GRAY AND COMPANY LANDLORD FEES

This Agreement is made between the Landlord of the Property (as named at the end of this agreement) and GRAY AND COMPANY acting as agent for the Landlord and hereinafter referred to as "the Agent".  The purpose of this document is to set out clearly and concisely the extent of the letting and management service offered and the scale of fees charged.

The terms of the Agreement set out in this document will constitute a binding legal contract.  If you are unsure of your obligations under this Agreement, then you are advised to take independant legal advice before signing.  This Agreement is set out to comply with the requirements of the Provision of Services Regulations 2009 SI 2999

GRAY AND COMPANY provides a property management service to owners wishing to let out their property.  The fee for the letting and management service is taken as a percentage of the gross rents due for the period of the tenancy and includes:

1. Advising as to the likely rental income.
2. Advertising and generally marketing the Property.
3. Interviewing prospective tenants and taking up full references including bank reference or credit search, employer and previous landlord, character reference where available.  Where necessary, additional security would be requested by means of a guarantor.  In the case of a company, a full bank reference would be taken.
4. Preparing the Tenancy Agreement necessary for the Landlord to gain protection of the relevant Rent and Housing Acts.
5. Liaising with a Landlord's mortgagees where necessary with regard to references and Tenancy Agreement.
6. Taking a deposit from the tenant  dealing with this deposit under the requirements of the chosen deposit protection scheme until the end of the tenancy when the property and contents have been checked for unfair wear and tear and handling any termination issues with the tenant and the   tenancy deposit scheme provider.
7. Collecting the rent monthly and paying over to our Landlord monthly (normally sent within 15 days of collection), less any fees or expenses due or incurred for the period, together with a detailed rent statement.  Payments can be made by direct bank transfer.
8. Arranging with service companies (principally electricity and gas) for meter readings and advising them of the transfer of service contracts to the tenant at the beginning of each tenancy.
9. Preparation of an inventory and schedule of condition at the commencement of the tenancy.
10. Regular inspections of the Property are carried out on a quarterly basis.  Responsibility for and management of empty property is not normally included and will only be carried out by special arrangement.
11. Carrying out a property inspection and inventory check at the end of the tenancy and dealing with matters relating to unfair wear and tear before releasing the tenant's deposit.
12. Co-ordination of repair or maintenance including arranging for tradesmen to attend the Property and obtaining estimates where necessary, supervising works and settling accounts from rents received.

Additional items and other expenses will be charged according to the scale of fees defined below.

Although the aim is to take every care in managing the Property, GRAY AND COMPANY cannot accept responsibility for non-payment of rent or other default by tenants, or any associated legal costs incurred in their collection.

SCALE OF FEES

STANDARD COMBINED LETTING AND MANAGEMENT FEE: 50% of the first months rental plus 15%  of the monthly rental. 

Where the Landlord requires management in addition to the Letting Service, items 1-12 of the  Management Services as listed above are provided.

If a property were let at £500 per month the charge would be £390 for the first month then £90 per month all incl. VAT.  If the rent were higher or lower the fees would differ accordingly

LETTING ONLY SERVICE

Where the Landlord does not wish the Agent to undertake management, the Agent can provide a Letting Service.  The Letting Service includes only parts 1 to 6 of the Management Service as listed above.  The fee for the Letting Service is 12.5% of the gross rental for a six month term, subject to a minimum fee of £300 Including VAT.  If an inventory is required there will be a minimum charge of £120 Including VAT  (depending on size of property).
The fees are payable at the commencement of the Tenancy and will be deducted from monies received by the Agent on the Landlord's behalf.  If the tenant leaves prior to the end of the term of the Tenancy, the Landlord shall not be entitled to reimbursement of any fees paid.     

If a property were let at £500 per month our charge would be £450 incl. VAT.  If the rent were higher or lower the fees would differ accordingly

TENANCY RENEWAL ( Letting only service): £180 Including VAT includes re protecting deposit

Charges for preparation of tenancy agreements, inventories and schedules of condition are included within the management fee structure.

Inventory fee for non- managed property – this includes the check out ALL PRICES INCLUDE VAT

1 bed  £120
2 bed  £180
3 bed  £240
4 bed  £300

MEMBERS OF THE PROPERTY OMBUDSMAN SCHEME