Tag Archives: Professional Management

10Aug 2012

Tenant advice: Trust in your Agent.

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By Steve Roulstone

The question of Tenants being able to trust their Agent, or knowing that the Agent they are about to do business through is one that can be trusted has shown itself in differing ways this week. There is a great difference between the two and again, as happens so often in our relationships with Tenants, it is the need for Tenants to understand why decisions are made that matters.

Firstly, from a professional viewpoint, in a Blog that I penned earlier this week, it is clear that as an industry we need to keep banging the drum about the standards that we as professional Agents sign up to. By being a member of a professional body, in our case ARLA we are showing the standards that we operate to and confirming that monies are protected both in the manner in which we run our business and the audit checks we are subject to, in order to retain our membership. SafeAgent, the kite mark adopted and marketed to further give proof of client money protection and standards should go hand in hand.

In short, if an Agent does not belong to either (Other professional bodies such as NALS and of course RICS are of course acceptable) especially SafeAgent, then as a Tenant or Landlord I would ask why not?

Then there is the day to day life of being an Agent where we are subject to the wrath of the Tenants and prospective Tenants if matters do not develop how they wish.  These so often include either being turned down for property because of being in receipt of Housing Benefit payments and the most common one, having a pet. Not forgetting of course, retention of deposits!

The detail behind the reasons when housing Benefit payments are involved are of course individual in every case, but what is always common, is that payments are made in arrears and in 13 four weekly instalments. Set this against normal monthly payments in advance and then add the difficulty created by the Council stopping payments without any consultation with us as Agents and knowing just how long it can take for payments to start again and it is not difficult to see why we do not need to recommend this situation to our Landlords.

Again in short, legally, we have to give best advice to our Landlords at all times!

Pets in houses are another long topic. Again, each situation is different, but the standards set by some pet owners damage the hopes of so many others that we cannot ignore them. Even without bad management, pets can leave an unwanted legacy, we have had too many instances of fleas up to a year after cats have vacated a property not to ignore the possibility! It is difficult to get an x Tenant to pay for carpet cleaning after they have left, so carpet cleaning becomes a must if any pet is involved.

The point I wish to make is what I have written is not unusual, and any potential Tenant affected by either scenario will have heard this and more. But those with qualifications and affiliations with professional bodies probably, by nature of how they prepare their staff, will have a better understanding of how to manage the situation and can therefore be better relied upon to look after Tenants interests and give them the ‘Duty of Care’ they deserve!

Deposits are an altogether more complicated process now, but in dealing with issues left by Tenants and confirming the payments required to correct those issues, the excuses given at times scream that the Tenants involved have no faith whatsoever in how we go about our business when, if affiliated, as discussed above, we have been trained, have years of experience and know exactly what we can and cannot claim for.

In all cases, if we are wrong, the decision is made through arbitration. We prove our case and judgement is made. If an Agent loses a case through arbitration (and here I can only speak for the Castle Estates offices) it is usually because the case was badly prepared and paperwork let them down, rather than because they were making a false claim. Membership of organisations such as ARLA and schemes such as SafeAgent should enforce this view with Tenants.

The fact they do not means more needs to be done to gain trust as an industry, more needs to be done to further the name of professional bodies (Here comes the drum) and the Government needs to get involved and introduce the legislation confirming the fact and introducing the correct level of penalty for those who operate outside of legislation. In the meantime, look for the symbols of professional membership they all have back up, but more importantly, what they stand for is professional intent!

06Aug 2012

Current Property News: Ban and fine for bad Agent not enough.

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By Steve Roulstone

An Agent who went bankrupt with liabilities of over £400,000 has been found guilty by an NAEA hearing and fined £2500.00. At the same time it has been confirmed following an investigation by The Insolvency Services that he has been banned from being a Company Director for fight years.

Figures confirmed.

The report confirms a figure close to £40000 as being the amount they say Landlords and Tenants lost as a result of his failure to comply with the 2004 legislation regarding Tenants deposits in the correct manner. What appears to be missing from the research I have carried out is any conviction, as it was the Landlords who were then made liable for the subsequent fines of up to three times the deposit that followed from the failure of GDH to register them correctly.

Total?

It is obvious therefore that the total cost to Landlords and Tenants will never be known, but a conservative estimate of around £75000 would seem to be reasonable; depending upon how many Landlords were levied with the appropriate fine (Three times the original deposit)

Fair?

