Practical Landlord Compliance For May 1 Changes: täielik transkriptsioon

time, and it's free, a free app, as I understand, is very much worthwhile. 00:02:03.359 --> 00:02:06.239 And then you can also send it via email. 00:02:07.200 --> 00:02:11.039 They have said text message as well, but it depends what your tenancy agreement says. 00:02:11.280 --> 00:02:18.719 So if your tenancy agreement says that you can serve notices via email, then I'd say you're all good to go and do it via email. 00:02:18.879 --> 00:02:24.800 If you haven't got that clause in there, then I would cover yourself and do it by post or hand delivery. 00:02:24.879 --> 00:02:28.479 And to kind of just go along with what your tenancy agreement says there. 00:02:28.639 --> 00:02:35.360 They do say you can serve it by text message and WhatsApp, but I prefer a little bit more formal in that respect. 00:02:35.520 --> 00:02:44.319 So I think I think with this one, like when you're issuing notices, if you do it in multiple directions, that's a way of wording it, send it by email. 00:02:44.400 --> 00:02:50.960 But if you want to deliver it and it's not too out of your way, deliver it and post it through the letterbox and get date stamped photos of it. 00:02:51.120 --> 00:02:59.840 So you've done because, like, for example, if I'm going to court and issuing notices, I will send it by email electronically, but I will also deliver it by hand and have date stamped photos of my delivery. 00:02:59.919 --> 00:03:02.319 So again, proving you've done what you've done. 00:03:02.800 --> 00:03:17.520 If you have an active possession claim going through, so if you've served as section 21 or plan to do so before the 30th, or you've got a section eight claim going through, don't serve that guidance yet. 00:03:17.919 --> 00:03:18.479 It's really important. 00:03:19.120 --> 00:03:19.919 Really important. 00:03:20.319 --> 00:03:25.680 Your contract at the moment is staying as an AST because you're going through a possession claim. 00:03:25.919 --> 00:03:31.840 In the event that you're not successful, then you have a month from that decision date to serve that notice. 00:03:31.919 --> 00:03:35.280 So don't serve it if you've got an active claim going through. 00:03:35.360 --> 00:03:38.879 And that's the guidance from National Residential Landlaws Association. 00:03:39.360 --> 00:03:52.719 And then any tenancies that are starting on the 1st of May or onwards, you need to have an APT, so an assured periodic tenancy agreement, as opposed to what you've probably got at the moment, which is an AST. 00:03:52.960 --> 00:03:56.960 So there are certain wordings and things that you need to make sure are included. 00:03:57.039 --> 00:03:59.439 So I wouldn't recommend trying to write your own. 00:03:59.680 --> 00:04:06.960 I'd go go through the National Residential Landlords Association or a Letting Agency and make sure you're covered in that respect. 00:04:07.199 --> 00:04:11.680 But if you've got an agent management your tenancies, do dig into them and make sure they're doing these things. 00:04:11.759 --> 00:04:15.199 How are they informing their tenants with regards to this documentation? 00:04:15.280 --> 00:04:18.480 And also are they updating their tenancy agreements as well? 00:04:18.639 --> 00:04:26.560 And also making sure that if you you have got a live claim at the moment that they're not being issued this particular new legislation booklet as well. 00:04:26.879 --> 00:04:38.160 Yeah, I mean, in terms of the guidance, as I understand it, if you have got a managing agent, they serve the guidance and you don't have to serve it yourself. 00:04:38.319 --> 00:04:41.759 If you're obviously managing yourself, then you need to serve it yourself. 00:04:42.079 --> 00:04:44.959 But obviously, the liability would still lie with you. 00:04:45.040 --> 00:04:48.000 So make sure your agent has served it if you are using an agent. 00:04:48.319 --> 00:04:49.199 That's for proof. 00:04:50.160 --> 00:05:05.279 And then in terms of the getting back possession, so if you've got a problem tenant at the moment or someone that you're not sure whether you want to continue, you can still issue a section um 21 notice up until the 30th of April. 00:05:05.600 --> 00:05:07.279 So running out of time. 00:05:07.360 --> 00:05:11.839 So if you've hopefully you've made that decision, if you're getting rid of somebody that you've already done that. 00:05:12.079 --> 00:05:14.800 Bear in mind as well, section eight notice. 00:05:14.959 --> 00:05:19.759 We're still using the current or the old style ones. 00:05:19.920 --> 00:05:30.000 So if you're serve notice to someone in arrears, the notice period applies at the moment that you need to give two weeks' notice and then they need to be in two months' arrears. 00:05:30.079 --> 00:05:36.639 From the 1st of May, that's increasing to four weeks' notice and they need to be in three months' arrears. 00:05:36.720 --> 00:05:43.279 So if you've got a tenant that's in arrears now, again, I would make sure you're serving that section eight before the first of May. 00:05:43.600 --> 00:05:46.480 Sorry, I'm shaking my head because I just think it's bloody farcical. 00:05:46.639 --> 00:05:53.839 Sorry, pardon my French, but the fact that you're going to let your tenants get into more blimming arrears and the notice is longer, I just think it's farcical. 00:05:54.079 --> 00:05:54.879 But there we go. 00:05:55.199 --> 00:05:56.319 My opinion. 00:05:57.519 --> 00:06:03.839 In terms of antisocial behaviour, I believe that that at the moment, I believe you have to serve one week or two weeks' notice. 00:06:03.920 --> 00:06:07.120 I can't remember off the top of my head, but that's been reduced to you can go straight away. 00:06:07.279 --> 00:06:10.639 So no urgency if it's an antisocial behaviour. 00:06:11.040 --> 00:06:18.160 As far as the proofs of that, and is that classed as a mandatory or is that a discretionary term as far as the antisocial behaviour? 00:06:18.240 --> 00:06:22.959 And as long as you as long as you've

got a police report of some sort, is that going to be classed as then a mandatory or not? 00:06:23.439 --> 00:06:29.279 So mandatory term for antisocial behaviour is if they've got a criminal conviction. 00:06:30.480 --> 00:06:36.399 So the likelihood if they've got a criminal conviction, you've had that problem for quite a while. 00:06:37.199 --> 00:06:48.319 If it's more kind of they're a bit abusive to you, they're kind of being difficult, they're not getting on with other tenants, or the neighbours have complained, that's going to be a discretionary ground. 00:06:48.399 --> 00:06:52.399 So it's all about your evidence and your proof. 00:06:52.959 --> 00:07:00.879 I can't advise how it goes because, in all honesty, if we've had an issue like this in the past, it's just a section 21. 00:07:01.360 --> 00:07:05.680 So yeah, your your record keeping is going to be really, really, really important. 00:07:06.079 --> 00:07:09.439 So yeah, familiarise yourself with the grounds. 00:07:09.519 --> 00:07:20.800 Obviously, if you're looking to maybe, I'm guessing you guys aren't looking to sell because you're investors and looking to crow, but if you're looking to sell further down the line, familiarise yourself with those grounds and what you may need to do. 00:07:20.879 --> 00:07:23.120 So just kind of have it in your plan. 00:07:24.399 --> 00:07:26.800 And rent guarantee and legal protection. 