Since May the London rental market has been staging a strong recovery since the doldrums of the previous 12-18 months. Demand has been up month on month and this has generally seen a gradual lift in rental values in many areas.

August continued in this vain and, for many, has been a record breaking month for lettings business. We had our best month ever as a company in August, smashing our previous best by almost 15%, and all revenues came from Letting & Property Management and the related services we offer.

The problem, however, with excellent months is that it decimates your stock levels. Since launching back in 2004 we have always been able to boast a strong portfolio for a small independent agency averaging 75-100 available lettings listings at any one time. But where has our record month left us- we are currently advertising just 25 properties….just 25-33% of our usual stock levels.

I know we are not the only ones. Speaking to many agents across East London, the increasingly busy last 4 months have continued to reduce general stock volume.

So what does this mean for Tenants and Landlords alike?

Well for Landlords this is great news! Limited stock means short marketing times, maximum rents and (usually) the ability to pick the Tenants you want rather than having to take whatever is on offer. If your flat is currently on the market and available during September get a good agent on board and enjoy the rewards. If you are lucky enough to own a 3+ bedroom property then you are currently sitting on a gold mine with enquiry levels currently standing at AT LEAST 10 parties for each property.

For Tenants, this can be really frustrating. Viewings are hard to arrange, agents are so busy they rarely call you back (sorry we are not ignoring you we are just busy out on the road) and flats go faster than Gucci handbags in a 90% discount sale. The only advice I can give you is this- act fast! See properties as soon as possible after they come to the market. Make sure everyone that needs to see the property to make a decision does- if one of you goes and it is a nice flat I almost guarantee it will be gone by the time the others get down there to see it. If you like a flat, and don’t want to risk losing it, don’t offer- pay full asking price, pay a deposit and be confident that this will (usually) secure you the property…….although don’t blame me if you end up in an increased price bidding war if it is something spectacular.

So, you have an issue with a Tenant and want to find a quick and amicable solution. However, you are also worried that this won’t be possible and the matter will end up in court costing far more money. How do you go about making offers or proposals that cannot influence the judge should the matter go to court?

Simple; two words- ‘without prejudice’.

Let’s take an example- A Tenant has called you and advised that the bed is broken and needs replacing. You know that, whilst the bed was a few years old, it was in good sound condition and should not have broken through ordinary wear and tear. You want to resolve this quickly and would therefore like to propose you split the cost 50/50 HOWEVER this is only an offer you are prepared to make on the basis this is agreed now. Otherwise you want the full price paid by the Tenant.

This can be simply addressed. When writing to your Tenants, or indeed any correspondence that may have legal implications with regards to a judge and a small claims court, you can have two types of communication.

The first is the official response. This is any form of document (print or digital) that can be provided as evidence in court (if necessary) to support a sides claim. These should be carefully worded and should be very clear about liability/responsibility of the matter in question.

The second is ‘without prejudice’. As long as any offer you make is made ‘without prejudice’ and is in a separate document this can never be shown to a judge as evidence. This is a confidential communication providing that you have kept this correspondence/offer confidential since issuing it! This can also work against the Tenant- should a Judge decide that each party should, indeed, bear the costs 50/50 and you can provide a copy of your offer to this effect the Landlord may penalise the Tenant with a Costs Order as this could have been resolved out of court and saved everyone time and money. ‘Without Prejudice’ can only be used in a genuine dispute and must be a genuine attempt to resolve an issue.

In a world where Tenants are so well protected, it is good to know both as an Agent and a Landlord, that 2 simple words and some careful filing can offer you strong protection is dispute resolution with unreasonable Tenants.

With relatively pointless, rushed and scare-mongering legislation over the last 2-3 years there has been a distinct decline in 4+ bedroom properties hitting the low-middle income London lettings market.

Has there been a decline in demand? Quite the opposite! Every year we have more and more groups register on our books desperately searching for that elusive larger rental property.

The outcome? Tenants in the area of the market are usually left with 3 options- split up in to smaller groups renting other properties, take a property they don’t really like or in an area they don’t really want or pay a premium.

Those last three words should have got the attention of every Landlord in this sector- pay a premium you say?

This, of course, is not guaranteed. Area and condition/presentation of the property is a factor. However, if the property is marketed at the right time (Aug/Sept) and is marketed in the right way (sorry, can’t give away ALL my secrets) then you should be getting an absolute premium for your property every time!

The simple fact remains, when demand outstrips supply (which it does every year for this sector) then there is money to be made. If you are no happy with the rent you are currently getting on your property then you simply aren’t using the right agent!

As an independent company, I constantly re-iterate to my staff that if a Landlord loses 10%- so do we! This can’t always be avoided but, in this property sector, you should get a premium time and time again.

If you are not happy with the rent you are getting- shop around. If you don’t know who to call, call me- we have people already queuing round the block for 4+ rentals.

