Top 10 Tips for Landlords
- 1. Get a BER (Building Energy Rating) certificate as this is a legal requirement and necessary to avoid costly disputes during the tenancy. Cost for residential landlords should be €200 approximately and each certificate lasts for 10 years. We can suggest local assessors
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2. Sign an Engagement Letter if appointing a property agency. Every property agency in Ireland is required by law to provide an Engagement Letter to each client and to receive a signed copy back within 7 days of advertising that client's property. This law is enforced by the 'Property Services Regulatory Authority' which licenses every property agency in Ireland
- 3. Prepare an inventory which lists valuable items & their condition (e.g. unmarked, unstained, brand new etc). That inventory should be initialled by the tenant at the lease signing before they receive keys so that any damage above wear & tear to the items listed cannot be disputed at the end of the tenancy. Our advice (for multiple reasons) is to provide as few items as possible, only the legally required items. THIS IS IMPORTANT!
- 4. Understand impact of the rules & regulations which affect landlords – Residential Tenancies Act 2004, Amended 2015 which legislates for security of tenure for tenants and prescribes the restricted scenarios in which a landlord can give their tenant a valid notice to vacate the property
- 5. Reduce your tax liability by keeping receipts & writing off allowable expenses:
- Agent Fees for sourcing a suitable tenant & optional full management service
- Accountants fees for annual tax return
- Maintenance during tenancy and between tenancies but not maintenance before first letting
- Mortgage Interest
- Depreciation on fixtures & fittings (beds, furniture, kitchen, bathroom suites) 12.5% over 8 years
- Insurance fees (property & mortgage protection)
- Legal fees
- 6. Ensure you have the correct insurance (different to owner occupier policy)
- 7. Understand the clauses of the lease that will be used, especially those for security deposit
- 8. Register the tenancy with the RTB (residential tenancies board) after the lease is signed. 30 days allowed from lease commencement date before a late fee is applied
- 9. Ask a reputable property agent for their suggestions before viewings begin
- 10. Present the property professionally (fresh paint & cleaned)