00:07:26.879 --> 00:07:31.600 I say it, I think every time we have this little session, but consider that, look into that. 00:07:31.839 --> 00:07:35.839 Really, I think it's a relatively low cost for what it offers. 00:07:36.000 --> 00:07:37.360 There's different providers. 00:07:37.519 --> 00:07:40.560 As a Letting agent, we can offer it to our fully managed landlords. 00:07:40.800 --> 00:07:44.800 I'm sure there's direct policies that landlords can kind of take out. 00:07:44.879 --> 00:07:51.199 But that basically covers all of the court cost and also the rent that's missing if the tenants aren't paying. 00:07:51.279 --> 00:07:52.800 So consider that now. 00:07:53.360 --> 00:08:00.879 We haven't seen any massive price increases, but I just think the next six months, I guess it's how it goes. 00:08:03.360 --> 00:08:13.600 I mean, there's other providers, I will say this now, but um, we use letter Lliance as far as the rent guarantee insurance and legal cover, but we've had a couple of claims where they've acted and resolved it. 00:08:13.680 --> 00:08:20.399 And there's been one claim, I think it was they went to court and we had the legal assistance was there without the landlord having to be there. 00:08:20.480 --> 00:08:22.319 In addition to that, we had to get bailiffs as well. 00:08:22.399 --> 00:08:30.319 There was a whole array of different things, and it was all covered by the cover, which for ourselves we charge 3% plus that of the monthly rent. 00:08:30.560 --> 00:08:37.200 And when you've got a property that you're getting£12,£13,£14,£1,500 a month for,

that may be£40 a month. 00:08:37.440 --> 00:08:45.279 But when all of a sudden that tenant hasn't paid their rent or you need to evict them, all of a sudden you've got five, six months worth of£1,500. 00:08:45.600 --> 00:08:47.600 That's an awful lot more than what it's cost you on the cover. 00:08:47.759 --> 00:08:53.679 There's no obligation on anything of it, but it may be something to one would assume a tax deductible as well. 00:08:53.759 --> 00:08:58.639 So if it's something you want to bet yourself um bulletproof as much as you possibly can do, at least anyway. 00:08:59.200 --> 00:09:14.639 Yeah, and then the I just review your process for record keeping because a lot of these, I mean, in terms of the arrears going to the possession ground based on rent arrears, it's kind of straightforward because you've got their rental statement, you know, it's clear cut, they've either paid or they haven't paid. 00:09:15.039 --> 00:09:23.120 If it's some of the other grounds, so antisocial behaviour or there's grounds for deterioration of property where they're not looking after the property. 00:09:23.360 --> 00:09:27.039 I think historically most people would have just issued a section 21. 00:09:27.200 --> 00:09:29.519 In those instances, you're going to need lots and lots of proof. 00:09:29.679 --> 00:09:36.320 So make sure you're having your inventories done before they move in, make sure you're doing regular inspections, calling them out on it. 00:09:36.399 --> 00:09:44.720 If you're going in and the inspection is not satisfactory, you need to show that you're speaking to them, communicating with them, trying to get things resorted. 00:09:44.960 --> 00:09:48.879 Again, it's time will tell on how things will go through court. 00:09:49.200 --> 00:09:52.159 Well, any of these observations is quite critical as well. 00:09:52.320 --> 00:10:02.320 Because in some cases, it may well be you see some landlords that have become accidental landlords that have inherited a parents' or a grandparent's house or whatever it may well be, and they've got an emotional tag to a property. 00:10:02.399 --> 00:10:03.519 I see this quite often. 00:10:03.679 --> 00:10:08.559 And the fact of, oh, I used to live there, or my grandma used to live there, and they're not looking after this, not looking after that. 00:10:08.799 --> 00:10:20.559 What I'll say to you is now this you are running a business, and the fact of take any emotions out of it, just any any claims you make or any communication you have, sorry, is factual. 00:10:20.799 --> 00:10:35.519 State the facts, and if you've got any tools in your toolkit of legislation that you can throw at them in a contract that you've actually they've actually signed, this is what you're in breach of, this is the term, and it's all facts, nothing can then be argued with on the fact of what a current situation is. 00:10:35.679 --> 00:10:39.679 In addition to that, we mean we outsource our periodic visits, we outsource our inventories. 00:10:39.759 --> 00:10:45.360 You've also got an independent party that may well not be construed as biased in what their findings are as well. 00:10:45.440 --> 00:10:48.480 So that may be another avenue you may wish to look down as well, independent company. 00:10:48.720 --> 00:10:55.679 And also the time it takes to do inventories and periodics, when you tie tally up what the cost of that is in comparison to outsourcing it. 00:10:56.480 --> 00:11:03.360 They're very comparable, and it means that you can use them when you need to use them, and another member of staff can be then using their expertise on something else instead. 00:11:03.679 --> 00:11:05.679 But I think it's also about communication as well. 00:11:05.840 --> 00:11:14.639 So if you can you don't legally, if you can get that tenant to agree their surrender of their tenancy, you don't have to go through the court process. 00:11:14.879 --> 00:11:19.679 So we had an instance recently where we'd got a tenant that was quite abusive. 00:11:19.840 --> 00:11:23.840 He'd been a little bit abusive on the phone and a bit kind of hard to deal with. 00:11:24.000 --> 00:11:33.120 That kind of we had an instant overnight where we called at 11 o'clock at night and spoke to our out-of-hours team, got very abusive, racist. 00:11:33.600 --> 00:11:34.879 They had a recording of that. 00:11:34.960 --> 00:11:36.159 So we had the recording. 00:11:36.399 --> 00:11:44.080 He also, as part of that call, said that as nobody was going to go and let him in at 11 o'clock at night, he was going to kick the door down. 00:11:44.159 --> 00:11:46.399 So we found that the door was, in fact, damaged. 00:11:46.480 --> 00:11:48.960 So he'd admitted basically doing that on the reformed. 00:11:49.440 --> 00:11:50.480 Obviously, there was damage. 00:11:50.559 --> 00:11:55.360 So we had that conversation with him and said, served him a section eight notice at the time. 00:11:55.600 --> 00:12:00.000 Had that conversation with him and he kind of surrendered his tenancy, agreed it wasn't right. 00:12:00.159 --> 00:12:05.120 So it's still that that kind of informal kind of having that conversation with people. 00:12:05.279 --> 00:12:09.600 And he was obviously quite embarrassed about his behaviour after a few drinks. 00:12:09.759 --> 00:12:12.399 So that was kind of an easy way of dealing with it. 00:12:12.480 --> 00:12:15.759 If he wasn't in agreement, then we would have had to go down the broad. 00:12:16.559 --> 00:12:21.200 A key fact for you as all as uh all landlords is possession is power. 00:12:21.440 --> 00:12:22.639 That is the power. 00:12:22.879 --> 00:12:31.279 Anything and everything you're trying to do, even if you have to take hits here and there to get back possession of your property, do it. 00:12:31.519 --> 00:12:38.799 Because once that tenant has vacated, handed over their keys, signed a piece of paper to say that they have left and it was their decision, they haven't been for. 00:12:39.039 -->

