The following are some of the risks associated with this type of agreement:
• We are unable to make the monthly rent payments. If we are late with a rent payment by more than 30 days you can immediately regain possession of the house. Unlike an assured short-hold tenancy (AST), which is the normal method of renting out a property – your commercial contract with us has no long notice periods to necessary to regain possession. You have full legal right to your property 30 days after a missed payment.
• The tenants don’t take care of the house. We screen each tenant and our cleaner visits on a regular basis, reporting back anything of note. We have contracted to return the house to you in the same or better condition than when we received it – so this is our problem, not yours! What do we do? We are responsible for paying you the set monthly rental fee each month. We fill the house with our professional tenants, we ensure all of the utilities and council tax are paid, we hire a cleaner and a gardener (where applicable) to watch over the property and take care of the communal areas. We are the first port of call for the tenants if they have any problems. We are the landlord and take over all of the landlord responsibilities so that you don’t have to worry about any of it. Because our tenants expect the highest quality and standards we generally need to spend money up-front in order to make the house suitable. For this reason our commercial lease agreements are generally 5 years. Shorter ones can be arranged but are generally at a lower monthly rental amount.
How do we get paid?
Unlike estate agents – we do not charge you any fees or commissions. We earn our commission from the tenant that we put in to the house. Because we rent to professionals and provide quality housing with flexible length terms along with professional services we are able to receive a markup on the monthly rent.