Now is it me? As an Agent who has constantly banged the drum for registration of Letting Agents for the last ten years, being banned from being a Director and slapped with a £2500 fine, does not seem to be fair when all of the individual cases (and there will be many to make up this kind of figure) are taken in to account? In my opinion, what would seem fairer as far as the Industry is concerned would be that he was never allowed to work as a Letting Agent ever again. This kind of punishment can only come as the result of an Industry protected under legislation and proves to me once again that the Government should be able to see that intervention is needed.

Total ban.

I say total bane, because we all know how simple it is to start again with a relative as a Director and it is only a total ban (as in lost the right to be associated) that would be fair in my opinion to all those who lost money.  It is only through Government legislation that such a rule could be enforced. Only then, would Landlords and Tenants know that they and their money was protected.

Systems exist.

And let’s not forget, that such systems to protect our customers already exist! To register with most professional bodies means monies need to be accounted for within the auditing requirements of remaining a member.  It would also be a simple step to have all deposits registered with people other than Agents own Clients account, such as DPS even though this is something I have spoken out against in the past (How would a Solicitor react to being told he could not keep clients funds?) it would be a small sacrifice as opposed to having workable legislation! And then Safe Agent, the latest initiative from professional bodies within the Industry, which already provides all the protection needed for any Landlord or Tenant!

Not far now.

I believe that it is inevitable that the Government will legislate and cases such as this show the need, all we now require is for the systems professional Agents have put in place and promoted, to be endorsed by a Government and hopefully a more suitable and long standing deterrent will be available!

23Jul 2012

Current Property News: English Housing Survey points of interest.

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By Steve Roulstone

The figures relating to the latest English Housing Survey have been released for 2010 / 2011. There are several results which are worthy for note and for what they are worth I include my thoughts on these highlight points for the Rental Industry. Each of these are included within the report and you can see for yourself they have been reported on in great depth, but what is not mentioned is the fact that these figures when isolated for our Industry, prove that the rental sector shows no sign what so ever in abating, indeed the pattern is shown as one of upwards growth.

Ten Year high.

And growing! I have stated before that I believe the industry represents a figure approaching 20% of the UK housing stock and these figures confirm the growth shown from the last report as being constant. This 17% figure represents an annual growth of 1.7% which with the same pattern for the last eighteen months would produce a current percentage of 19.55% across England. This does confirm more privately rented properties than the social rented sector as that figure continues to fall. But the most significant figure is the actual number of properties this now represents, as 20% would equal 2.89 million houses, up by 1.45 million in ten years. With 5% growth in the last three years, over 20,000 properties per month have been added to our sector during this same period.

Only lively sector.

That the rental sector is the only area where activity is significant is confirmed by the number of people moving during the period this survey was taken. Out of the whole, private rental sector was responsible for 63% (1.26 million) Confirming just how people are relying upon the Private Rented sector at present, as the means to finding accommodation throughout England.

Unusable stock.

One figure that shouts out at present is the number of houses that remained empty at the time of the survey, 940,000 (nearly 1 million!).  83%, some 780,200 properties were in the private sector.  On the basis of these last two figures, the best way of utilising these properties and using them again for habitation, knowing that a percentage would not be fit for habitation, would be to introduce them to the rental market and an Industry that was better regulated through professional legislation would no doubt attract more interest!

Rented property better than estimated.

The Standard Assessment Procedure (SAP) has been updated during 2009 and the new rating shows Private Rented sector property to be far better than we have been led to believe. There have been several comments in the last twelve months by the Government supporting initiatives to improve the Energy Efficiency of the Private Rental sector, including one that stated Private Rental property was the worst performing sector in the UK.  If this is the case, then these figures show there has been one hell of an increase in quality, as by now it will outperforming Privately owned property!

Shift of emphasis.

Perhaps now the Government will stop introducing so many onerous performance requirements solely for rental properties within the 2018 Green Deal energy performance plans and include moves to encourage ALL privately owned properties, whether they be rented OR owned! There now seems no excuse to target just one sector, and if changes are made, I just wonder if they will be watered down, with the knowledge that the privately owned sector is much harder to corner. I have always felt that the rental sector was targeted because it could be rather than because of any urgent need, as an excellent way of achieving Energy performance figures for to meet Government promised figures!