00:12:40.480 Because that's another thing to consider. 00:12:40.799 --> 00:12:53.600 A tenant could come back and bite you in the butt and say to them, Well, I was forced to I was forcefully evicted, unless you've got a document that states that as a tenant I have willingly vacated this property as requested by our landlord. 00:12:53.759 --> 00:13:09.600 So that's another thing to consider, another document that just basically covers your back if a tenant vacates in any of these circumstances isn't due to court, all these different things that you get them to sign a document that says yes, I willingly vacated, or an email from them that says that I'm happy to vacate, something that documents it. 00:13:09.679 --> 00:13:11.840 So you cover your back on that, an audit trail of it. 00:13:13.039 --> 00:13:16.320 And then the next thing is rents increases. 00:13:16.480 --> 00:13:20.879 So you can only increase the rent by a section 13 notice. 00:13:21.120 --> 00:13:24.720 So make sure you're familiar with what you need to do for that. 00:13:24.960 --> 00:13:30.480 If not, if you're not familiar or you're not sure what to do, then it might be worth speaking with a letting agent on that one. 00:13:30.720 --> 00:13:32.320 You need to give two months notice. 00:13:32.399 --> 00:13:37.279 So just make sure you're documenting or you've got on your calendar when you can next increase the rent. 00:13:37.360 --> 00:13:39.200 And it's once per year. 00:13:39.840 --> 00:13:43.519 I now understand the buttons tenant in the property. 00:13:43.679 --> 00:13:47.679 If it's a new tenant going to the property, you can still increase it as far as a new tenant is concerned. 00:13:48.080 --> 00:13:53.519 However, if it's a renewal of a current tenant in the property, then you need to um issue a section 13. 00:13:53.759 --> 00:14:02.639 But I do understand that I've read recently, I don't, I believe this is a new introduction, that they're now going to be charging tenants if they wish to dispute it at the tribunal stage. 00:14:02.799 --> 00:14:04.799 So I believe it's a charge of£47. 00:14:05.360 --> 00:14:05.519 Oh. 00:14:06.240 --> 00:14:07.519 Which is still relatively low. 00:14:09.519 --> 00:14:16.799 I thought you were going to go something like£300, like£47, but I think to some tenants that's probably quite a lot of money. 00:14:16.960 --> 00:14:26.960 And I think it goes to show that doing those smaller increases every year is going to be better than doing a bigger increase after five years, four or five years. 00:14:27.279 --> 00:14:28.320 Oh, they're great tenants. 00:14:28.399 --> 00:14:29.039 Oh, they're lovely. 00:14:29.200 --> 00:14:30.000 Oh, we look up. 00:14:30.080 --> 00:14:30.320 No. 00:14:30.720 --> 00:14:32.799 Get that rent up to market rent. 00:14:33.200 --> 00:14:39.360 Do them some benefit of increasing it to, I don't know, within 10% of what everyone else is paying, but do it. 00:14:39.600 --> 00:14:46.639 You're running a business and it means that you've got more chance of evicting them if need be, or they can move elsewhere because they're used to what the rents should be. 00:14:46.720 --> 00:14:49.279 And also better in your pocket than yeah. 00:14:50.000 --> 00:14:57.679 Um and then if you've so going forward from the 1st of May, you're not allowed to take any rent in advance other than one month. 00:14:57.840 --> 00:15:05.919 So if you've got a tenancy at the moment that's paying quarterly, you'll no longer be able to demand that rent. 00:15:07.120 --> 00:15:09.039 You've just said there is demand as well, isn't it? 00:15:09.360 --> 00:15:12.960 So you're sending out that guidance information which will explain that to the tenants. 00:15:13.039 --> 00:15:17.360 So if they suddenly want to switch to monthly, then they are they can do that. 00:15:17.600 --> 00:15:23.679 If you've taken like a year up front already and you already have that money, you don't have to refund it. 00:15:23.919 --> 00:15:28.559 But going forward, you won't be able to take money in advance, larger sums in advance. 00:15:28.879 --> 00:15:29.679 I'm a tenant. 00:15:29.919 --> 00:15:35.919 My mum and dad, bank and mum and dad, have given me a chunk of money to pay for my accommodation for the year and they want me to pay it up front. 00:15:36.159 --> 00:15:37.679 Can I still do that? 00:15:38.320 --> 00:15:46.960 You can you can still take the money up front, but in your tenancy agreement, you'll only be asking for one month's rent in advance. 00:15:47.039 --> 00:15:51.919 So if they wish to pay it ahead, they can do, I'd be very wary of maybe holding that. 00:15:52.080 --> 00:15:54.720 Like as a letting agent, we wouldn't pay that out to the landlord. 00:15:54.799 --> 00:15:58.559 We would keep that aside because technically it's not due. 00:15:59.200 --> 00:16:06.559 If you're a landlord taking it yourself, then I'd be very careful about you know, you might have to pay that back if they decide to leave. 00:16:06.960 --> 00:16:10.559 Because the lot of that pay could be in there for two months and a day. 00:16:10.799 --> 00:16:13.600 That's the key factor with the new legislation that's changing. 00:16:14.399 --> 00:16:14.639 Yeah. 00:16:14.879 --> 00:16:19.440 So and then so that covers like the rent controls and rent increases. 00:16:20.000 --> 00:16:24.000 If you've got acceptance of pets and discrimination. 00:16:24.799 --> 00:16:38.399 So I would make sure that in terms of discrimination, you've got an affordability criteria and you're making sure that any applicant that's applying for your properties going forward has that affordability criteria and is clear on it. 00:16:38.639 --> 00:16:49.519 That same affordability criteria needs to apply to everyone, whether they're on benefits, whether they're working, whether they're a student, they need to meet with that criteria. 00:16:50.080 --> 00:17:04.079 So you don't have to necessarily accept universal credit tenants if they're not meeting with that

affordability criteria, as long as you're not setting them something different to how you treat anybody else applying for your property. 00:17:05.039 --> 00:17:14.960 You can include it in your advertising and make sure that tenants are aware of it before they kind of commit to any like holding paid and nightly holding deposit. 00:17:15.440 --> 00:17:16.880 Holding fee is not refundable. 00:17:16.960 --> 00:17:19.759 So our example of what we do at any household. 00:17:19.839 --> 00:17:26.079 So for example, if a couple wants to take a property, their joint income has to be two and a half times the annual rent. 00:17:26.160 --> 00:17:31.839 Now I see different cities and around the country that may have different to this, but two and a half times the annual rent. 00:17:32.799 --> 00:17:39.759 And then as far as so, for example, if it's£10,000 rent, they need to have£25,000 worth of joint income between the two of them. 00:17:39.839 --> 00:17:41.920 And that's the key thing, it's a household income. 00:17:42.160 --> 00:17:45.200 With regards to if they don't meet that, we need a guarantor. 00:17:45.359 --> 00:17:47.839 The guarantor needs to have three times the annual income. 00:17:47.920 --> 00:17:54.000 And when they need to obviously do those proofs that you need to have done on those, as well as all the right to rent checks and all the other things that you have to do as well. 00:17:54.319 --> 00:17:56.240 And that that's kind of our standard. 