As a landlord, staying informed about legislative changes and maintaining due diligence is essential to ensure full compliance. To simplify this process, Properties DXK has created this concise compliance guide to support you throughout your landlord journey.
If you spend more than six months outside the UK within a tax year, you are considered a Non-Resident Landlord. As your managing agent, Properties DXK has a legal responsibility to deduct 20% tax from your net rental income and remit it to HM Revenue & Customs quarterly.
In cases of joint ownership, tax liability is split equally between owners. Temporary absences under six months do not affect your resident status. Non-Resident Landlords may apply for approval (via the NRL1 form) allowing Properties DXK to receive rent without tax deductions at source, but this does not exempt rental income from UK tax.
We will register your tenancy with HMRC’s Non-Resident Landlord Scheme within 30 days of tenancy commencement and retain all records related to rent payments, landlord correspondence, and expenses for at least four years.
Example Tax Calculation:
Properties DXK ensures all client funds, including deposits and rent, are protected under an authorised Client Money Protection scheme. We are regulated by the Royal Institution of Chartered Surveyors (RICS), providing you peace of mind that your money is safe.
In line with the Money Laundering Regulations 2017, Properties DXK follows strict procedures to prevent money laundering and terrorist financing. We collect and verify identification and proof of address from all clients, maintaining records for a minimum of five years after our relationship ends.
For large transactions, proof of source of funds is required before acceptance.
Accepted ID documents:
Proof of address:
Proof of ownership:
For company representatives, additional documentation is required.
Since October 2008, landlords must provide an EPC to prospective tenants when marketing a property. EPCs are valid for 10 years and assess a property’s energy efficiency on a scale from A (most efficient) to G (least efficient).
Properties must have an EPC rating of at least ‘E’ to be legally let. Properties with lower ratings cannot be rented out for new or renewed tenancies since April 2018 (extended to all tenancies by April 2020). Properties DXK will arrange EPCs on your behalf unless a current certificate is provided.
Licensing requirements, especially for Houses in Multiple Occupation (HMOs), are designed to ensure properties meet safety and management standards. Some local councils require all rental properties to be licensed.
An HMO is a property rented by three or more people from different households sharing facilities. Licensing applications must be submitted before a tenancy starts, and Properties DXK requires your approval before applying. Without a valid licence, a Section 21 eviction notice cannot be served.
Landlords must ensure all gas appliances and installations are safe, with annual inspections by qualified professionals. A valid Gas Safety Certificate must be provided to tenants before they occupy the property. Properties DXK will require this certificate prior to tenancy commencement.
Landlords must ensure electrical installations and appliances are safe and compliant. Properties DXK may arrange Electrical Safety Inspections and Portable Appliance Testing (PAT) to confirm safety standards, mandatory for HMOs and soon for all rentals.
An EICR assesses the condition of electrical installations, identifying risks such as fire hazards or defective wiring. It is recommended every five years and always before letting a property.
Since 2015, all rental properties must have smoke alarms on every floor and carbon monoxide alarms in rooms with solid fuel appliances. Alarms must be tested and working at the start of each tenancy.
Landlords must carry out risk assessments to prevent Legionnaires’ disease, especially in properties with complex water systems. Properties DXK can arrange professional assessments on your behalf.
Properties should be professionally cleaned before tenants move in to ensure smooth handovers and reduce disputes over property condition.
Landlords must verify that tenants have the legal right to rent in the UK by checking original identification documents in person. Properties DXK will handle these checks and retain records, including follow-ups for time-limited visas.
If you need any assistance with compliance or have questions, Properties DXK is here to support you every step of the way.
