Fees and Terms For Landlords

We take pride in operating with transparency at all times. Please see below for our terms & conditions and fees for landlords

LETTING SERVICE
Our current Letting fee is 10.8% inc VAT of the rental income (with pro-rata refund) or 8.4% inc VAT (without pro-rata refund) for the term of the tenancy and extensions thereof. The fee is payable in full at the commencement of the tenancy and whenever the tenancy is extended thereafter. In case of the 10.8% inc VAT letting fee no refunds of the letting fee will be available for a tenancy terminated earlier than six months.

Finding a suitable tenant:
Energy Performance Certificates are a legal requirement and landlords are obligated to provide a copy to SKAMPI prior to advertising any property. SKAMPI can arrange for an EPC to be carried out at the cost of £114.00 inc VAT. Once the EPC has been provided to SKAMPI and we have received your instructions to act on your behalf we will actively market your property in order to secure professional tenants as quickly as possible.
We have an agency with www.zoopla.co.uk & www.primelocation.com, www.rightmove.co.uk, All Agents and Facebook. We also advertise on our own website www.skampi.co.uk. Local & national publications may also be used to market the property.

Vetting Procedures:
After interviewing potential tenants, we arrange for an investigation of their financial position. The investigation will check such matters as their employment details and affordability, bank status and credit history check, right to rent check and previous accommodation history.
We are agents of LANDLORD SECURE who provide a full vetting report, which will be available to you prior to the tenants moving in. If LANDLORD SECURE refuse a tenant we will take up our own references and provide you with details so that you may still consider the tenants. Once you have provided your written confirmation to proceed with the chosen tenants we will arrange for their signing of the tenancy agreement and their check in.

Tenancy agreement:
For private tenants we only use an Assured Shorthold Tenancy (A copy is available on request). We will provide you with the copies of this completed tenancy agreement.

Deposits:
We will collect a six week “dilapidations” deposit prior to commencement of the tenancy. This will be held by SKAMPI (Clients Account) as security for the tenant’s performance of his or her obligations. Tenancy Deposit Scheme insurance scheme will apply at a cost of £54.00 inc vat per annum to the landlord.

The Inventory and Check-in:
The inventory is an essential part of letting your property as it lists the contents of the property and their conditions for reference at the beginning and end of the tenancy. We employ the services of a clerk to check-in the tenants. We would recommend that you also employ the inventory clerk to prepare a professional inventory for our clerk to use on check in & out (Details and preparation costs on request)

Handing over the property:
We attend the check-in and ensure that all is in order before handing the keys to the tenants. Normally gas & electric meters are read at the beginning of the tenancy and the readings noted on the check-in report.

Utilities:
We will advise the tenants to inform all the utilities including the council tax office of their check in. The tenant will need to personally have the telephone connected.

Keys:
One set of entry keys is issued to each occupant named on the tenancy agreement.

Statement of account & payment:
We will provide you with a statement of account detailing fee deductions and initial rents received. Any amounts due to you will be sent to your bank. Details of which will need to be provided.

Rental Payments:
Rent is paid to landlords within 10 working days upon receipt of payment. This excludes bank holidays and weekends.

MANAGEMENT SERVICE
Our full current management fee is 15.6% inc VAT or 13.2% inc VAT of the gross rental income. The letting fee, as described, is deducted in advanced but the management fee element of 4.8% inc VAT is deducted monthly.

The Management service covers all the letting services mentioned in the last section and in addition we include the following.

Inspections:
Property inspections will be carried out quarterly and will be organised by SKAMPI. Dated photographs of the inspections will be e-mailed across to the landlord.

Rental arrears:
We will take steps to follow up any late payments and will keep the landlord informed at all times. SKAMPI will not be held liable for any rental arrears and will advise you should you need to appoint a solicitor.

Repairs:
We will periodically inspect the property and report to the landlord. Should it prove necessary to carry out repairs to the property or to the related household appliances, we will make any necessary arrangements on your behalf. We will always try to inform you in advance of any likely cost. If we are unable to contact you and consider the repairs essential, we will authorise the work to be undertaken so long as the sum involved is less than £400.00. If the cost is likely to exceed this amount, we will wait for your approval (except in extreme emergencies such as flood or fire etc). Copies of all repair bills will be forwarded to you with your monthly statement and costs will be deducted from your account.

Taxation:
If you are a UK resident then notifying the Inland Revenue and dealing with them over tax matters from rental income is your responsibility.
If, however, you are a non-UK resident, we are obliged to operate under the Inland Revenue’s Financial Intermediaries and Claims Office (FICO) scheme for UK Rental Income.

Landlords
Landlords can apply to FICO for approval to receive their rent with no Tax deducted. If FICO approves the application they will write to us telling us not to deduct tax.

Application forms to receive UK rental income with no tax deducted are available on request from SKAMPI or from FICO whose address and telephone numbers are shown below:

FISCO (Non-Residents), St.John’s House, Merton Road, Bootle, Merseyside, L69 9BB
Tel: 0151-472-6208/6209
Fax: 0151-472-6067

Termination of Tenancy
At the end of the tenancy we will:

  • Attend the check-out and carry out an inventory check if an inventory has been provided. We will also obtain the keys.
  • Advise the Gas Board, Electricity Board of the final meter readings and Council Tax office of the date the tenants left.
  • Following confirmation of your instructions, arrange for any work to be carried out to bring the property and its contents up to the required standard for re-letting.
  • Having ensured that all matters relating to the previous tenant have been concluded satisfactorily, we will return the deposit to the tenant, less any deductions as deemed necessary as agreed by both parties.

Termination of Lettings/ Management Agreement:
Landlords are given a 14 day termination period from the point of signing their chosen service agreement. Should the landlord choose to cancel the contract within the 14 day period SKAMPI will require this in writing in the form of a letter or an e-mail sent to info@skampi.co.uk. You will not be charged for this cancellation. However, if a tenant is secured by SKAMPI during the 14 day time frame by a tenant paying a £500.00 holding fee, the landlord will be liable to pay SKAMPI the full fee stated on their service agreement.

A LANDLORDS GUIDE TO CALCULATING FEES
Many Estate Agents have various fee structures which can be rather confusing. SKAMPI have taken the time to breakdown how each charge is calculated and applied to a landlord. This is a guide intended as a general overview to show how we charge our fees to landlords.

SKAMPI charge landlords a LET Fee upfront in advance at the beginning of each tenancy and at every renewal. Below you will find a breakdown of how our LET Fee is calculated:

LET FEE: Our Let Fee (%) is payable annually in advance and upon each renewal for each tenancy.

Example:

  • Let Fee 8.4% inc VAT
  • Rental £500 per week

£500pw x 52 weeks in a year ÷12 months in a year = £2166.66pcm
£2166.66pcm x 12 months in a year x 8.4% = £2183.99

Let Fee of £2183.99 is payable upfront and in advance for the term of each tenancy.

MANAGEMENT FEE: Our Management Fee (%) is payable upfront on a monthly basis throughout the term of the tenancy and during each renewal.

Example:

  • Management Fee 4.8% inc VAT
  • Rental £500 per week

£500pw x 52 weeks ÷12 months = £2166.66pcm
£2166.66 x 4.8% = £103.99

Management Fee of £103.99 is payable upfront on a monthly basis for the term of each tenancy.

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