Break Clause You can request a break clause in your lease. Typically, this is two months’ notice after four months, which would allow you to leave the property at six months. Be advised that this is not as attractive to a landlord when you’re negotiating.


Rather than being able to utilise the clause at any time and for any reason, internationals and corporates will often add in a business break clause instead. This will state that you can only serve notice if you are moving outside the London area (such as 50 miles away.)


It’s important to note that the landlord may also ask for a break clause if you request one. If you want to stay in the property long term, then it is worth negotiating a tenant-only option to break.


Deposit The standard deposit in London is six weeks’ rent. This will usually be increased to eight weeks should you have a pet. If you have an assured shorthold tenancy (AST), as most personal leases in London are, the deposit will need to be protected by the landlord in a deposit scheme within 30 days of receiving it. This will ensure that you get your deposit back if you meet the terms of your tenancy agreement, don’t damage the property and pay your rent and bills.


Offer Make sure that any items/terms that you need are put to the landlord as part of the offer process. Once an offer is agreed, it is very difficult to make changes/ask for additional items. You are in your best negotiating position if these are part of the original offer.


Stamp Duty Land Tax (SDLT) For longer term or higher value leases, you may be responsible for paying Stamp Duty. This would be if the Net Present Value of your lease exceeds £125,000, and is calculated as 1% of the amount that is over £125,000. It can be complicated to determine whether you are liable to pay and how much, so be advised to use a SDLT tax calculator to confirm.


Reservation Fee (Holding Deposit) When you’ve agreed an offer, your


agent will ask you to pay a reservation fee to take the property off of the market. It shows the landlord that you are committed to taking the property. It is equivalent to one or two weeks’ rent and is applied to any fees payable and towards the first months’ rent.


Note that any offer is subject to contract and either side may pull out should agreement not be reached or circumstances change. If the landlord pulls out, then the holding deposit will be returned. If however the applicant changes their mind or fails referencing, then this holding deposit may not be refundable (especially if costs have been incurred.) It is always best to clarify the terms and conditions under which you’re paying this amount.


Unfortunately, it is not mandatory for estate agents to be licensed in the UK. Make sure you’ve done your due diligence and confirmed that the agency you’re paying is a part of a licensing organisation such as ARLA Propertymark, and that your monies are protected.


Right to Rent Under legislation enacted in 2016, all tenants/occupants


need to prove that they have the right to rent in the UK. You do not have to have a work visa, you just have to be in the UK legally on the day that the tenancy begins.


If you are on a time limited visa, then the Right to Rent check must be done within 28 days of the start of the tenancy. If there is no time limit to your stay in the UK, then it can be done any time prior to the beginning of the tenancy. This check must be done in person with the original passport/visa.


It is worth noting that everyone on the tenancy agreement, aged 18 or over, needs to have the Right to Rent check done prior to the tenancy beginning. Keys will not be handed over until such time as these checks are completed. Right to Rent should be thought about and planned accordingly so that there are no surprises on the day you move in, especially if tenants/occupants are arriving on different days.


Insurance The landlord is responsible for insurance to cover the building and any contents of the house/flat that they may own. It is however in your best interests to obtain contents insurance


“Remember that it is in your best interests to enter into your tenancy with a good relationship with your landlord.” 18 FOCUS The Magazine July/August 2017 www.focus-info.org


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