a tenant or lessee it is essential for you to make certain;
i) That the intended furnished/unfurnished letting is permitted by your lease.
ii) That the furnished/unfurnished tenancy is for a period expiring prior to the termination of your lease.
iii) That your landlord?s written permission, if necessary, has been obtained for the sub-letting. If in doubt, refer to your lease or tenancy agreement
Where the property to be let is subject to a mortgage, permission is normally required to sub-let the property furnished/unfurnished. You must (if required) obtain your mortgagee?s permission to sub-let in writing, at the earliest date rather than applying for this when a tenant is found. Most mortgages enable the lender to withhold permission without providing a reason
1.3 The Rent
Unless otherwise agreed, the rent quoted to a tenant by us on your behalf will include ground rent and service charges, If applicable. But will exclude gas, electricity, telecommunications, fuel oil where there is an independent oil fired heating system, council tax and water rates
1.4 Rent Remittance
No rent will be payable to yourselves until we hold cleared funds from the tenants
You should make certain that your property and contents are adequately insured and that you have informed your insurance company of your intention to let, as many household policies do not cover furnished/unfurnished lettings. We have details of buildings, contents and legal protection insurance policies currently on the market and they can be provided on request
1.6 Deposits - properties not managed
For properties that are not managed by Hooper Properties Ltd the security deposit will be passed to you at the commencement of the tenancy. You must hold this in an approved scheme. Hooper Properties Ltd can hold the security deposit in our DPS scheme if required. (fees may apply) It is the landlords responsibility to return the deposit promptly at the end of the tenancy subject to any necessary deductions being made.
PART 2: MANAGEMENT (FURNISHED/UNFURNISHED)
2.1 Repairs and Replacements
We shall deal with day to day matters including minor repairs with your authority to spend up to a maximum of £50.00 for any one item without need to contact you. In cases of emergency we have your authority to undertake any necessary repair or temporary works at your expense deemed by us to be required. These expenses will be deducted from the next months rent.
2.2 Inspection and Defects
Our management will include investigation of defects which come to our notice or are clearly and adequately brought to our attention by the tenant. We will routinely visit your property every 10 - 12 weeks unless agreed otherwise and will confirm to you via email the condition of the property listing any problems that have arisen and the action taken. It should be appreciated that any such inspection does not require a full check against the inventory and is concerned with verifying the good order of the tenancy (i.e. property being used in a tenant like manner) and the general condition of the property. This will include inspecting the main items (carpet, walls, main living areas and gardens) where they were felt to be unsatisfactory, a more detailed inspection would be made.We cannot accept responsibility for hidden or latent defects. Extra visits requested by the landlord will be charged at £25.00 per visit.
2.3 Terms of Management Appointment
Except in cases where you intend to re occupy or sell the accommodation and where special arrangements are made, our appointment is for the duration of the letting contract. After this period should the landlord wish to dispense with the management service, Hooper Properties Ltd require three months notice in writing. Hooper Properties Ltd reserve the right to withdraw from the management of the property at any time. The landlord agrees that he appoints us or our assignees as his agent in connection with the Agent?s functions under this agreement, and the Tenancy Agreement to be entered into, and authorises us (without obligation to do so) to enter the premises and take all responsible steps with regards to our appointment as Agents.
2.4 Deposits - Managed Properties
Security deposits are held in Deposit Protection Scheme and will be returned to the tenant at the end of the tenancy subject to any necessary deductions being made.
We will arrange for the demand of the monthly rent due from the tenant(s) in respect of the property let. The agency will not act as a debt collector for uncollected debts for anyone who is not a landlord of Hooper Properties Ltd. Upon receipt of the rent paid by the said tenant(s), to pay the same over to you by cheque or to your nominated Bank / Building Society account as per any pre-arrangement made and to clearly state any deductions or fees made by Hooper Properties Ltd. To prepare monthly statements detailing expenditure and income. Statements will be sent out by e-mail. Allowing time for cheque clearance, we will normally account to you within ten working days from the rent receipt date.
2.6 Care of Property
We will carry out a detailed inventory prior to the tenancy starting, the tenant will then have one week to agree and sign.We will obtain current Safety Certification for the landlord as these become due and deduct the cost from the landlord?s monthly statement (As agreed) At the termination of the tenancy Hooper Properties Ltd will carryout a checkout inventory and any resultant charges will be levied against landlord or tenant as appropriate.
2.7 Legal Action
The landlord will be responsible for taking any legal action necessary for recovery of any rent due or for court action for repossession of the property, including any other matters relating to the tenancy between the landlord and his / her tenant(s). If the landlord requires Hooper Properties Ltd to take court action on their behalf there will be a £225+vat charge plus court costs.
2.8 The Agency
Accepts no liability for any damage or theft at the property whist vacant or between any letting. The agency recommends that the landlord considers all aspects of security, insurance cover against possible damage or claim that may occur during such periods.
