Merry Christmas to all our readers!

Andrew, Jonathan and Sophie at Clan Gordon Letting Agents wish a Merry Christmas to all our tenants, landlords, contractors and any other readers of our blog.

National Landlord Day - Part 5 of 5

Local Housing Allowance Changes

Amendments to the Housing Benefit (HB) legislation were laid on the 30 November 2010 bringing into effect measures that will: 

·         remove the five bedroom Local Housing Allowance (LHA) rate 

·         introduce absolute caps so that LHA weekly rates cannot exceed £250 for a one bedroom property; £290 for a two bedroom property; £340 for a three bedroom property; £400 for a four bedroom property 

·         remove the up to £15 weekly excess 

·         include an additional bedroom within the size criteria used to assess HB claims in the private rented sector when a disabled person, or someone with a long term health condition, has a proven need for overnight care and this is provided by a non-resident carer 

·         set LHA rates at the 30th percentile of rents rather than the median

In response to the Social Security Advisory Committee (SSAC) and key stakeholders, the DWP have adjusted the timescales for implementing these measures so that:

·         all changes will come into effect for new claims from April 2011 (this includes setting rates at the 30th percentile)

·         a period of up to nine months transitional protection will be available for existing customers from the date the claim is reviewed (usually the anniversary date). This means many existing customers will not be affected until 2012.

The main thing to remember is that this is primarily aimed at LHA in the South East of England and will not affect Scotland much. It will probably affect claimants in Scotland much more than it will any landlords.

Jonathan Gordon MRICS

Director

National Landlord Day - Part 4

Tenancy Deposit Scheme in Scotland

There has been some confusion over the Tenancy Deposit Scheme being planned for Scotland, mainly relating to whether it is part of the new Housing (Scotland) Act relating to the Private Rented Sector. Actually, Part 4 of the Housing (Scotland) Act 2006 gave Ministers powers to bring forward regulations for the approval of tenancy deposit schemes in Scotland without the need for further primary legislation.

Unlike the national authorities in England and Wales, Scottish Ministers have no statutory responsibility to secure a tenancy deposit scheme. However, Alex Neil, Minister for Housing and Communities, announced in 2009 that a national mandatory scheme to safeguard tenancy deposits would be introduced in Scotland.

Tenancy deposit regulations will provide a framework for the approval and subsequent operation of tenancy deposit schemes in Scotland to tackle what is seen as the problem of unfairly withheld deposits. This is despite the fact that research on this was included in the Scottish Governments own Review of the Private Rented Sector carried out over the last few years.

It is intended to ensure that deposits are safeguarded throughout the duration of the tenancy and that deposits are returned quickly and fairly, particularly where there is a dispute over the return of the deposit, or a proportion of it.

Draft regulations were laid before parliament and regulations are expected to come into force in March 2011. Potential schemes are invited to submit proposals.

National Landlord Day 9th November 2010 - Part 3

The new Private Rented Sector Housing Bill announced by the Housing Minister Alex Neil in October was discussed at the National Landlord Day and the best explanation came from T C Young Solicitors. Here is a bullet point list of what they said:

·         The “fit and proper” test of a landlord will be amplified meaning councils have greater ability to scrutinize a potential landlord’s past including

o   Previous offences under landlord registration

o   Whether they have any repairing standard issues enforced against them

o   Anti social behaviour orders relating to any properties they own

o   Complaints about them made to an official body

o   A criminal record certificate will be required where there is reasonable ground to suspect information supplied is inaccurate

·         Landlord registration numbers must be supplied in all types of property advertising except to let boards

·         Improves enforcement

o   Maximum fine raised to £5,000

o   Disqualification orders for up to five years

·         Information available to public will be improved

o   Whether application made but not determined

o   If a person has been refused a registration application

o   If a person has been removed from the register

o   Local authority must display all this for 12 months

·         The Private Rented Housing Panel powers will be improved

o   PRHP will supply information to local authorities

o   PRHP will have powers to assist landlords in gaining entry to effect repairs and inspections

·         Legislation on key money, premiums and holding deposits to be clarified

·         Termination notices to be rationalised and clarified

Overall this legislation is good for tenants and landlords given where we are. Even though landlords may not like landlord registration it is important that the councils have powers to be able to enforce it and make it worthwhile now that we have it.

The question which almost always remains is whether the councils will have the resources available to use the legislation effectively.

Jonathan Gordon MRICS

Director

Inside Letting Board Meeting 11 Nov 2010

Edinburgh Council may not be able to organise trams very efficiently, or at all now, but they have been at the forefront when it comes to local authorities in Scotland helping landlords AND tenants. The team of housing officers and other staff who manage landlord registration, HMO licensing and their advice service Letwise are fantastic: approachable, helpful and unbiased whether dealing with landlords agents or tenants.