00:17:57.039 --> 00:18:00.000 You can set whatever affordability criteria you want. 00:18:00.319 --> 00:18:04.160 If you want to set it, they have to be earning five times the rent, you can do that. 00:18:04.240 --> 00:18:09.200 You might not get many people applying, but as long as you're that same criteria is for everybody. 00:18:10.000 --> 00:18:15.440 In terms of pets, you have to consider a tenant's request for a pet. 00:18:15.839 --> 00:18:18.160 Doesn't necessarily mean you have to accept it. 00:18:18.400 --> 00:18:25.279 So you need to have a process in place for if you get a tenant asking you, you know, what questions, what do you need to know? 00:18:25.359 --> 00:18:41.920 So make sure you've got, we'll be having like an application form where tenants need to say what breed of pet it is, what type of pet it is, how long they've had it, what age it is, what are the arrangements during the day when they're out away from the property, things like that. 00:18:42.000 --> 00:18:44.000 So you can make a fully informed decision. 00:18:44.079 --> 00:18:50.000 But you need to have that process of what a tenant needs to do if they want to apply to have a pet in the property. 00:18:50.240 --> 00:18:52.480 So if you're saying no, you've got to justify it. 00:18:52.720 --> 00:18:58.559 And you've got to have a due process to make sure that you have again gone through the due process you need to go through. 00:18:58.640 --> 00:19:02.319 So otherwise a tenant may well say, Well, you're uh you're you're discriminating. 00:19:02.400 --> 00:19:05.279 You're not you're not accepting me because of this. 00:19:05.440 --> 00:19:13.119 If you, as long as you've gone through the process again, no emotions, factual, all these different things and the key criteria, then that's where a decision can be made. 00:19:13.519 --> 00:19:20.480 I think like people, HMOs, for example, I think it's a legitimate reason to refuse because of other tenants you've got to consider. 00:19:21.119 --> 00:19:30.160 And the likelihood is if you accept one dog, then they're gonna have a cat and they're gonna have a bird and they're gonna have a rabbit, you're gonna have like a a zoo quite quickly. 00:19:30.400 --> 00:19:32.000 So there is reasons. 00:19:32.079 --> 00:19:36.319 If it's in your lease for a flat that you can't have pets, then that's gonna be a legitimate reason. 00:19:36.559 --> 00:19:43.599 If your reason is something like I've had a bad experience in the past, or I don't like dogs. 00:19:43.920 --> 00:19:45.119 I've just put a new carpet in. 00:19:45.279 --> 00:19:48.240 I've just put new carpet, they're not gonna they're not gonna be. 00:20:18.960 --> 00:20:25.359 So, as well as all of that, the local enforcement, this is when they can start enforcing all of these rules. 00:20:25.440 --> 00:20:29.759 So the local enforcement will be starting from the 1st of May. 00:20:29.839 --> 00:20:33.359 So Coventry love their enforcement action where we are. 00:20:33.519 --> 00:20:35.519 I'm not sure other councils. 00:20:35.839 --> 00:20:50.799 Somebody at one of our networking meetings recently actually said that their council down in London was actively writing to tenants, making sure that they knew the rules and letting them know what they could do about it if their landlord wasn't compliant. 00:20:50.960 --> 00:20:52.799 So yeah. 00:20:53.359 --> 00:20:56.000 I think you need to make sure that swear words. 00:20:56.480 --> 00:20:58.079 Can't use swear words today. 00:20:58.480 --> 00:21:10.480 Um I mean, I see on Commentary City Council website there's lots of kind of buttons and lots of links for tenants to report things if they're or any concerns about HMOs or anything like that. 00:21:10.640 --> 00:21:12.000 So yeah, I think that's a good thing. 00:21:14.160 --> 00:21:14.799 But yes. 00:21:15.200 --> 00:21:17.359 So just make sure that you are, you know the rules. 00:21:17.440 --> 00:21:27.599 And if if it's not something that you want to be able, if you can keep on top of and make sure you know the rules and look at letting agents or somebody that can help you with that side of things. 00:21:27.839 --> 00:21:33.039 Things coming forward in the future, just quickly, phase two will be later this year. 00:21:33.200 --> 00:21:35.200 That's the landlord database. 00:21:35.440 --> 00:21:38.880 They haven't published any costs for that. 00:21:39.039 --> 00:21:42.319 But Scotland already have a similar thing in place. 00:21:42.799 --> 00:21:56.319 Principal fee for that

is£80 per application,£18 for each additional property, a late application charge of£160 because you have to renew it every three years. 00:21:56.559 --> 00:21:59.599 If you've got multiple authorities, so if you're kind of over two. 00:22:00.400 --> 00:22:08.240 Different councils, you're gonna have to pay multiple fees, but they're slightly reduced, and there's discounts for joint owners. 00:22:08.319 --> 00:22:13.519 So if you've got the main owner or the one owner's paid, the second owner doesn't necessarily have to pay. 00:22:13.759 --> 00:22:16.640 That is Scotland's procedure. 00:22:16.720 --> 00:22:19.279 I'm not saying that's gonna be what we're gonna have. 00:22:19.680 --> 00:22:21.680 It's smidgen more expensive, I imagine. 00:22:22.240 --> 00:22:24.079 But that's sort of the costs that they've got. 00:22:24.160 --> 00:22:30.400 I wouldn't say that I don't think they'll be able to justify anything dramatically different to that, but who knows? 00:22:30.559 --> 00:22:37.920 I know Wales is lower cost for theirs than Scotland, so I don't know, but that's an idea of the costs. 00:22:38.400 --> 00:22:45.359 Once that database is in place, you're gonna need to update all upload all of your information, including safety certificates. 00:22:45.680 --> 00:22:51.359 So we deal with some landlords that are really good at their admin and keep everything in place. 00:22:51.519 --> 00:22:54.319 And if we need something, we'll ask them and they'll send it. 00:22:54.559 --> 00:23:02.000 We have other landlords that just ignore us or don't send things on and take a while to find things. 00:23:02.160 --> 00:23:04.640 So just I'd start getting everything together today. 00:23:04.799 --> 00:23:11.759 Make sure you've got all your folders for your properties to make that process as smooth as possible when it's time to do that. 00:23:12.559 --> 00:23:16.319 Also, the landlord ombudsman, that's gonna follow on, I believe. 00:23:16.640 --> 00:23:18.559 We might start hearing things at the end of this year. 00:23:18.640 --> 00:23:20.799 I think that'll be next year more than anything. 00:23:21.200 --> 00:23:28.559 And again, I think that's gonna maybe be staggered, maybe it'll be like an optional thing to start with, and then possibly a mandatory thing. 00:23:28.720 --> 00:23:32.880 There'll be costs involved in that as well as the database. 00:23:33.359 --> 00:23:44.640 If you have a HMO license or if you're going through a local fraud, you've got the HMO license or a selective license an area, that won't change having your registration with the landlord database. 00:23:44.720 --> 00:23:46.960 You'll still they'll still be treated as separate things. 00:23:47.039 --> 00:23:50.480 So more admin on that, unfortunately. 00:23:50.640 --> 00:23:54.240 And then the decent home standard, that's going to be phase three. 00:23:54.400 --> 00:24:00.960 They've started publishing a little bit of information on that, and there's going to be key criteria that the property

