The final cut

At a time when there is uncertainty in the residential property market and many owners are seeing the rental market as a viable alternative to selling, the managed residential sector is seeing a considerable increase in landlords seeking professional management of their estates.

It is hugely concerning that many private landlords are still not fully aware of their responsibilities. Letting out property may appear a lucrative commercial decision as you build your property portfolio and make significant return on rent. With the market as it is, there are some very cheap properties around in commercial retail which could yield great rental profit if managed correctly. Even if the property is mortgaged, with interest rates at a widespread low for many, the rent collected can represent a substantial profit on the money borrowed.

What is important, however, is that all landlords make provisions for the maintenance of the property to meet the demands of the Landlord and Tenant Act. Maintaining properties to this standard is important and if landlords choose to ignore their responsibilities, the consequences can be disastrous; both for their tenant and the value of their financial investment.

The biggest problem for most landlords is the diversity of the work that needs doing when each problem is often not worth calling in a tradesman to deal with the repair. Many landlords with small portfolios start by handling such problems as well as the maintenance and running of the property by themselves in the belief that over time they will save money. However, the prolonged and continued difficulties that they almost always experience can become both hugely expensive and extremely time consuming.

The maintenance and emergency repair of smaller properties usually on retail outlets are in many ways, more difficult to service than larger office or manufacturing units where permanent maintenance staff can be justified. In London particularly where congestion charges and parking are not only a cost but a real inconvenience to an engineer, smaller units will almost always require extensive management from specialists.

Whether it’s a broken window, a problem with the heating, a leaking tap or a lost key, they are all jobs requiring different types of engineering skills but all need immediate attention. As a result, we have seen a growth in the maintenance services offered by managing agents and specialist maintenance companies that offer a one call does it all for property maintenance services.

Legal knowledge
There are a wide array of legal implications to consider when renting out a property which could even result in the prosecution of a landlord who is negligent.  Landlords are responsible for having an up to date gas safety certificate for the property (CS12) to ensure that the property’s gas cooker, boiler and any other gas appliances are safe.  If this is neglected, it could result in carbon monoxide emissions which have lead to an assortment of fatal accidents in the past leading to prosecution of the landlord.

Landlords must also have any electrical appliances PAT tested to check for faults that might be dangerous to a user.  In addition, tenant complaints about bad cases of mildew on the walls, dampness and water ingress that go untreated are likely to bring about a visit from an environmental health officer, which can cause further problems.
Recognising this demand for a specialist residential and retail premises property maintenance company that handles all property maintenance problems for landlords, 1st Action Group set up a new department in 2009 to offer a stress-free solution. One call to a call desk provides landlords and managing agents with access to all the trades necessary to maintain their properties.

This service is used by some of London’s largest residential property managing agents and property owners who have come to realise that this is a service much better outsourced than kept in house. We feel that this will be a continuing trend in months to come, as landlords crave greater piece of mind when dealing with a multitude of property problems.