ESPC Lettings answers FAQs for landlords

Thinking about letting a property in Edinburgh?

Nicky Lloyd, Head of ESPC Lettings, shares the most frequently asked questions from prospective landlords, to help you understand everything you need to know before embarking on your own buy-to-let journey.  

Do I need to tell my mortgage lender? 

If you already have a residential mortgage on the property you want to rent out, then you must inform your mortgage lender that you now wish to use the property as a rental property. You may need to convert your mortgage to a specific buy-to-let mortgage in this instance.  

If you are looking to buy a property specifically for renting out, you will need to apply for a buy-to-let mortgage, which is different from a residential mortgage. ESPC Mortgages can offer advice on this to help you find the best mortgage for your individual circumstances. 

Find out more about buy-to-let mortgages here.

Find out more about renting out a property you own here.

How much rent should I charge? 

Rental rates very much depend on the current market, as well as the location, size and condition of your property.  

ESPC Lettings has a team of experts well-versed in the current market who can offer an up-to-date valuation on the rental potential of your property to help you decide on the best rate to charge.  

We also publish quarterly insights into the Edinburgh rental market, supported by the latest data from Citylets, to help you decide on your budget and subsequent rental rate.  

How much does it cost to rent out my property? 

You may have some initial financial outlays when you decide to rent your property, such as costs associated with redecorating, furnishing, updating appliances and safety requirements. You should aim to strike a balance between sticking to a sensible budget and ensuring that you’re furnishing your property to a high enough standard to attract good quality tenants and secure a higher rental rate. 

If you use to choose a property management service like ESPC Lettings, there will be costs associated with this, but this depends on the service you need, whether you require full property management or just some help to get you started.   

Contact ESPC Lettings to find out more about the property management services we offer.  

Who pays council tax on a rental property? 

When the property is occupied, the council tax is the responsibility of the tenant, and this should be clearly outlined in your letting agreement. 

When the property is vacant, it is the landlord’s responsibility to pay council tax and other bills.  

Should I use a letting agent? 

It depends how involved you want to be with your rental property. Some landlords prefer to be very hands-on with their properties, while some prefer to pass the responsibility to a letting agent. Choosing a lettings management service like ESPC Lettings means that you, as the landlord, can relax and let the team handle everything on your behalf.  

ESPC Lettings can manage everything from valuing and marketing your property, to sourcing and vetting tenants, handling inventories and inspections, and collecting rent and managing move-outs.  

Should I have an inventory? 

Yes. A professional inventory will note in detail the condition of the property, its fixtures, fittings and any furnishings prior to a tenant moving in. If there is any damage to the property, either during an inspection or when a tenant is vacating the property, this proves whose responsibility it is to fix and makes any disputes easier to resolve. 

What if the tenant damages the property? 

If the property has some damage, this can be checked against the inventory to ascertain the original condition and therefore the extent of the damage. Fair wear and tear should be accounted for, but for more unusual or severe damage, the tenant will either pay to fix this, or the cost for repair is taken from the tenant’s security deposit at the end of the tenancy.  

It should be noted that the tenant shouldn’t be expected to pay for routine breakdowns or maintenance, as this is the landlord’s responsibility. 

Find out more about what is considered fair wear and tear here. 

Can I enter my property during the tenancy? 

Yes, but you must give the tenant appropriate notice before you enter the property.  

How do I remove a tenant from my property? 

There will usually be a clause in the tenancy agreement covering evictions or serving notice to a tenant, which they will agree to when signing the contract. It is important to follow the guidelines around serving notice to a tenant to ensure the process is as fair as possible. 

If a tenant refuses to leave, then legal action may be necessary, but your first point of contact should be through the First Tier Tribunal. 

The rules around evicting tenants have recently been updated, find out more about these changes. 

What are my obligations as a landlord? 

As a landlord, you are obliged to ensure that the property you are letting is safe, warm, weatherproof and watertight, and that you are following all regulations to ensure that the property continues to be a safe and healthy space for your tenant to live in.  

Prior to letting your property, there are several things you must comply with. Properties must have an Energy Performance Certificate (EPC) in place before being let. The EPC is valid for 10 years from the date of purchase. 

You must also ensure that your property has a valid Landlord’s Gas Safety Certificate and that this is updated every 12 months. An Electrical Installation Condition Report must be carried out, and it’s recommended that all electrical appliances are PAT-tested to ensure that they are safe for the tenant to use.  

All furnishings must comply with regulations to reduce the risk of fire in the property, and labels displaying this must be visible to the tenant. 

Landlords are also obliged to follow the recent updates to Scottish fire safety laws, and ensure their rental properties have the appropriate linked fire alarms and heat monitors fitted to comply.

You are also legally required to register your tenant’s deposit with an approved tenancy deposit scheme within 30 days of the tenancy beginning, and then write to your tenant to confirm this.  

Find out more

You can find out more about letting property in Edinburgh by contacting ESPC Lettings. 

Want to know more about how to maintain your rental property, or who is responsible for repairs? Sign up to our free Property Repairs and Maintenance webinar on 19 May 2022 here.