Landlord newsletter spring:summer 2011

40 1971 - 2011

LANDLORD NEWSLETTER - SPRING/SUMMER 2011

IHopeyou are well?

Since I last wrote to you, I have spoken to many of you over the last few months discussing the Lettings market and how it is faring. The good news is that almost all of you can expect to achieve higher rents than in 2010.

This year promises to be very exciting for Lurot Brand as we are celebrating our 40th Anniversary. Many of you have been our Clients since the beginning and we are truly thrilled in such a competitive marketplace to have come so far with your support. Interestingly ARLA (the Association of Residential Lettings Agents) is celebrating their milestone 30th Anniversary this year and Lurot Brand was among the first 30 or so members – there are now almost 6000 nationwide!

This newsletter is an opportunity for me to provide a synopsis of the Lettings market generally and how Lurot Brand is faring. From your feedback, I understand that these missives are enlightening because the extensive media coverage tends to be at least a month or two behind what is happening today.

Since a surprisingly busy December, I have concentrated on building

up our instructions in anticipation of this increased activity extending into the New Year. And how right I was!

We came back in to 2011 to properties receiving multiple offers and in several cases going to ‘best and final bids’ achieving higher than the asking prices – behaviour that we have not seen since the 2008 peak before the market slumped.

Last year we did see a reasonable recovery and now we hope to capitalise on this in a continued effort to achieve the highest possible rents from the best calibre Tenants available. As it stands today, we just cannot take on properties fast enough to meet demand from both private and corporate Tenants. The time taken to let a property that is vacant and priced sensibly has been reduced to just a couple of weeks in some cases, which is positive for you and your investments minimising any potential void periods! This meant that January and February saw a steady flow of applicants, in terms of the quantity of enquiries. Although these numbers were down on the last quarter of 2010, the quality of the applicants registering was far greater.

March has performed well in Lettings generally here in London. Every agent we have spoken to is clamouring for

more properties! There was some concern that the Royal Wedding and the increase in Stamp Duty - which have received plenty of UK media coverage – may have a detrimental effect on Lettings but thankfully this has not proven to be the case up to now.

With a growing demand for rental properties here in Central London, from UK and overseas, we can almost guarantee that Summer will continue to be busy and rents will most likely increase. Our negotiators will keep in regular contact with you regarding your ongoing Tenancies that are coming up for renewal and in the vast majority of cases will recommend rent increases where your Tenants do not have an option to renew. As always, if you would like to discuss this in further detail, please do not hesitate to contact me and if you have friends or acquaintances who may be looking to rent out their properties – mews or non-mews – then please do put them in touch with us. We have always known that recommendations by you are the best compliment you can give us. A big thank you to those of you who have introduced so many excellent new Landlords and properties thus far.

Lajla Turner, Lettings Manager

mid 20’s) and for carbon monoxide poisoning. No conclusive diagnosis was made so she was sent home with instructions not to be alone and to return if she felt unwell again.

The next morning we were surprised to see her in work. Although feeling better she said she still felt strange.

Later that morning we took a call from her landlord who told us that he had been called home, as there was a gas leak in the flat two floors below and the Fire Brigade needed access to break into the flat.

Why? Because it is colourless, odourless, tasteless, poisonous and so it can kill you without warning...

What can you do to avoid putting yourself or anyone else into such a potentially dangerous position?

• Ensure that your boiler and flue and all gas appliances are properly installed, maintained and ventilated.

• Adequate ventilation - make sure there is enough fresh air in the room containing your gas appliance. If you have a chimney or a flue, ensure it is not blocked up and also ensure that vents are not covered. Tenants often block vents installed in windows or on walls to prevent draughts.

We would also suggest that any court would not consider it sufficient to just write to your tenant and tell them not to shut or block the vent. In these circumstances we arrange for a ‘ black hole vent’ to be installed as it reduces the draught dramatically.

• Most reports we read are about boilers but CO can be produced in a chimney and if not cleaned regularly the poisonous fumes blow back into the room. So make sure chimneys are swept annually and that there is sufficient draw in the chimneystack (ie to pull the

fumes up and out). It is a clause *We later found out that CO quickly in our standard tenancy agree- leaves the blood and tests may be ment and you should ask the ten- inaccurate if taken more than four ant to provide evidence that it has hours after exposure has ceased been done.

It turned out that the flue from this flat ran up through the house passing through our colleague’s bedroom and although boxed in the fumes leaked out into her bedroom. It was Carbon monoxide suggested that she had not died be(CO) is produced by cause her bed was by an open window. Is the risk worth it? Of course incomplete burning it is not!

of carbon-based fuels,

including gas, oil, wood and coal so don’t assume the problem could only be caused by a faulty boiler.