2.9 Stamp Duty
From 1st December 2003 Stamp duty has been replaced by Stamp Duty Land Tax. It is now only payable on tenancy agreement where the value of the tenancy is over £60,000. As all our residential tenancy agreements fall below this threshold we will not send your tenancy agreement for stamping.
Agency Sales Terms of Engagement ? General Remarks
We are required by virtue of section 19 of the Estate Agents Act 1979 to clearly set our terms of business.
These may be summarised as follows:
1. Sole Agency:
1.1 If we are instructed on a Sole Agency basis the following provisions of this paragraph 1 will apply.
1.2. You will be liable to pay our commission (as stated above), in addition to any other costs or charges agreed, if, at any time, unconditional contracts for the sale of the property are exchanged with:
(a) a purchaser introduced by us during the period of Sole Agency or with whom we had negotiations about the property during that period; or
(b) a purchaser introduced by another agent during that period.
2. Joint Agency Situations:
2.1 Where we are instructed as joint agency then the references to sole agency set out above will be substituted by the words ?joint agency? and liability to pay our commission will be incurred in the applicable circumstances set out in paragraph 1.
3. Multiple Agency:
3.1 Multiple Agency is the situation where we are instructed along with one or more other agents in respect of the sale of the same property, but only one agent is to be entitled to a fee on the sale of the property.
3.2. In the case of Multiple Agency, you will be liable to pay our multiple agency commission if at any time unconditional contracts for the sale of the property are exchanged with a purchaser introduced by us during the period of our multiple agency or with whom we had negotiations about the property during that period.
4. Conditional Contracts:
4.1 In the case of a conditional contract, an unconditional contract will be deemed to have been exchanged on the date of the satisfaction of the last condition or, if earlier, on the date of the completion of the transaction notwithstanding any condition remains to be satisfied.
5. Ownership of the Property:
5.1 We are relying on your representations that you (and any joint owner of the property) have authority to submit the property for sale and that you are responsible for the payment of our fees. If anybody else either owns the property or is to be responsible for payment of our fees, you must advise us in writing with the name and details of such person. When more than one person is to be responsible for the payment of our fees their liability will be joint and several
6.1 Our fees are as stated on the sign up form, should we introduce a purchaser, either directly or indirectly, who proceeds to exchange of contracts. Commission charged is inclusive of all fees and expenses and is subject to VAT at the current rate. Commission is due on completion.
6.2 Your solicitor will deal with our account as soon as completion takes place.
6.3 If we need to instruct solicitors or other parties to recover our commission, costs or charges, you shall indemnify us against any reasonable costs and expenses incurred by us in doing so.
6.4 A purchaser is a ready, willing and able purchaser if they are prepared and able to exchange unconditional contracts for the purchase of your property. You will be liable to pay remuneration to us in addition to any other costs or charges agreed if we introduce a ready, willing and able purchaser in accordance with your instructions. This must be paid if you subsequently withdraw and unconditional contracts for sale are not exchanged irrespective of your reasons. Your liability will be one half of the agreed agency fees.
7.1 Our sole agency agreement is for a minimum of 12 weeks and continues thereafter until terminated by
either party by giving 21 days notice in writing. A multi-agency instruction can be terminated by either
party at any time by giving 10 days notice in writing.
8. No Sale ? No Fee:
Fees are not payable if we do not introduce a purchaser to the property. However, where a property has
been withdrawn and is subsequently sold to a person introduced by our agency, commission will be due
A FOR SALE board will be erected with your agreement. A SOLD BY board will usually be erected on
exchange of contracts unless you instruct us to the contrary. Where a FOR SALE board is erected no
private transactions are permitted.
It is agreed that there is no prospective buyer for the property as at today?s date and should any applicant
approach you as a result of our board, advertising or leaflets, you will refer them back to us.
11. Other Services:
You will appreciate that we are sometimes asked to act for purchasers in the sale of their property where
they are also buying through Hooper Properties Ltd, and this is part of our normal services. We also offer to arrange mortgages. This is normally a free service to purchasers as the company is remunerated by the
building society or insurance company concerned.
12. Unoccupied Property:
We cannot accept responsibility for the maintenance or repair of any unoccupied property. If a key to the
property is held by us, all applicants will be accompanied by member of our staff unless you instruct us otherwise.
13. Property Misdescriptions Act 1991 (PMA):
13.1 Under the PMA the particulars of sale for the property must be accurate. Neither you nor we must make any statement (whether oral or in writing) which may be false or which may mislead a purchaser. We must use our best endeavours and ?due diligence? to avoid the commission of an offence.
13.2 You agree to notify us immediately of any relevant changes which occur during the sale process; in particular any changes which occur after approval of the particulars of sale which may affect their accuracy.
13.3 You must also instruct your solicitor to answer any points we raise with them about the property or its legal title.
THIS AGREEMENT SHALL NOT BE VARIED SAVE BY THE CONSENT OF EACH PARTY