Healthy statistics.

Yes I know there are statistics more statistics and damn right lies! But these figures do show a continued shift towards renting as a lifestyle choice, as well as the affordable alternative to buying. Otherwise those moving would not be so high in the rental sector, but as an industry, these figures I hope will be used as further ammunition to prove to the current Government, that professional legislation is what is required as the best way forward to breed confidence and higher standards. I equally hope that our professional bodies are ensuring that they are not only requesting legislation, but confirming just how this can be achieved through self Policing within the Industry. I for one live in hope!

13Jul 2012

Property Landlord advice: Why Manage privately if you would not sell privately?

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By Steve Roulstone

As a professional Letting Agent I have always believed that Landlords should use professional Agents to look after their property, these excerpts are from a similar view for Estate Agents and I am repeating them in full to show just how they compare. There are of course many more reasons once a property has been rented for using professionals in their trade, but the reasoning used here in developing a sale cross over very well and I believe make the case better than being adopted specifically for rentals.

Security: Would you normally let a complete stranger wander round your house? A good estate agent will always ensure the correct identity of a prospective buyer prior to viewing.

Credentials: An agent will also establish the ability of the buyer to proceed, following up any chain if necessary. Too many buyers say they are “cash”, only for the seller to discover down the line that the buyer has a property to sell and a mortgage to arrange. Agents are familiar with the many red herrings used by unscrupulous or naive buyers and can quickly sort the panel beaters from the embroiderers.

Viewings: One of the most misunderstood aspects of the sales process is the way in which viewings are conducted. Of course you want to sell your house, but there is a lot of psychology involved here. Anything you say, as a seller, is clearly biased and not based on helping the buyer to understand how your property could fit their needs, because you don’t know the buyer nor do you have any knowledge of their preferences. If anything you could put your foot in it. Many sellers try too hard to sell on a first viewing and distract the buyer with irrelevancies like how the boiler works. A first viewing is simply about the buyer thinking “could I be happy here?” A good agent will explore the property with the buyer’s needs in mind.

Valuation: Vendors are notoriously optimistic when it comes to valuing their property (as are certain agents of course, but that’s another story). The price you paid for your home, the amount you spent on it, the amount you need for your next purchase and the amount you need to cover your commitments are sadly all completely unrelated to the value of your property. In fact, whatever some agents and even surveyors might tell you, even the apparent “evidence” of what has sold nearby can be misleading. Buyers buy by comparison, so your property has to look good in relation to what is currently available for sale. It might appear to be an easy exercise to assess these competing homes, but only an agent knows why these properties have failed to sell. If you simply follow the apparent market then you are likely to end up on the same heap. The most damaging thing would be to allow your property to go stale on the market as it is likely not only to take some time to sell, but will probably end up selling for less than it could have achieved had it been correctly priced from the outset.

In view of the above it is little wonder that there is very little appetite for private sales in the UK especially in view of the relatively small amount of commission British estate agents earn in relation to their counterparts virtually everywhere else on Earth. Whilst there will always be tales of someone who did a great job privately these are certainly the exception to the rule.

My question having read and compared the clauses with our Industry is why the appetite for private rentals IS still so strong? Most problems arise once a Tenancy has started and it is mainly by getting one of the aspects listed wrong in the first place! The problem being that it usually remains undiscovered until later in the Tenancy, when problems arise. Then is the time that Landlords have to deal with the issue professionally and within current legislation and unless they are qualified and I obviously accept that many Landlords are either by design or experience, this is the time that mistakes can be made, but I would venture that there are far more properties under the Management of amateur Landlords than bad Agents! Furthermore, when the Agents are either with a professional body or members of schemes such as TPO then the standard of service must rise dramatically.

P.S The picture with this post is meant to raise a smile, I trust you were able to do just that!

05Jul 2012

TPO Explained

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By Mike Edwards

What is TPO?

 The Property Ombudsman scheme has been offering a free, independent and impartial dispute resolution service to consumers who are dissatisfied with the service provided by registered firms for more than 20 years. If a dispute is resolved in the consumer’s favour, the Ombudsman can provide redress to place the consumer back in the position they occupied before the complaint arose. Resolutions are designed to achieve a full and final settlement of the dispute and all claims made by either party. Where appropriate, the Ombudsman can make compensatory awards in individual cases up to a maximum of £25,000 for actual and quantifiable loss and / or for aggravation, distress and inconvenience caused by the actions of a registered firm.