It always surprises me to talk to a Landlord that has had several lets successfully completed by us and hear them say ‘I have had my property on the market with Agent X for a month now with no joy’.

Why didn’t you call us?????

Despite the best of efforts, it can be difficult to stay in verbal contact with all your clients every month. No matter how hard you try, particularly in busy months, allocating the time to call them up can simply be impossible.

We, like many agents,  make every effort to stay in contact electronically with emails, newsletters and a host of social networking sites but, whilst these bear some fruits, the reality is verbal communication is king. Everyone likes to hear a voice at the end of the phone and to feel special and valued.

Landlords- not getting regular calls from your agent is not a failing but often down to just simple logistics, especially when dealing with a smaller independent agent and not some vast corporate behemoth. If an agent works well for you remember to stay in contact with them- ultimately it is in your best interest.

Yes, we are the ones you pay fees to and therefore make money from you but if your flat sits empty, or rents for less than it should or you get bad Tenants, then you are the one that suffers as a result. Why risk any of this on an agent you don’t know or, worse still, that has performed badly for you in the past?

If you have a good agent- remember them! Keep their details on your phone, in your  filofax, in Outlook- wherever it is you go when you need to contact someone about your property. This also means they are to hand if any friends or contacts ask if you can recommend a good agent- at the very least the agent will appreciate this immensely but can sometimes mean extra benefits!!

Every agent loves this time of year- yes it can get a bit hot for rushing around, but there is no better time of year to show a property than during (good) summer months.

With natural light a problem in so many properties in London, particularly many of the new builds in close proximity to one another and with smaller windows, this is a great opportunity to show ‘bright spaces’. Light fills most properties at this time of year and late in to the popular evening viewings ensuring every inch of the property can be clearly seen.

Of course there is a downside to this- if your property is looking tired and worn or dirty or you have grimy windows there is no longer any hiding place.

Summer, at least for Lettings, has long been the busiest time of the year. Due to the high level of demand from students, graduates and professionals alike and the weather, it can be an excellent time to let out your property and maximise your rent return.

Just make sure YOU are making the most of this period. It is absolutely vital at this time of year that properties are, where possible, shown clean and tidy. Make sure any minor maintenance issues are dealt with prior to marketing and that items like windows are given a good clean in & out. Clean, bright windows make an excellent impact on any viewer- grimy ones can leave a property looking dull and an applicant deeply uninspired.

Of course, you have to gauge this along with your tenants- if they are messy and dirty then these works may be money wasted whilst they are still living there. With good tenants this often spurs them to make an extra effort in presenting the property during the last couple of months s they see you are investing in preparing and presenting it.

Don’t miss out- whether you take the task to hand yourself, hire professionals or have your lettings/managing agent sort it for you this can be money well worth spending!

If you are renting out a property, and particularly if the plan is to do this over an extended period of time, there are several points of upkeep well worth considering:

Boiler & Heating- as well as the mandatory annual Gas safety certificate it is well worth having this serviced on a regular basis. Some do it annually but you should definitely consider it at least once every 2-3 years.

Plumbing, Drains & Gutters- If you have a house it is recommended that at least once a year (particularly if near any trees) you have all gutters and external drains cleared of all debris. For internal plumbing, it is becoming more commonplace in blocks of flats that Leaseholders are required to have an annual plumbing inspection. This is no bad thing and can help avoid major leaks and damage to multiple properties. It is also worth flushing all drains and toilets with some sort of drain cleaner after each tenancy to help avoid the build up of grease and waste in the pipes (however do follow instructions and DO NOT leave a caustic cleaner sitting in plastic pipes for weeks- you will return to a nightmare!!).

Mastik & Sealants- inspect these annually if you can. If in doubt (or looking mouldy) re-do them now! This is cheap to do, keeps bathrooms & kitchens looking fresh and neat and helps avoid minor leaks.

Garden- Despite Tenants best intentions, it is incredibly rare that these are maintained properly. It is well worth having a gardener attend the property at least once (preferably twice though) and give everything the once over ensuring weeds are removed and plants/trees pruned effectively.

Carpets- The cleanliness of carpets on return of a property is a cause for numerous disputes. Nip this in the bud! Have all carpets and soft furnishings professionally steam cleaned before your first tenancy and require in the contract that all tenants do this at the end of theirs and provide a receipt as proof. This way your tenants get theirs in nice clean condition and you know you will get it back that way.

Painting- you should be prepared to have at the very least the walls (if not ceilings and woodwork too) re-painted every 3-5 years. Whoever you use (or if you do it yourself) make sure you use good quality paint. It looks better and is far more durable.

Consumables- if you provide, bedding, linen, pots, pans, etc be prepared to replace these on almost a tenancy by tenancy basis. Where possible we recommend you do not offer this from the start- you can always provide it if requested.

This list should help you keep your property in tip-top condition helping you get maximum rent with minimum voids. Being proactive will also help avoid costly maintenance issues and possible insurance claims and damage liability.