needs to meet. 00:24:01.200 --> 00:24:08.400 Although the kind of enforcement and effective date is not going to be until 2035. 00:24:09.200 --> 00:24:15.440 They're very much saying don't leave it until 2034 to start thinking about it. 00:24:15.599 --> 00:24:19.359 You know, your properties are going to have to be at that standard by 2035. 00:24:19.680 --> 00:24:32.160 So more information will come on that, but just be aware that in the next kind of 10 years, you may have to do some work on your property, depending on what condition it is in at the moment. 00:24:32.400 --> 00:24:38.799 The EPC regulations are coming in from 2030, so you will need to be a C rating by then. 00:24:39.200 --> 00:24:43.519 They are reviewing that system at the moment, so there will be some changes. 00:24:43.839 --> 00:24:52.799 My advice at the moment is don't run out and spend large amounts of money getting your property up to the C grade because things are going to change. 00:24:53.039 --> 00:25:03.839 If you have a D rating at the moment, but you're very close to the C, have a look and see if there's anything low cost that you can do and get that EPC done again because then you'll have 10 years. 00:25:04.160 --> 00:25:08.160 I spoke to somebody recently that was a D rating but one point off a C. 00:25:08.240 --> 00:25:09.759 I was like, go and speak to an MG. 00:25:11.039 --> 00:25:21.039 Go into an EPC that says sometimes there's something that can get you up to a C, and then you've got that certificate for 10 years at a C rating that's compliant. 00:25:21.279 --> 00:25:24.880 It's not to say that the new rules it might make it easier for that person to get a C. 00:25:25.119 --> 00:25:25.759 I don't know. 00:25:25.920 --> 00:25:30.559 But just I think it's silly if you're just that close not to review it. 00:25:30.720 --> 00:25:32.799 Now it's kind of that's what's coming. 00:25:32.960 --> 00:25:35.599 Kind of a big take a big sigh now, guys. 00:25:35.759 --> 00:25:37.920 Um ready and ready and raring to go. 00:25:38.000 --> 00:25:44.079 But the different phases of it all, the the key thing is the phase one things and getting really into that and making sure. 00:25:44.160 --> 00:25:47.039 Now Alison has whizzed through that in the last 20 minutes. 00:25:47.200 --> 00:25:55.519 We do actually have a free webinar tomorrow evening where we're going to go into even more detail on the Renters Rights Act, certain situations, certain problems you need to. 00:25:55.759 --> 00:26:00.160 So the the website itself is covertrylandlordwebinar.co.uk. 00:26:00.400 --> 00:26:03.519 So that's covertrylandlordwebinar.co.uk. 00:26:04.000 --> 00:26:04.720 It's free. 00:26:04.799 --> 00:26:06.880 Uh it's tomorrow evening at seven o'clock. 00:26:07.039 --> 00:26:09.279 Razlin and I are going to be going into greater detail. 00:26:09.359 --> 00:26:12.960 As you can hear, Alison is the expert on this, very much so. 00:26:13.119 --> 00:26:18.960 Uh so yes, you'll also have the chance to

ask questions and answers, which of course you'll have to do now as well. 00:26:19.119 --> 00:26:20.880 But yes, it's it's a really in depth. 00:26:21.119 --> 00:26:22.720 We've we've this is our second one. 00:26:22.880 --> 00:26:26.720 We've got well over a hundred people already registered and it's growing and growing and growing. 00:26:26.880 --> 00:26:28.720 And lots and lots of people need to know about this. 00:26:28.799 --> 00:26:38.400 It's not something to neglect or to ignore because it could come back and bite you in the bum significantly financially from that. 00:26:38.880 --> 00:26:49.359 The plus point for investors is if you're looking to grow, knowing this regulation inside out, you know the pain points for people, for land current landlords that are looking to sell. 00:26:49.519 --> 00:26:54.480 So you know this, it puts them in a really good place to kind of make the most of those opportunities. 00:26:54.640 --> 00:26:57.759 Which brings me on to Anthony's bit about knowledge is power. 00:26:58.160 --> 00:27:00.640 Investing in properties and what things to consider. 00:27:01.200 --> 00:27:02.319 Okay, right. 00:27:02.400 --> 00:27:06.240 So, as an investor, uh I'll have a quick whiz through here of different things you need to consider. 00:27:06.319 --> 00:27:07.599 It's almost like a checklist of things. 00:27:07.680 --> 00:27:10.880 So a lot of people come to me and say, Anthony, I'm really looking to invest in properties. 00:27:10.960 --> 00:27:12.960 And I'm like, brilliant, great stuff. 00:27:13.119 --> 00:27:16.880 And I say, I've got investment capital, I've inherited some money, all these different things. 00:27:16.960 --> 00:27:19.759 I say, well, what sort of strategy are you looking to go for? 00:27:20.000 --> 00:27:24.240 Are you looking for capital gain, which is a property with a growing value but make you some money? 00:27:24.319 --> 00:27:26.240 Are you looking for really good cash flow? 00:27:26.400 --> 00:27:29.119 Are you looking to buy a property, do it up and sell it? 00:27:29.359 --> 00:27:30.640 All these different strategies. 00:27:30.799 --> 00:27:31.599 I'm not sure. 00:27:31.759 --> 00:27:32.640 What would you recommend? 00:27:32.799 --> 00:27:34.640 And you just okay. 00:27:34.960 --> 00:27:36.160 It's one of those situations. 00:27:36.640 --> 00:27:39.279 An awful lot of people in this position, they go, well, property is great. 00:27:39.359 --> 00:27:41.279 I hear my mate says it's really good to invest in property. 00:27:41.359 --> 00:27:42.880 I say, Well, what's your strategy going to be? 00:27:43.039 --> 00:27:46.160 So the key thing is gonna be why are you doing it? 00:27:46.480 --> 00:27:49.359 What is that going to, you know, what is that going to facilitate? 00:27:49.599 --> 00:27:54.000 And some people may well say, I want to get into property and build a portfolio so I don't have to work. 00:27:54.160 --> 00:27:59.039 Some people will say, I just want a little bit of extra money to pay for the holiday each and every the family holiday each and every year. 00:27:59.279 --> 00:28:04.000 Or you want to make some quick money because you want to buy another property or a whole array of different things. 00:28:04.160 --> 00:28:06.079 Keeping those ideas in place. 00:28:06.480 --> 00:28:11.200 Now, when you've then cleared up that idea, location is going to be important. 00:28:11.279 --> 00:28:14.319 So different strategies will be more driven on location. 00:28:14.480 --> 00:28:27.119 So if you're looking for a house multiple occupation, HMO, location is critical because you think to yourself, okay, I'm young professionals, students, all these different types of people that are going to likely be living in your property. 00:28:27.279 --> 00:28:28.640 Is it close to supermarkets? 00:28:28.799 --> 00:28:30.400 Is it close to railway links? 00:28:30.559 --> 00:28:31.680 Is it close to a bus stop? 00:28:31.839 --> 00:28:35.440 In addition to that, have you got universities nearby? 00:28:35.680 --> 00:28:36.400 Very important. 00:28:36.559 --> 00:28:40.640 Have you got a business estate nearby where people potentially will be looking? 