 Independence

 Whilst TPO charges registered firms an annual subscription, the Ombudsman reports to the TPO Council, the majority of which is made up of non-industry members. It is the Council who appoints the Ombudsman and sets his Terms of Reference (i.e. how the complaint process operates). The Ombudsman is required to report to the Council on a regular basis.

 The Ombudsman is not a regulator and does not have the authority to take regulatory or legal action against a registered firm. However, registered firms can be referred to the TPO Disciplinary and Standards Committee, appointed by the Council, which has the power to expel firms from the scheme and / or report them to the Office of Fair Trading, which has the power to ban firms from carrying out estate agency business.

 TPO is a member of the British and Irish Ombudsman Association (BIOA).

 Membership

 At June 1, 2012, more than 21,770 offices were registered with TPO. This figure includes 11,749 sales offices and 9,301 lettings offices. TPO estimates that these figures represented 93% of sales agents and 64% of lettings agents operating within the UK.

 Further information

The Ombudsman’s Terms of Reference, the Codes of Practice, Consumer Guides and other documents about the operation of the scheme are available at www.tpos.co.uk, together with previous annual and interim reports, further explanation of governance arrangements and a full list of registered firms.

 

03Jul 2012

Client Money Protection explained and TPO client survey.

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By Mike Edwards

Client Money Protection explained and TPO client survey.

Letting Agents can go bust (I know!) But when they do, it can be amid claims of owing landlords and tenants thousands of pounds, so here’s a quick guide to what Landlords and Tenants should look for to safeguard their money.

Letting agents are not regulated, which means anyone can open and trade as a letting agent without any qualifications or licence. Like any other business, if a letting agent stops trading, landlords and tenants become creditors and risk losing any rents or deposits held by the agent.

To stop this, several industry groups run ‘client money protection’ schemes – sometimes called ‘CMP’. Belonging to a client money protection scheme does not mean a landlord will receive compensation if something goes wrong – the schemes have terms and conditions, like time limits for claims and caps on pay outs, so check the finer points do not exclude your rental business.

The main CMP schemes are:

● National Approved Letting Scheme (NALS)

NALS will pay up to £25,000 for any one claim, with a cap for landlords of three months’ rent. The total top pay out for a single claim is £300,000, while the scheme will only pay £3 million in any one year.

● Association of Residential Letting Agents (ARLA)

ARLA will compensate a landlord up to a limit of £25,000. Landlord claims are limited to three months’ rent. The total payable for a member company is £500,000. In any one year, the scheme has a limit of £3 million.

● Royal Institution of Chartered Surveyors (RICS)

RICS will pay a maximum of £50 000 per letting agents, subject to an overall limit for the scheme of £5.3 million for any one year.

● SafeAgent

SafeAgent is not a CMP scheme, but an umbrella group for letting agents who are members of a CMP scheme. The aim is to promote money protection by displaying a single, recognisable logo that shows any money with a letting agent is safeguarded. Letting agents belonging to client money protection schemes should display a logo of one or more of the schemes listed above on their web sites and letterheads.

Even if you see the logo, still check the CMP scheme web site to make sure membership is valid. Some unscrupulous letting Agents say they are members and use the logo when client money is not protected. Don’t forget that just because the agent was part of a CMP scheme one year does not mean membership is still in force years later – check every year.

TPO canvasses members over CMP

The Property Ombudsman Scheme (TPO) is also aware of the importance of CMP as it is now canvassing member firms over the provision of insurance.

“Whilst membership of TPO requires all residential sales and letting agents to abide by the TPO Codes of Practice, have Professional Indemnity Insurance, and agents holding clients’ money to deposit this money in a separate clients account, it does not currently require residential letting agents to hold CMP,” explains Bill McClintock, chairman of the TPO operating company who is circulating a consultation document to members. “Given that the Code of Practice is generally accepted as the primary standards document in the industry, the omission of such an important aspect needs to be addressed. “This is something the board and the Ombudsman, Christopher Hamer, have been considering for some time and recent incidences of both landlords and tenants suffering financial loss means action on CMP is now imperative. Private residential lettings reportedly make up 17 per cent of the UK housing stock.”