 

Letwise produces a regular publication called Inside Letting. Clan Gordon has been a member of the board which produces and edits the magazine since last year. The magazine was produced and posted out but it made sense to change this in today’s digital age to an online magazine and the results are great.

 

The board meet a month or so before publication and it is planned to do one quarterly. The last one was produced in September 2010 and yesterday we had a look at the content for one coming out in December. As well as lots of handy features on topical issues this issue will cover the new Housing Bill which follows on from the recent Review of the Private Rented Sector, the Landlord Boiler Scrappage Scheme announced here this week and an update on landlord registration.

 

I will make sure the new issue is launched on this blog....

 

Jonathan Gordon MRICS

Director

National Landlord Day 9th November 2010 - Part 2

Following on from the last report on National Landlord Day organised by SAL or the Scottish Association of Landlords I thought I would summarise the market outlook report.

The presentation made on the day by Dan Cookson. The presentation he made was enlightening as reports by Citylets always are. Personally I am not sure if his style of presentation slides were a little futuristic?? You can have a look at the actual presentation here. The new specific area research is fantastic though and a great improvement to their market reports.

As you can see everything Dan had to say I will make this blog a little shorter than the last one...

Clan Gordon’s take on the market outlook matches up in some ways with Citylets but we see it as perhaps even stronger. We have seen properties being rented out extremely quickly. It remains the case that if a landlord is prepared to keep their flat in good condition and market at the right rental there should be no need at all to have any voids. The Edinburgh rental market continues to be strong and there remains a dire need fro quality flats anywhere within about 15 minutes of the City Centre. There are other strong rental areas such as Crammond and Corstorphine where historically there is a big lack of supply alongside good demand from all the people working in the Gyle area. In contract to this we are finding rents falling off a bit in some areas of Granton. This appears to be down to over supply of new build flats rather than lack of demand.

Jonathan Gordon MRICS

Director

The Edinburgh Letting Agent

100% of our landlords would recommend us. Ask about our 2010 Client Survey.

National Landlord Day 9th November 2010 - Part 1

The National Landlord Day run by the Scottish Association of Landlords (SAL) was held in Dynamic Earth, Edinburgh yesterday and nearly 400 landlords and letting agents from Edinburgh and around Scotland attended what was a very enjoyable day. If you have an interest in the letting market in Edinburgh or other main cities in particular then the topics covered by well chosen speakers was pretty interesting. The most interesting topics covered were:

1.       Private Sector Landlords Boiler Scrappage Scheme

2.       The Property Letting Market Outlook in Scotland

3.       The New Housing Bill

4.       The Pending Tenancy Deposit Scheme in Scotland

5.       Changes to the Local Housing Allowance

I am planning to post my comments on what I learnt about each topic over the next couple of weeks. As it is brand new and a limited fund which will run out I thought it sensible to start with the  Landlords Boiler Scrappage Scheme.

Harry Mayers of the Energy Saving Trust gave a good summary of a brand new scheme for landlords to allow them to scrap their old and in-efficient boilers paying £400 towards the cost of a new one. The scheme is open to any landlord to apply and they are able to apply for more than one property.

Private Sector Landlords Boiler Scrappage Scheme

Scotland has one of the most ambitious CO₂ emission reduction targets in the world. The installation of an efficient heating system is one effective way of reducing your tenant’s household energy bills and CO₂ emissions. There are currently an estimated 250,000 homes in Scotland that have boilers of the least efficient type (efficiency of 70% or less). To help address this, the Scottish Government has announced funding for a boiler scrappage scheme for private sector landlords in Scotland.

Scrappage schemes work by helping to meet the cost of replacing inefficient equipment with new more efficient alternatives – in this case boilers.  The Energy Saving Scotland Private Sector Landlords Boiler Scrappage Scheme will offer landlords £400 towards the cost of upgrading inefficient boilers to an Energy Saving Trust Recommended boiler in each of their rented properties.

What are the benefits?

·         Upgrading your boiler can result in: Higher EPC ( Energy Performance Certificate) ratings, which could make properties easier to let

·         Lower energy bills for tenants leading to reduced rent arrears and defaults

·         Reduced CO₂ emissions from properties

·         Reduced levels of fuel poverty experienced by tenants.

What are the eligibility criteria?

·         You must be replacing a working boiler. The boiler being replaced must have a SAP2005 rating of 70% or worse as detailed on www.sedbuk.com. If you wish to clarify if a system is eligible, please contact the Energy Saving Trust Services Delivery Team on 0131 555 8659.

·         You must replace this with an Energy Saving Trust Recommended boiler or a Microgeneration Certification Scheme accredited microgeneration technology. You can find a list of Energy Saving Trust Recommended boilers on our website or should you require further assistance contact the Energy Saving Trust Services Delivery Team on 0131 555 8659. Please note, an A-rated boiler does not automatically qualify as ESTR.

·         You must be a registered private sector landlord and be fully responsible for the maintenance and upkeep of the boiler. (This scheme does not cover individual owners/occupiers, council tenants or social landlords).

