Latest in LettingsIssue 14
Legislation and Regulation Reminders
This issue of Latest In Lettings is dedicated to forthcoming legislation and reminders on existing regulations.
1. Money Laundering Regulations
Title: Money Laundering Regulations 2007 No. 2157 which replaced those of 2003, effective 15 December 2007
Summary
Now that the payment of rent six months or longer in advance is quite common, letting agents need to pay attention to this subject and may need to register with H.M Revenue and Customs.
Now that the payment of rent six months or longer in advance is quite common, letting agents need to pay attention to this subject and may need to register with H.M Revenue and Customs.
HMRC have issued 'The Beginners Guide to Money Laundering Regulations 2007.'
www.hmvc.gov.uk/mlr/beginners.htm
2. Energy Performance Certificates - EPC's
Ideally prospective tenants should be given a copy of the EPC when contemplating a tenancy, but MUST be given a copy BEFORE the tenancy agreement is signed
EPCs must be prepared for each new letting that takes place on or after 1st October 2008.
3. Section 21
Remember that Section 21 Notices cannot be issued until after any deposit received has been registered. Notices issued before the deposit has been registered are not effective.
4. The Estate Agents (Redress Scheme) Order 2008 No. 1712 and The Estate Agents (Redress Scheme) (Penalty Charge) Regulations 2008 No. 1713.Effective 1st October 2008
The Redress Scheme Order requires estate agents to belong to an approved redress scheme that will deal with complaints related to the buying and selling of residential property.
The Penalty Charge Regulations prescribe the amount of the penalty charge that may be imposed by a local trading standards officer on an estate agent who does not belong to an approved redress scheme - the amount has been set at £1,000.
In addition, section 3 (1) (ca) makes a breach of the duty to delay to an approved scheme a trigger event enabling the OFT to consider the fitness of an estate agent to practice estate agency work. It is intended that complaints will include those related to the actions of estate agents in relation to HIPs.