The Go-To Guide for Tenants & Landlords
As with most important industries, the property industry is filled with words and phrases that are unnecessarily difficult to decode. Even a quick Google search will leave you with more questions than answers. So, we have called upon the brains of our property professionals to help you find a clear answer to the words that are scattered throughout your documents.
Assured Shorthold Tenancy Agreement (AST) - This is the most common type of tenancy and all new tenancies start off with this type of agreement. It basically gives Tenants the right to occupy the property for the agreed period as long as they follow the terms and conditions in the Tenancy Agreement. It also provides security for the Landlord allowing them the rights to get their property back at the end of the term.
Dilapidation Deposit – This is a deposit that is paid by the Tenant to TVG Lettings and is kept for the duration of the tenancy. This is held so that any damage or maintenance issues that need to be rectified at the end of the tenancy can be done so to bring their property back to its original condition.
Energy Performance Certificate - All properties require an EPC or Energy Performance Certificate and it's the Landlord's duty to ensure that their property has one. This contains information and statistics about the energy performance of a property and ways in which it can be improved.
Guarantor – A person who guarantees to pay the rent if a Tenant is unable to.
Guarantors Declaration – If a Tenant intends to use a Guarantor, then their chosen Guarantor must sign a Guarantors Declaration which confirms that they are willing to guarantee the payment of rent in the event that the Tenant is unable to.
Holding Deposit – This is a deposit that is paid by a Tenant to TVG Lettings in order to reserve a property that is on the market.
HMO (House in Multiple Occupation) - A property is described as an HMO if at least five tenants live there in two or more separate households but share the same facilities such as a kitchen or a bathroom.
Inventory Report – This is an exhaustive report produced to document the items that are in a property prior to a tenancy commencing. It details the condition of each item so, if damage occurs during a tenancy, it can be noted.
Market Appraisal - This is sometimes known as a 'Valuation' and would be a service sought by the Vendor of a property to determine its value.
Maisonette - An apartment with its own private entrance.
Notice Period – Usually stated in the Tenancy Agreement, a Notice Period is the minimum period of time that should be given for either a Landlord or Tenant to terminate the Tenancy.
PCM - Per Calendar Month. Often used when referring to the frequency of payments.
PW - Per Week. Often used when referring to the frequency of payments.
Redress - In the UK, Estate Agents and Lettings Agents are legally obliged to a Property Redress Scheme. They act impartially so that any disputes between a Landlord, Tenant or Letting Agent can be dealt with by an independent expert.
References – When intending to rent a property, there are a few different types of referencing procedures that take place to check reliability and suitability. A character reference will deem trustworthiness and can be sought from a previous Landlord or Employer. A credit check reference will prove whether a prospective Tenant can successfully pay monthly debtors.
Renewal - This is when a Tenant's tenancy term is extended from the original fixed-term period.
Right to Rent Checks – This assesses whether Tenants who intend to occupy a property have a legal right to live in the UK. This is usually done through passport checks.
Studio Apartment - An apartment where the living room and bedroom are together in one space.
Subject to Contract - Something that is not yet legally binding.
Tenancy Agreement – This is a contract between a Tenant and a Landlord which outlines the rights of both parties. Although this contract may be able to give more rights to both parties than the Law deems reasonable, it must not give any less.
Tenancy Deposit Protection - Landlords must register for one of the schemes authorised by the government unless they are on a Fully Managed or Rent Guarantee package in which TVG Lettings would do it. Government-approved schemes are 'Deposit Protection Service' 'MyDeposits' and 'Tenancy Deposit Scheme'. This ensures that Tenants have their deposit returned if they have met the terms of the tenancy, caused no damage to the property and have paid the rent and bills.