The consultation paper sets out various options and points out that member’s of ARLA, NALS, and RICS are required to have CMP. Some letting and management companies acting as subcontractors also provide CMP on all landlord and tenant funds.

McClintock is asking TPO members which of these options, or an alternative fallback position that all TPO member firms without CMP must disclose in writing and actively flag its absence at the point of instruction or sale of services, they would prefer to see enforced through the TPO Lettings Code of Practice.

 “TPO and its Codes of Practice are part of a consumer protection regime with the firm objective of raising standards in the industry,” adds McClintock. “Whilst TPO cannot force agents to sign up to the Code, firms should see the Codes as enhancing the reputation of the industry and for those that are already members of TPO the addition of a clause requiring CMP will enable them to demonstrate to landlords and tenants that their money is protected.

“TPO is a not-for-profit company and will not itself offer CMP to member firms as a new revenue stream. It is not appropriate for TPO to offer such services but I believe it is appropriate for member firms to have such cover. However, members now have the opportunity to express what they think should be the minimum required standard.”

14Jun 2012

Current Property News: Rental sector attacked for no reason – again!

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By Steve Roulstone

Once again I find myself reading a report condemning the rental sector, this time  as the background to the thrust of the actual article, which is about increasing trends in the rental sector. The reason given is financial insecurity which should come as no surprise to anybody, but the article takes the unreasonable opportunity to condemn the rental sector without providing any evidence for the statements made.

Hidden reasons.

Of course the reason why is to suggest that the Government (this is after all a left wing paper)  are forcing families down a road to unsettled and poor condition housing, when in reality, and I can only comment from what I know about, the truth is nothing like the picture painted and indication given within the report.

Bad Housing, Bad Landlords and High rents.

As a professional letting Agency, we will only take on property that is to standard and when allowed upgrade property as required. I say when allowed because only this morning I have been discussing a Tenant who will not allow access to make alterations which will vastly improve a bathroom. Equally, we always and ONLY advise Landlords of the correct path and procedures surrounding the property and their Tenants. Also, rents in Staffordshire are not rising and Tenants are benefitting from the number of properties on the market by making offers.

Source of information.

Because of this and with the knowledge that not every property or Landlord is perfect and therefore accepting that problems do exist, I would suggest that like most of what facts are listed in the article, it is the London market that is the source of the information. But it would be so much better if either the article were split into two, sticking to the point made as the reason for the increase and giving the chance for the detail behind these damning statements about the rental market instead of providing no evidence what so ever!   

Professionalism.

I would agree however, as I have stated on oh so many occasions before, that the intended route the previous Government was intending to take, to ensure all agents were approved, is still the best possible route for the Industry. For if this is still a major problem, and as I have sated I can only comment on my local market, then the Industry itself, having launched ‘Safe Agent’ cannot be blamed for doing nothing to improve standards. The problem still seems to be in the Self Managed Landlord or the Agent who ignores all professional bodies and here all Tenants have a clear choice! Ask which bodies the agent belongs to that will protect them!

Legislation.

One of the first issues that I cannot agree with is that of legislation, because if ever an industry has been targeted it is the rental industry, with every facet of what we do coming under the legislative microscope for the last few years. The comment about deposits for example is a ‘throw away comment’ which cannot be supported, because any Tenant who suffers at the hand of an Agent or Landlord who does not use the Deposit legislation can be heavily fined and the Tenant has a clear route to take.

Tenant problems.

Of course what this could refer to is the number of Tenants who have found themselves loosing when being processed through the Deposit legislation, because although most do win because of badly prepared defences by the Landlord or Agent, I know as a fact, that if the Tenant looses when going through arbitration, they still blame the Agent and talk about the cost as if they have been treated unfairly. This of course is not the case, but as the article gives no background to the statements made we will never know!

Figures.

But one bit of background I can supply is that the percentage of people renting privately has been increasing for years and particularly so over the last two years. I asked the Department of the Communities only last week if the overall privately rented % for 2011 was yet available and it is not, but I expect it to reach 20%, a rise of nearly 5% in the last two years. Therefore to state it may be 36% by 2025 (which let’s not forget is still over 12 years away) when twelve years ago it was at 9% would reflect a rate of increase through good AND bad times that at current trends will stand at 31% anyway!

Bad Journalism.

