Buy-to-let – Jargon Glossary for Landlords

There is a lot of jargon in the buy-to-let world, and it can be easy to get lost in a rabbit hole of phrases. We have put together a simple jargon buster for landlords to understand the most common buy-to-let terms better. Some may seem self-explanatory, and others may sound alien, but they all have their place.

ADR – Alternative Dispute Resolution, an adjudication service provided by deposit protection schemes.

ARLA Propertymark – Association of Residential Letting Agents. A well-recognised body for letting agents.

BTL – Buy to Let.

CMP – Client Money Protection.  A scheme that protects funds.

EICR – Electrical Inspection Condition Report. This should be performed every five years by an appropriately registered electrician.

EPC – Energy Performance Certificate. This certificate rates energy efficiency from A to G. A privately owned building needs a rating of E or above in order to be let or sold.

HMO – House in Multiple Occupation. If different families share facilities, then a property is referred to as HMO. Legislation regarding HMO varies across the country.

PAT – Portable Appliance Testing. This involves assessing electrical equipment to check it is safe. A professional and registered electrician should perform this.

Right To Rent – Checks must be carried out on all tenants before the tenancy is agreed upon. Right to rent refers to checking if the tenant can legally rent in England.

SDLT – Stamp Duty Land Tax.

Section 21 – A notice a landlord gives to a tenant when they wish to regain possession of their building after the assured tenancy ends.

TDP – Tenancy Deposit Scheme. This must be a government-endorsed deposit scheme. It holds the deposit until the end of the tenancy, a which point it will be returned to the tenant, providing there are no fees or damages to be taken from the amount or rent outstanding.

Hopefully, some of these terms make more sense now. Being a landlord can sometimes feel overwhelming, especially if you have not done it before. It is always best to read up on these things to put you in a good spot when you rent out a property.

A professional lettings agent, such as Hardings Lettings, can advise you on your rights and requirements as a landlord and help find the ideal tenants for your property.

Contact Hardings Lettings for more advice on 01277 233400.