00:28:40.880 --> 00:28:47.039 So, for example, if you've got an Amazon, like we've got here in Coventry, and you've got an Amazon warehouse where people are doing a lot of work. 00:28:47.119 --> 00:28:50.079 We get people from working there or near the hospital. 00:28:50.240 --> 00:28:52.319 Those are the things you've got to consider to yourself. 00:28:52.400 --> 00:29:00.240 But with anything with HMOs and any investment, always put your property in a location where you can let to every type of tenant. 00:29:00.480 --> 00:29:05.119 So there's certain areas in Coventry, for example, where you'd be like, well, it's just Warwick University. 00:29:05.279 --> 00:29:08.079 And then I'd say, well, what about you know other students? 00:29:08.319 --> 00:29:08.880 Coventry university. 00:29:09.039 --> 00:29:10.319 Well, no, it's a different location. 00:29:10.480 --> 00:29:14.880 Or if you go out near the hospital, you're like, well, your only market is the hospital. 00:29:15.039 --> 00:29:19.920 Potentially you've got some other areas, may or be you can get as far as university, you're too far out. 00:29:20.000 --> 00:29:28.319 Because we all know, and I all remember the um the lectures at nine o'clock and rolling out of bed at five to nine of the morning to get there to make sure you get to your lecture at nine o'clock. 00:29:28.480 --> 00:29:31.359 So that's what's really important if it's a university student and building. 00:29:31.440 --> 00:29:38.400 And as has happened, and I see in a lot of cities, the universities and private organisations are building more and more student accommodation. 00:29:38.480 --> 00:29:46.400 There's bank and mum and dad are happy to pay silly money for their kids to live in these accommodations to build those relationships with people, which means demand is lower. 00:29:46.480

--> 00:29:54.000 But if you can then do slightly higher spec properties, you may well get graduate schemes and people, master's students, and that tends to be the thing. 00:29:54.079 --> 00:29:55.920 So, for example, if you're putting ensuites in there. 00:29:56.000 --> 00:29:58.960 So that's the ensuite, the obviously the HMO side of things. 00:29:59.119 --> 00:30:03.759 But a key thing to then consider after that, right, I'm gonna, I want to invest in HMOs. 00:30:03.920 --> 00:30:05.519 You then have to dig even deeper. 00:30:05.680 --> 00:30:10.240 You say, right, what legislation is in commentary, such as Article 4? 00:30:10.400 --> 00:30:15.920 Now, Article 4 is where obviously there is a limit on the number of HMOs. 00:30:16.000 --> 00:30:18.160 That's what the council have introduced, article four for. 00:30:18.559 --> 00:30:22.880 So if a property is currently being used as a HMO, brilliant. 00:30:22.960 --> 00:30:23.839 That's great. 00:30:24.079 --> 00:30:25.759 Look at when Article 4 came in. 00:30:25.839 --> 00:30:28.559 So Article 4 in commentary was September 2023. 00:30:28.640 --> 00:30:31.440 So was it being used as a compliance? 00:30:31.599 --> 00:30:32.880 What's a key word with this? 00:30:33.119 --> 00:30:35.359 HMO prior to September 2023. 00:30:35.440 --> 00:30:36.480 So yes, it was, brilliant. 00:30:36.640 --> 00:30:38.079 Did it have a HMO licence? 00:30:38.319 --> 00:30:38.960 Yes, it did. 00:30:39.119 --> 00:30:39.359 Brilliant. 00:30:39.440 --> 00:30:41.200 Okay, so it's the number of boxes ticked. 00:30:41.440 --> 00:30:46.799 If need be, do you have proof if I need to go to the council to prove that it was being used as well? 00:30:46.880 --> 00:30:47.759 Yes, I've got a license. 00:30:47.839 --> 00:30:53.200 I've got utility bills that I was paying, I've got tenancy agreements, I've got rental statements, I've got all these different things. 00:30:53.359 --> 00:31:07.680 Because then one thing, for example, Coventry, if you're buying a HMO that's ready-made, tenanted, all these different things, the boxes ticked, you get something called grandfather rights detailed on the website, which means the new owner will automatically inherit the planning permission that was in place. 00:31:07.839 --> 00:31:15.039 However, if you've not got these proofs, the likelihood will be you're then trying to apply for planning. 00:31:15.119 --> 00:31:19.920 The reason why they bought article four in was because they wanted to limit the number of HMOs, for example, in Coventry. 00:31:20.240 --> 00:31:22.720 They're not likely to give you planning permission. 00:31:22.960 --> 00:31:28.559 I'm not gonna say definitely not, but the likelihood is the reason why they bought it in was to appease residents in the city. 00:31:28.720 --> 00:31:36.640 So think to yourself, right, okay, so buying a C3 residential house, converting it to a HMO, I'm gonna have problems there. 00:31:36.799 --> 00:31:38.559 So it may well be you think to yourself, right. 00:31:38.640 --> 00:31:47.759 If HMOs is your route, you're gonna think, right, I need to find a tired HMO with the key criteria that had the license in place and all the proofs you need to have. 00:31:48.000 --> 00:32:08.640 Now, one thing that a landlord may well have that ticks a number of boxes into one swoop for you is something called a lawful development certificate, which basically says the look the council have stamped to say, yes, you are a compliant HMO, which means that if you then buy that property, you have got that stamp on it already, which is fantastic. 00:32:08.799 --> 00:32:10.559 Now, there is a cost for doing that. 00:32:10.720 --> 00:32:17.039 Now, as we know, there's normal HMOs where you'll do one application for a HMO if it's just rooms that you're letting out. 00:32:17.119 --> 00:32:45.599 However, if the city has something called additional licensing, which is another thing that may will come in and it's in coventry at the moment, which means anything that's passed as a HMO, something where a property has been split into individual bed sits or studios or one bedroom flats, there's no building rates, there's no planning permission, you need something called a section 257 HMO license, which all of a sudden you're like, okay, right, okay, so I need to get a license. 00:32:45.680 --> 00:32:48.000 And all of a sudden, when that comes in, you say, Well, has it got that? 00:32:48.160 --> 00:32:51.519 And all of a sudden, you there's a whole array of different things that you then think to yourself, right? 00:32:51.599 --> 00:32:53.359 Well, if you've not got that, I need to get that. 00:32:53.519 --> 00:32:57.440 All these different things you need to consider as far as the HMO route is concerned. 00:32:57.599 --> 00:33:00.160 Fingers price, you've got the lawful development certificate that ticks every box. 00:33:00.319 --> 00:33:04.079 If you've not, as long as it's got the actual license in place prior to, brilliant. 00:33:04.160 --> 00:33:05.599 You've got all those proofs. 00:33:05.759 --> 00:33:14.559 Now, in a section 257 HMO, it's a case of if you've got, like, say, five flats or bed sits in this particular property, you have to do five applications. 00:33:14.640 --> 00:33:20.000 Now, Coventry's pricing at the moment per lawful development certificate is£500 a property, I believe. 00:33:20.160 --> 00:33:22.720 So that's going to be two and a half thousand pounds. 00:33:23.039 --> 00:33:28.400 It used to be pittance, but then the different law came in, and all of a sudden, I've let's put that price up. 00:33:28.559 --> 00:33:35.440 And I know people that have got those licenses, no problems at all, having been using that property like they have for many, many, many, many years. 00:33:35.759 --> 00:33:39.200 And that's something the council are hot on, though, with making sure landlords are compliant. 00:33:39.279 --> 00:33:40.640 So that's your HMO route. 00:33:41.039 --> 00:34:08.880 May well be you want to just

