You might’ve read our last blog on property lingo and now we’re back with more! Our lettings team have given us some of their most commonly used terminology. Let’s get started!
- Inventory
A list of contents for the property that the landlord has left. This could be anything from a clothes horse to a lawn mower. You’ll need to ensure everything is there, and in the same condition, at the end of the tenancy.
- Guarantor
A guarantor provides a “fall back” option for those looking to rent a property. A guarantor is quite often a parent (but not always) and this person will ensure the rent is paid if you can’t pay it yourself.
- Shorthold tenancy
We only deal with assured shorthold tenancies (AST – see below) of six months or more. Anything shorter than that is a holiday let or renting under licence.
- Assured Shorthold Tenancy (AST)
This is the type of agreement that almost all of our tenancies will sign before the commencement of the tenancy.
- Execution of the tenancy
A tenancy agreement requires executing. This is normally done on the day the tenancy starts and can be done by either the landlord or their appointed agent. It consists of dating the agreement on the day it becomes binding.
- Dilapidation deposit
This is the amount of money taken from the tenant in order to safeguard the landlord against damages at the end of the tenancy. A new law recently passed through government stipulates this figure is capped at five weeks’ rent, and it needs to be protected within an insured or custodial deposit protection scheme.
- Superior lease
This is where there is another lease that the landlord and tenant have to adhere to. This only occurs when the property is leasehold. The lease is normally generated by the managing agent of the building which will confirm any restrictions or requirements of the tenants, taking into consideration the communal areas connected to the property let out.
- Housing of Multiple Occupation (HMO)
This is a national term whereby a landlord may need to treat the property in a certain way due to the amount of people residing there. In some cases the landlord may need to apply for a licence from the council in order to obtain permission to rent the property out to multiple people.
- Periodic tenancy
This is a term that describes the type of contract that the tenancy automatically falls into in the event that no renewal is agreed or notice serviced. The landlord and tenant continue to remain completely protected under the original agreement signed.
- Sole agency
This is where the landlord uses one agency to rent or sell their property.
- Multi Agency
This is where a landlord markets the property with multiple agents.
