I’ve just agreed to let my one bed flat to a single tenant for 3 months, while I go on a bucket-list trip. To my horror, I’ve just learned that a selective property licence applies in my area but I’m wondering if that would apply to a short-term letting such as mine…?
Any advice would be greatly appreciated. Thanks.
What makes you think that the tenant will leave after 3 months? If you need a licence and dont have one, you cant evict them either. If you apply for a licence you may be able to evict, but it depends what type of agreement youve given them and whether youve complied with all the other requirements. Even if you can evict, it will take about a year to achieve if theyve got nowhere to move on to.
Its a bad idea to let a property when you go away for a few months. Better to leave it empty. If the tenant hasnt yet moved in, I would suggest you tell them youve changed your mind.
your plan is risky as David says 3 months and he/she settles in, to be unsettled again… If he does not move out you will be the one looking for a rental. Have you done similar before?
if you think about who will pay council tax water, gas and electric? A license if you need it, eviction costs if it were to come to that. I bet that all that ,will be more than the rent you will gain… . I would be thinking on my way back home, has he gone?
Apply now for the licence. I’ve no idea about the exact rules for your council however with my licence it worked in a way that you didn’t need to apply until you had a tenant. Usually just a slightly painful form to complete. I assume you already have permission from your mortgage co if you have a mortgage.
My prospective tenant is a middle-aged woman, recently divorced and looking to purchase a property using her share of the proceeds the sale of her marital home nearby, along with her adult son (guarantor). Their references check out and she’s been in the same responsible job for decades. I really appreciate your justifiable concern, David and Colin, and your comments have spurred me on to request additional supporting evidence. In the end, though, it’s a case of ‘needs must’. But my thanks to you both.
On the subject of selective licences, I’ve managed to send my question to an email address (not easy to find!) for the Southwark Council agency responsible for this and hope to hear from them before the tenancy starts in a week’s time. In the meantime, as Lucinda advises, I’m in the process of filling in an atrocious form which makes a mockery of privacy concerns and I’m halfway through an online landlord accreditation course (one of about a dozen of Southwark’s stipulations).
But time is short and I’d appreciate any other helpful information, please, especially about whether licences are needed for short term lets - surely there must be a cut-off point otherwise you’d need one (@£900) for a one month let…! Thanks.
Needs must ,We are all different. My bucket list involved homes for my children so I never considered traveling and renting out the place I live in. I would be more worried about that as if I were away . If you can cope with the paperwork etc , good on you.
If you can get evidence that shes buying somewhere, then thats certainly a better position than someone who’s just renting long term. However, I would urge caution. I accepted an offer from my buyer 9 months ago, but various delays, including needing to start again with another lender has meant that we still don’t have a date for completion. Sales can also fall through. You should be prepared to find alternative accommodation when you return as however genuine she may be, unless she is able to willingly move out, you will be homeless.
Thanks David. Yes, I’ve made contingency plans but she does have the option of living with her daughter… If she chooses to. It’s a gamble on my part, I know.
So, I’ll try putting the question another way:
Is licensing required no matter how short the rental periods is?
Yes licensing is required, along with a right to rent check, gas certificate, EICR certificate, EPC, How to Rent booklet, smoke and CO alarms and possibly PAT tests on any appliances youre leaving. Any deposit has to be protected and you will need a decent Tenancy Agreement template.
Thanks for responding, David. The others are standard but why do you think licensing is required irrespective of how brief the letting period is?
you are in a licensing area. The L/A want to make money… I applied in my area 3 months later i paid first fee. (this was almost a year ago ) not final yet with inspection. I can say that they will not have fully sorted out your license until well after the tenant has left.
As Colin said the length of the tenancy is irrelevant to the licensing requirement.
I hear you, gents. Which leaves me wondering what other legal options someone in my position (or with even shorter lets) could resort to. Airbnb requires supervision so that’s not suitable. Are there agencies specialising in letting to itinerant professionals, I wonder; and would licensing still be needed in that case?
Im afraid there are not really any safe short term lets outside the Act for someone in your position. There are licences, such as:
- Holiday lets, but the person must genuinely be on holiday and youd normally leave all bedding towels etc.
- Serviced lets, where you offer in room cleaning and/or possibly other services such as breakfast.
- Lets to people whos main home is elsewhere, typically contract workers.
- Lets to people where you also live in the building
Each of these could be challenged in court and you could easily lose.
Once again, thank you David, for sharing your experience so willingly; greatly appreciated.
Hopeful news! Just received a reply from Southwark advising me to apply for a temporary exemption! I’ve done so and await their decision with fingers well and truly crossed…
I would bide my time, expect the lady to keep her word and if she needs an extra month just say of course and be nice. Then never do this again. Incidentally i dont think anything less than six months is legally a thing unless its under an out of season letting agreement, but im not a legaller
Good advice, Priory, and you’re probably right about the legal side as well. Thanks.