So I am afraid that overall I label this article as bad journalism, trying to score a political point without any confirmation of the statements made attacking an industry which is not represented and quoting figures, which, when you are aware of the background, are really not that surprising. But it does touch on one major factor. Unless the availability of mortgages for Buy to Let Landlords is improved, the supply of rented property will quite possibly dry up! But where I will concur, is that by failing to introduce Licensed Agents and Landlords, the standard of the current source of rented stock, namely properties that fail to sell could well continue to suffer. For without legislation, as we all know, when finances are strained, shortcuts are taken!

18May 2012

Property Landlord advice: Annual Rent Increases show current market trends.

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By Steve Roulstone

I recently wrote that a scheme being tried by a local Council in Staffordshire to encourage house sales was an excellent idea and one that if it worked be copied in other areas. At the time I wrote it I was aware that it may be difficult for some to understand why a Letting Agent should be happy to see house sales moving again when so many houses are entering the rental market purely because they cannot sell in this market?

Perfect answer!

Well one of our regular routine annual procedures has provided an answer as to why in a way far better than anything I could find to articulate my thoughts at the time of writing about the Council. The procedure is the annual rent review, which, because Landlords are able to increase rent once per year, we undertake in the spring because it is the most natural time for prices to increase in what is normally the time when the market shows its best increase through increased activity.

Hard task.

We do of course discuss each scenario with our Landlords so that they are both aware and happy with any proposed increase and I must confirm that it is good to see so many Landlords this year being realistic about both the market and the current Tenants capacity to pay any increase. But each eligible property has had to be reviewed carefully. As a rule, we would normally only recommend an increase that kept the rent below the current market price, an approach which rarely meets with anything but approval from our Landlords, but the numbers of available properties at present as meant that we need to have a very good picture of those very rates!

Large increase in numbers.

It is a fact that the number of properties coming to the market is still high and Tenants do have plenty of selection when looking for a home and are on average looking at far more properties than they would normally do (possibly twice as many if our viewing diary is anything to go by!) but this has of course had an effect on the achievable prices as more and more offers are made as Tenants try to catch a bargain. Of course we manage them in a way that reflects what we expect to happen so we are very aware of what rent we are liable to achieve still for our Landlords!

Less houses in this case will be better!

And this is the evidence that confirms my view of any scheme which encourages more movement in the housing market. There is also no doubt that we are seeing as many if not more Tenants as we would expect at this time of year, the problem for so many Landlords is that there are at least twice as many houses if not more on the market. It is easy therefore to see that should houses start to sell again; the rental market will also improve as what we consider normality would be resumed.

Competition will stay.

Estate Agents do of course still have and will continue to have the ability to speak to any owner of a property that is failing to be sold and will no doubt offer the rental option before the Traditional Letting Agent even gets the opportunity to speak to owners. So be it, it is a situation we have lived with for the last three years and we are still getting more than our share of the properties available.

Market share.

But what tells us this will not change even if house sales do make a dramatic recovery this year, is that the Private Rental market now accounts for over 20% of UK housing stock at current rising trends. (Figures will be confirmed next year) so we as Agents will learn to live with the increased competition, but I still see increasing sales as a good thing for Landlords and hopefully by the time we carry out our rent review next year, the new figure will be easier to calculate!

16May 2012

Current Property News: EPC regulations being made to look nonsense.

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By Steve Roulstone

Recent changes in the way in which EPC documents have to be displayed are quite frankly being made to look ridiculous by the way in which they are being translated. It is of course well known that there are always areas that need clarification when new legislation is introduced, but the plethora of new requirements being launched at our industry at present does beg the question, why is it so unclear how to introduce changes that, if we got them wrong, are subject to a financial penalty?

EPC Displays.

The clarity is supposed to be how and where the information shown on the EPC is displayed. There are three areas of concern, when a property is being viewed, when it is being advertised and when it is being displayed. The problem lies with the latter, but all affected areas have had to be clarified.

Property viewings.

This for us was the easiest to deal with, as the EPC has to be available for all potential Tenants when a viewing takes place. As our staff carry I Pads with the EPC stored for every property being marketed, along with as much information as a Tenant may require, this was easy to deal with. All we needed to get clarified was that an electronic version, with a back up of the written version being supplied either in the post or by e-mail. It is.

Advertising.