look for properties that are tied HMOs that have been used as HMOs for a number of years and then enhance them, whether that be cosmetically, because a lot of we you know, we've got some landlords on our database, please spend some money, flowery curtains, red flowery carpet from 1965, the divan bed base is a different colour to the mattress, you know, like spend a couple of hundred pounds and you'll get that back in probably two or three months' return on investment. 00:34:09.199 --> 00:34:17.360 So that's that's potentially the avenues you could go down, is enhancing and also retired, retiring landlords may well be an avenue to look at as well. 00:34:17.599 --> 00:34:20.480 And also with the new legislation coming in, that could be your hook. 00:34:20.639 --> 00:34:34.239 So if you know those pain points, as Alison was saying, as far as landlords are concerned, with the new renters' rights act, it may well be you say to yourself, look, you've got all these HMOs, all these problems, and all these different legislation you've got coming in, as well as the landlord database, all these different costs. 00:34:34.400 --> 00:34:37.119 Let me take that hand, take, take all those problems off your hands. 00:34:37.440 --> 00:34:39.360 And I think the opportunities are out there. 00:34:39.519 --> 00:34:55.360 I know we're seeing landlords that have been in the market for a while that are perhaps kind of in that retirement era of their lives, they are maybe moving their kind of time frame up and offloading properties a little bit sooner. 00:34:55.440 --> 00:34:59.599 But I think the Renters Rights Act has perhaps driven them and pushed them forward in doing that. 00:34:59.679 --> 00:35:06.880 So there are landlords out there that are looking to kind of sell portfolios if that's what you're looking to kind of do with your investments. 00:35:07.199 --> 00:35:12.000 One thing if you're considering investing in Coventry, we do do off-market property sourcing. 00:35:12.159 --> 00:35:14.239 Um, it's free to register, you get the deals. 00:35:14.320 --> 00:35:18.000 So if that's something you're interested in, I'm just trying to think of a way. 00:35:18.159 --> 00:35:21.920 In fact, Mark, I'm not sure there's a way you can put you to have our contact details somewhere, aren't you? 00:35:22.000 --> 00:35:22.400 I think. 00:35:22.719 --> 00:35:23.280 Let us know. 00:35:23.360 --> 00:35:29.840 If you're interested in investing in coventry, we've got off-market property sourcing, we do, we've got a number of off-market deals at the moment that are available. 00:35:30.079 --> 00:35:32.639 So then you think, okay, well, HMO's doesn't really want to go down. 00:35:32.719 --> 00:35:34.960 I want to go down single family lap routes. 00:35:35.039 --> 00:35:36.800 And you say, okay, no problems at all. 00:35:36.960 --> 00:35:42.480 Now, with every property you buy, I must emphasize don't skimp on your due diligence. 00:35:42.719 --> 00:35:44.480 Do a home buyer survey. 00:35:44.639 --> 00:35:48.000 And that's also in your back pocket as far as your ace card. 00:35:48.079 --> 00:35:56.239 If you're negotiating a price down, again, you're using somebody else's expertise to get you a better price. 00:35:56.400 --> 00:35:59.599 So use that expertise, use that report because it's not you providing it. 00:35:59.760 --> 00:36:02.320 You've said, please go and look at this property and make sure it's okay. 00:36:02.480 --> 00:36:06.960 But if they come back and they say, Oh, there's a problem with this, there's a problem with that, you say, Well, I'm gonna have to get that resolved. 00:36:07.119 --> 00:36:09.360 And because of that, it's gonna cost me this much. 00:36:09.440 --> 00:36:11.440 So, with that in mind, I need you to reduce the price. 00:36:11.599 --> 00:36:14.400 Whether it be me doing this or somebody else, they're gonna have the same problem. 00:36:14.559 --> 00:36:17.440 So that's your argument to get a better price, perhaps. 00:36:17.840 --> 00:36:25.760 In addition to that, as I said already, the legality side of things, the planning side of things, the licensing side of things, as well as the condition of the property as well. 00:36:26.159 --> 00:36:30.239 And then obviously do your due diligence nearby on what realistic rents are. 00:36:30.400 --> 00:36:32.400 Don't make the rents work. 00:36:32.800 --> 00:36:33.760 Be pessimistic. 00:36:33.920 --> 00:36:36.239 Think you're gonna get less than you think you're gonna get. 00:36:36.480 --> 00:36:40.880 Work those numbers and make sure those numbers work right as far as your return on investment is concerned. 00:36:41.039 --> 00:36:49.280 And also lenders will need to see the rent being, in some cases, 1.4 times what the mortgage is, as far as those stress tests are concerned. 00:36:49.440 --> 00:36:51.599 So key do but do bear that in mind. 00:36:51.760 --> 00:36:58.400 And as far as your power team is concerned, a solicitor that you know and trust that you can contact, that's really, really useful. 00:36:58.559 --> 00:37:05.119 Paying a little bit more, that extra 200, 300 pounds for a solicitor that you can contact who's accountable is invaluable. 00:37:05.519 --> 00:37:07.039 And you can get them to put pressure on it. 00:37:07.119 --> 00:37:09.760 As far as a mortgage advisor, no one could be an expert in everything. 00:37:09.840 --> 00:37:11.360 Oh, I've got my mate who does that. 00:37:11.440 --> 00:37:12.800 No, get multiple quotes. 00:37:12.960 --> 00:37:15.199 Get a mortgage advisor who's an expert in doing that. 00:37:15.360 --> 00:37:30.000 As far as the end side of things, make sure you've got then a point of contact, but there'll be a letting agency that can give you advice and guidance so that you're spending your time perhaps finding deals or rather than then the worry of then the lettings, the tenancy, the finding tenants, all these different things. 00:37:30.239 --> 00:37:38.320 And then one thing I'm also saying, buying a property

that's tenanted, don't be scared of that, but dig into and make sure those tenancies are compliant. 00:37:38.400 --> 00:37:41.840 Because the last thing you want is to inherit something that could be awful. 00:37:42.000 --> 00:37:51.760 Now, with regards to single let properties as we're finding now, again, you think to yourself, okay, well, what are the key USPs for a house that's going to be left to a family? 00:37:52.079 --> 00:37:52.800 Schools. 00:37:52.960 --> 00:37:55.840 If you can be near a school, wonderful. 00:37:56.079 --> 00:38:00.639 That will mean that you will have tenants in their womb assume if you look after them for a number of years. 00:38:00.800 --> 00:38:07.599 And then obviously nearby, supermarkets, convenience stores, you know, bus stops potentially for the children if that. 00:38:07.840 --> 00:38:14.159 But the the criteria location quasi isn't quite as critical as far as um families are concerned. 00:38:14.320 --> 00:38:18.639 However, yes, you all think I'm going to buy this house, I'm going to have it forever. 00:38:18.880 --> 00:38:22.079 However, you will come to a point at which you need to sell your property. 