·         The property where the boiler is to be installed must be a domestic address in Scotland.

·         You must have received a quote for your boiler replacement before making an application.

·         The applicant must make an application and receive their voucher before having their boiler replaced. Work on the installation must not have commenced before the date on which the rebate voucher is issued.

·         The installer must be Gas Safe registered (for gas installation) and should be a member of a recognised industry body such as CLE, SNIPEF or OFTEC. Installation of a microgeneration technology must be carried out by a person qualified under the Microgeneration Certification Scheme.

 How to apply for the boiler scrappage scheme?

Once you have checked you are eligible you should:

·         Obtain a quote for your boiler replacement

·         Apply for a voucher online or via the phone on 0800 512 012

·         Arrange the installation of your new boiler within 12 weeks of requesting the voucher

·         Pay for the boiler and installation work up-front

·         Claim back the £400 by sending the completed voucher and invoice back to us

On the application form you will be asked for all of the following:

·         Your landlord registration number - to find this out check the following link or contact the Energy Saving Trust services delivery team on 0131 555 8659 and they will put you in touch with your local authority.

·         Your correspondence and installation property addresses

·         Some details of your rental properties’ existing heating system

·         The date you received your quote for the new boiler installation

·         The installer company name

·         Installer accreditation number (e.g. gas safe number)

·         Manufacturer and make of replacement boiler

Please note, if you proceed with your installation before you receive your voucher, you will invalidate your claim and you will no longer be eligible for the £400 rebate.

I will post Part 2 next week – regards – Jonathan

New Landlord Information Page Launched

Our new landlord information page at www.clangordon.co.uk/landlords_in_edinburgh.html 

was launched yesterday.

The aim is to provide a clearer message to potential new clients. It also provides testimonials from our existing landlords to back up our 3 key operating principles –

• Personal service with professional standards
• Finding professional tenants and looking after them
• Managing contractors closely to minimise landlord costs

Thanks to our website designer www.jaijo.com for undertaking this at short notice and doing an excellent, very fast job.

Response to the Clan Gordon Survey 2010

100% of landlords said they would recommend Clan Gordon. Despite having to take a tough line with a few tenants over deposit deductions, it was great that over 95% of tenants would also recommend us.

We also asked our clients to tell us why they would recommend us- here are a couple of samples:

“I have been very impressed with the professional approach to letting the property I reside in. I have found all the Clan Gordon representatives approachable and personable, especially when we have had maintenance issues.” - from one of our Tenants in a West End flat

“Very helpful polite and knowledgeable. Personal service and nothing is too much trouble. Better than a larger agency where you are just a number. I came to Clan Gordon through a recommendation and would have no hesitation in recommending them.” - from the Landlord of a Corstorphine flat

7 TeV reached at Large Hadron Collider

Watched the live webcast yesterday from CERN for several hours!

This is only half the design energy of the LHC, but even that seems likely to produce new physics.

Reminded me that I used to be a physicist and stopped me working on SEO for most of the afternoon – apologies Jonathan!

You can see the highlights and lots of other interesting videos at http://bit.ly/dCbxuN.

George

Our blog is now on Technorati!

Short code is BC7YWFMZRWRF

Clan Gordon is now on Twitter!

Follow us at http://twitter.com/clangordon42

Clan Gordon Survey 2010

Clan Gordon's first and key responsibility is it's clients - both tenant and landlord. This is why we have decided to complete an annual survey. We will do one at the start of each year to gauge how our clients feel about us. We are just waiting for a few more to complete their surveys and then we will take stock of the results before tweaking the way we work if any improvements are suggested or required. All landlords and tenants should have received a link to the survey but if not then please email us at enquiries@clangordon.co.uk and we will send it to you.

Anyone entering the survey is eligible for the prize draw to win a £50 M & S gift voucher.

Jonathan

BT Tradespace

Clan Gordon has joined BT Tradespace - http://clangordon.bttradespace.com/

 

Hoping to find it useful once we find our way round it!

Happy Birthday Jonathan

Best wishes from the Company Secretary!

Clan Gordon does EPC's!

We are qualified to do Energy Performance Certificates – see our sister website at www.WeDoEPC.co.uk.

As a firm of chartered surveyors we are Regulated by RICS which provides protection and professional indemnity insurance for all our clients.

We can collect and return keys, post or email your certificates and even affix them in the property to meet regulations.

 

The Cloud Business Case

We have been trialling Cloud applications for CRM (www.javelincrm.com/) and Accounting (www.xerousers.com/) and are very impressed. Xero is inexpensive and very easy to understand, even for accounting newbies, and is particularly good for invoicing. There are several competetive accounting applications out in the cloud, but Xero gets our vote. If you think you could benefit from using CRM or Accounting software, you should trial at least 2 of those on offer before signing up - many of them have free trials which are fully functioning.