This includes both the paper version of advertising as well as through the web. Again, after some suggestions that the EPC would have to be placed alongside each property advertised in the paper, it was confirmed that it does not need to be in this format. Good job really or this post would have had two targets for the ridiculous suggestion of the year!

Display advert.

Now for the area that has me looking to the skies in frustration! It is well known that property details are in by far the majority of Lettings or Estate Agent offices produced in A4 size, or something very close. This includes the window display and in our case as with many others on a rolling TV display. Well somebody has now decided that the front page of the EPC should be included on page one of the document displaying the property, if the document includes for a rented property a photograph and the price as well! Not much point in producing it if it does not!

New Style.

They also state that it has to be page one of the new style, but that the new style is not needed for those that have already been produced (They last ten years for a rental property) so firstly, how can we show the new style unless we pay for an updated version? If you visit the EPC report retrieval site www.epcregister.com to recover a report it is STILL shown in the old style?

 Ridiculous requirement!

But worst of all, is how can a form designed for A4 reproduction, with close on 50 lines of information be shown clearly ON an A4 sheet of paper and leave any room for anything else to be displayed on the same sheet of paper? Does this mean that all property display details are going to have to be re-produced in A3 to allow room? Are every single Estate and Letting Agent in the country going to have to change their display units costing £millions? This is (once again) an effect of the changes that has just never been thought through, the practical requirements and sheer ability to be able to comply with the need to show the EPC in the manner described is just impossible?

Conclusion

I just do not have one! I just hope that common sense prevails in the end and that a proper solution is found, in the meantime all Agents are left wondering what to do whilst being in danger of having a fine clapped on them for failing to display EPC details in the new format! Or do we just change all internal and window display units and spend a fortune changing them? Just in case!!

11May 2012

Current Property News: Castle Blog 2 Year Anniversary.

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By Steve Roulstone

 

It may not be news to some, but to me the two year anniversary of my Blog page (This is the 200th Post) marks the changes that both the industry and my Company have gone through during this time. It started as a way of promoting the name of the group at a time when I was both a Franchise holder and Franchisee of the Castle Estates Group. The Anniversary marks a time when the Franchise group has ceased trading and my own Franchise has become an independent Letting Agency, as have all of the National Castle Offices across the country.

 

Changes in trade.

 

On the face of it, such a statement of fact may seem to be a statement of failure, as the group no longer offers Franchising at all. But rather it is a statement about the industry itself, which no longer in my humble opinion suits the Franchising model, in the same way that Estate Agency never has either. The reason is simple, because of the housing sales collapse, nearly every Estate Agents in town has added lettings to their business model and one can hardly blame them, as there is no doubt this saved many Companies from closing during the last three years.

 

Changes in Law.

 

This period has also seen many changes in law as Governments continue to try to put their control on a sector which they obviously felt was not giving Tenants a fair deal. Regular readers will know that I look on our industry as two sectors, the non professional and the professional. Legislation has enveloped all. The only pity is that our professional bodies were not strong enough to convince the Government that they could self Police and until legislation enforces all Agencies to join a professional body this will not change.

 

Changes in rules of the game.

 

Not all legislation has been to do with how the industry treats its clients however and of course there have been many changes involving procedure, which ultimately DO effect how clients are treated, but are more to do with how we carry out our business than the principals used in doing so. Most of these changes have only just taken effect through the Localism Act, such as new regulations surrounding Tenants Deposit and the manner in which the Energy Performance Certificate is dealt with. No doubt we will continue to see more, although without being Political, it tends to be the socialists that encourage control of our every move rather than the current incumbents.

 

Trading as a Letting Agent.

 

So back to the day job! Well that has been the result of the major change during the time this blog has been running and in fact I am pleased to state that this Blog has been one of the more consistent factors in my daily work. It is a task I both enjoy and feel offers a real service to our client base, both Landlord and Tenant. Certain posts now find themselves repeated in our local papers so the presence of the Blog has more to do with the day to day running of an agency now without the National link. This is a fact that is confirmed in its content matter as more local issues are discussed than National on a weekly basis.

 

 Next two years.

 

Well I hope for more of the same. There is certainly never a shortage of topics as everything surrounding the Industry is discussed on a weekly basis. From viewings to agreements, buying property and preparation for the market, Informing both Tenants and Landlords, discussing professionalism and how to deal with problems, we have covered it all and hopefully will continue to do the same, no matter what changes are introduced.