Landlords are reminded that from October 1 onwards, they must provide Energy Performance Certificates whenever a new tenancy is due to begin.
This means that landlords will have to organise an EPC in advance of a new tenancy, as the law requires you to show prospective tenants copies of the EPC on request, and to provide the EPC to the eventual tenant before the agreement is signed.
Any landlord who is expecting a new tenancy to start between October 1 and the end of the year is strongly advised to act now, in order to make sure of having an EPC in time.
This is because EPCs can only be delivered by trained and accredited Domestic Energy Assessors who are likely to be overwhelmed with work over the next few months.
Even in a quiet market, EPCs have been taking up to a week to arrive, and with so many extra properties now being caught by the requirement, this time is expected to at least double.
Landlords of student properties which they are not expecting to rent out until next summer are also advised to get their EPCs organised now. This is because students start looking for accommodation months beforehand and will be entitled to see an EPC if they request it.
An EPC on a rental property lasts for ten years, whether or not improvements are carried out. In other words, if you carry out works such as extra insulation, you do not need to have a new EPC. However, if you do, then you are obliged to show this latest current EPC to prospective and eventual tenants.
You risk being fined for failing to produce an EPC.
Checklist:
EPCs must be produced on all residential properties that are on the market for sale or for rental from October 1, 2008.
EPCs will take time to produce over the next few months because relatively small numbers of Domestic Energy Assessors face a flood of work. Allow at least three weeks from the time of ordering.
Ensure that the DEA will be able to gain access to the property. Give existing tenants as much notice as you can and explain that you need to observe the law.
You do not need to produce an EPC if an existing tenancy is renewed. However, you will need to produce one if the same tenants stay on but the tenancy agreement is changed.
An EPC rates the property on energy efficiency and environmental impact, and makes recommendations for improvement. You do not, however, have to follow any of the recommendations.
All commercial buildings on the market for sale or rent (shops, offices, hairdressing salons, car showrooms, restaurants, takeaways, hotels, etc) will also need energy certificates from October 1. The Government has, however, rushed through regulations allowing them until January 1 to meet this obligation. Commercial buildings have a different inspection regime and a different set of inspectors.
A difficulty still to be resolved is for landlords who own flats above commercial premises which they also own. If both are on the market together, offered as one lot, it is not known what the inspection regime should be. Flats above commercial premises which are being independently marketed should be inspected by a DEA.
Tenant Network can provide EPC's. Landlords Please call 02392 293300 if you would like to arrange an EPC and one of our Energy acessors will be delighted to visit your property/properties to provide a quote.