00:38:22.239 --> 00:38:27.360 So, with this in mind, would I buy this house if it wasn't at the price it is at the moment? 00:38:27.440 --> 00:38:29.360 I'm getting if you're getting it for a good deal. 00:38:29.679 --> 00:38:31.360 Is it a saleable asset? 00:38:31.519 --> 00:38:36.239 I mean, I've had a number of people coming to me about a property that's on a main road. 00:38:36.320 --> 00:38:45.679 It's opposite a supermarket, which is great, but it's a family property and it's a family home, it's on a main road, there's no parking, there's no driveway. 00:38:45.760 --> 00:38:48.880 Yes, it's got a back garden, but it's on a really busy main road. 00:38:48.960 --> 00:38:57.440 And I say, right, if you're a family that's going to want to buy this house, you've got a house around the corner that may well cost£5,000 more. 00:38:57.840 --> 00:39:01.360 It's got a driveway, it's quiet, it's a cul-de-sac. 00:39:01.679 --> 00:39:05.199 Or we go for your house that may well be a little bit cheaper. 00:39:05.360 --> 00:39:12.159 However, it's a main road, there's no driveway, the concern of your children, the noise, all these different things, consider that. 00:39:12.239 --> 00:39:14.400 Because in the long term, am I going to be able to sell this? 00:39:14.480 --> 00:39:15.519 It may well look amazing. 00:39:15.599 --> 00:39:20.559 You may get your big deal at the money at the front end, but then is it a saleable asset? 00:39:20.639 --> 00:39:28.000 And that's what these particular vendors are now having the problem of, and they've dropped price significantly and still can't sell it. 00:39:28.159 --> 00:39:29.679 So think a bit on that side of things. 00:39:29.760 --> 00:39:33.119 But as far as family lects looking after them, what are the USPs? 00:39:33.199 --> 00:39:35.760 And that's the key fact with all of these different things. 00:39:36.079 --> 00:39:38.880 Then finally is then the flip strategy, which is bad. 00:39:39.039 --> 00:39:43.360 So buy a property, do it up, and then sell it or keep it. 00:39:43.599 --> 00:39:48.159 Now, again, don't sit there and think just, oh, it's going to be worth a million pounds. 00:39:48.239 --> 00:39:49.519 It's going to be amazing. 00:39:49.679 --> 00:39:50.639 No, it won't. 00:39:51.599 --> 00:39:52.639 Think pessimistic. 00:39:52.719 --> 00:39:58.159 I'm a pessimistic bugger, but I'd rather it be that I'll sit here and say to you, no, no, no, no, no. 00:39:58.400 --> 00:40:06.079 You know, I remember the the days in which we used to do HMOs and buy it for a certain amount, and I'd say, right, let's say that you've just spent 100 grand. 00:40:06.320 --> 00:40:09.199 I think that will have gone up by 135 in value. 00:40:09.280 --> 00:40:10.880 I said, Well, it's gonna go on and buy more of that. 00:40:11.039 --> 00:40:14.159 I says, no, let's expect it goes up by that much. 00:40:14.320 --> 00:40:17.360 And he then says, right, so we've got a 35k increase on market. 00:40:17.599 --> 00:40:22.639 So yes, 1.3, 1.35 times what you've spent is what I think they've increased in value will be. 00:40:22.800 --> 00:40:25.199 And then in some a lot of cases, it's come up more than that. 00:40:25.280 --> 00:40:28.559 And what they've done, refinance, same loan to value and all those different things. 00:40:28.800 --> 00:40:31.119 But work on a worst-case scenario. 00:40:31.199 --> 00:40:37.280 Don't make the numbers work because in the end, there's plenty of deals out there that will come along that you'll find the right deal there for you. 00:40:37.840 --> 00:40:47.920 And also be clear on your strategy because I know different courses, different training, you get taught all of these different strategies, all these different things that you can go on. 00:40:48.159 --> 00:40:50.079 Wow, what am I gonna do? 00:40:50.320 --> 00:40:59.039 Focus on one or two of those strategies for a period of time so you really focus yourself because rather than going one way, going another, and then spending no time and getting nowhere. 00:40:59.280 --> 00:41:01.119 But power team, very important. 00:41:01.440 --> 00:41:08.960 Do your you know, experience the moment a location is so, so, so important um for HMOs, still important for families. 00:41:09.199 --> 00:41:17.440 But if you're buying in a city you don't know, go speak into a letting agency or an estate agency and say, look, I'm just thinking of different areas to invest in. 00:41:17.840 --> 00:41:19.280 Keep me on your database, keep me updated. 00:41:19.360 --> 00:41:21.360 They won't mind giving you free information. 00:41:21.599 --> 00:41:23.920 Do a bit of research and say, What's your thoughts on this area? 00:41:24.079 --> 00:41:25.199 What's your thoughts on this area? 00:41:25.360 --> 00:41:30.559 This is my strategy, and they'll soon tell you, don't want to buy there, don't want to buy there. 00:41:30.639 --> 00:41:33.920 There's a reason why that value hasn't increased in the last 10 years. 00:41:34.320 --> 00:41:34.719 Yes. 00:41:34.880 --> 00:41:43.199 So hopefully I've given you a number of different checklists and things, a barrage of information I know, but do your due diligence, make the deal work. 00:41:43.280 --> 00:41:46.880 But another thing on the flipped end of that, don't find reasons why not. 00:41:47.519 --> 00:41:52.559 When you first start out, detail your reason why and detail your criteria. 00:41:52.719 --> 00:41:58.480 And if you've got, I don't know, a list of 10 and say, right, as long as it's got seven out of those ten things, do it. 00:41:58.800 --> 00:42:01.360 Do your due diligence, of course, do your home buyer survey. 00:42:01.440 --> 00:42:14.239 Yes, it's a couple of hundred quid more than you want to spend, but that could well save you a house that you can't sell in the future with subsidence or rising damp that's cost you five, six, seven grand to get sorted and you didn't get it taken off the asking price. 00:42:15.039 --> 00:42:16.239 And there we're done. 00:42:16.559 --> 00:42:18.000 Any questions at all, Gorlands? 00:42:18.320 --> 00:42:19.519 Just I'll just add to that as well. 00:42:19.679 --> 00:42:28.159 When you're going through estate agencies and you've put in an offer and it gets rejected and sold to someone else, don't kind of close that off. 00:42:28.320 --> 00:42:32.719 Keep revisiting that because one in three sales at the moment are falling through. 00:42:32.960 --> 00:42:44.880 So just because they've gone with someone else's offer doesn't mean that you can't keep track of that and make sure you're kind of revisiting, get those relationships with your estate agents in your area, kind of keep working those. 00:42:45.119 --> 00:42:48.880 See if you can find out what the offer is as well, because you can then structure your offer next time. 00:42:49.039 --> 00:42:52.719 So, oh, the vendors won't be very oh, I've missed out on that deal. 00:42:52.800 --> 00:42:55.840 Well, I'm gonna come in and I'm gonna offer you what I offered you before, which was lower. 00:42:56.000 --> 00:43:02.880 I'm not gonna offer you the same as they're offering because you're motivated now, you've just missed out on a sale, eager to get the sale. 00:43:03.920 --> 00:43:04.800 There you go. 00:43:05.920 --> 00:43:07.519 Amazing, as always. 00:43:07.760 --> 00:43:10.639 Thank you ever so much for your time and your wisdom. 00:43:10.800 --> 00:43:12.800 It is always really, really appreciated. 00:43:12.880 --> 00:43:15.280 And some great questions there as well.