Carbon Monoxide Detectors The Health & Safety Executive (HSE) strongly recommends the use of audible carbon monoxide (CO) alarms as a useful back-up precaution but they must not be regarded as a substitute for proper installation and maintenance of gas appliances by a Gas Safe Registered engineer.

In conclusion

A true story Low levels that do not kill can still cause serious damage to health. A member of our staff felt unwell and late in the day she was persuaded to go home* but in the car asked to be taken to hospital as she knew something was seriously wrong. At the hospital she was checked to see if she had suffered a stroke (she was in her

Lurot Brand is planning to provide Carbon Monoxide detectors in all their managed properties. If you already have them in your property we would suggest that you put a fresh battery in it and check it works before the start of each tenancy.

Anne Roche, Property Management

LEGAL All parents who are landlords

with children occupying their

property will understand.

Whether you are helping your

offspring become independent or you are helping them with

accommodation while they are at university you should read this:

Our little darlings (often much bigger than their parents) reach the point where they need a home of their own and we, being loving and considerate parents melt and say “OK, we can help”.

And we don’t like to be seen to be too mercenary so we provide accommodation at less than market rent (usually in response to the comment that “oh, surely you can’t want to make a profit out of your own flesh and blood” etc, etc). That generally means that your target yield just disappears. So what does the taxman have to say about this?

FA M I LY T E N A N T S

As you might expect – no matter whom your tenant, if you make a profit it goes on your tax return to be taxed.

If you make a loss on a tenancy where the tenant is an

unconnected person (not family etc) then you can offset this loss against your other rental income or carry the loss forward to be offset against future profits on your property portfolio. However where you make a loss and the tenant is a member of your family or any other “connected person” (defined at some length in the legislation), then the best you will get is to treat the tenancy on a “no profit no loss” basis. This means that the allowable expenses are deemed to be no more than the rent. Any excess of expenses over the rent are ignored and may not be offset against anything either in the year of loss or in future.

Maurice Patry, Managing Director

AN EXTRACT FROM THE HSE WEBSITE What are the symptoms of carbon monoxide poisoning?

Early symptoms of carbon monoxide (CO) poisoning can mimic many common ailments and may easily be confused with food poisoning, viral infections, flu or simple tiredness.

Symptoms to look out for include: - headaches - tiredness - breathlessness - nausea - dizziness - collapse - drowsiness - visual problems - vomiting - pains in the chest - stomach pains - erratic behaviour - loss of consciousnes How do I know if I am at risk from carbon monoxide?

• Yellow or orange rather than blue flames (apart from fuel effect fires or flueless appliances which display this colour flame) • Soot or yellow/brown staining around or on appliances • Pilot lights that frequently blow out

• Increased condensation inside windows What should I do if I think my appliance is spilling carbon monoxide?

• Switch off the appliance and do not reuse until remedial action has been taken • Shut off the gas supply at the meter control valve (if you know where it is). If gas continues to escape call National Grid on the Gas Emergency Freephone Number 0800 111 999 • Open all doors and windows to ventilate the room do not sleep in it • Visit your GP urgently and tell him/her that you believe your symptoms may be related to carbon monoxide poisoning and request either a blood and/or breath sample be taken.

Further advice and information • HSE Gas Safety Advice Line 0800 300 363 (Freephone service) • National Grid Gas Emergency Line (24 hours) 0800 111 999 (Freephone Service)

MEET OUR LETTINGS TEAM We are a professional and enthusiastic team that you can trust to deliver a high quality service, provide objective advice and to work hard to achieve the best possible results.

L A J L A T U R N E R

K E L LY H A W K R I D G E

ALEXLLOYD-SMITH

Lettings Manager MARLA

Negotiator MARLA

Negotiator

Email: lajla@lurotbrand.co.uk

Email: kelly@lurotbrand.co.uk

Email: alex@lurotbrand.co.uk

Phone: 020 7479 1992

Phone: 020 7479 1904

Phone: 020 7479 1995

IZABELLASOMOGYI

J U L I A B U C K L E Y

MELISSAHOLDRON

Negotiator MARLA

Negotiator

L e t t i n g s Te a m C o o r d i n a t o r

Email: izabellas@lurotbrand.co.uk

Email: julia@lurotbrand.co.uk

Email: mel@lurotbrand.co.uk

Phone: 020 7590 2520

Phone: 020 7479 1981

Phone: 020 7479 1999

40 1971 - 2011

Hyde Park 37 - 41 Sussex Place London W2 2TH T: 020 7479 1999

SOUTH KENSINGTON

MARYLEBONE

5 Kynance Place

57a Weymouth Street

T: 020 7590 9955

T: 020 7479 1900

London SW7 4QS

London W1G 8NW

A N N E R O C H E Property Management

@LurotBrand @LurotBrandSales @LurotBrandLets

Email: anne@lurotbrand.co.uk Phone: 020 7479 1913

www.lurotbrand.co.uk | lettings@lurotbrand.co.uk