Letting Agents and Property Management Jersey

TERMS & CONDITIONS

AGENCY INSTRUCTION

Lettings & Management

www.ndestates.com

DEFINITIONS

Agent	ND Holdings Limited t/a ND Estates
Landlord	the person/s, firm or company named in this Agency Agreement
Property	the property specified in the Agency Agreement together with any common areas, rights or shared facilities of the property, of which the Property forms a part and fixtures, fittings and furniture belonging to the Landlord.
Tenants	any Tenant/s introduced by the Agent which remains in occupation of the Property.
Agency Agreement	the Agency Agreement is the part signed by the Landlord. This document also sets out the terms and conditions of the Agreement.
Furnished Property	A furnished Property normally includes all fixtures, fittings, furniture and furnishings apart from bedding, clothing and personal effects.
Unfurnished Property	An unfurnished Property can include carpets and light fittings and white goods and the Tenant is expected to bring their own furniture to enable them to occupy the property
Part Furnished

AGENCY AND TERMS AND CONDITIONS DOCUMENT IS DATED [agreement date]

BY AND BETWEEN

ND HOLDINGS LIMITED t/a ND ESTATES (the “Agent”) of 8b Spectrum, Gloucester Street, St Helier, Jersey, of the one part;

[landlord names] as authorised signatory [landlord names] (the “Landlord”) of [landlord address], of the other part.

Instruction

Thank you for your instruction to manage the above Residential Property. This is a Lettings & Management instruction on a sole agency / Sole Letting Rights basis.

ND Estates is a member of the ARLA Propertymark scheme and the Jersey Estate Agents Association as well as The Property Ombudsman and therefore some of the terms of this letter are a requirement of those organisations.

We will endeavour to find a suitable tenant of your above referenced Property and will market the Property for an asking monthly rental of [monthly rent] on a sole agency lettings and management instructed basis.

Your Contacts

Your Letting Contacts are [principal contact] Your Director contact is [director contact]

Services and agency fees:

Let Only Service:

Fee:

[agreed rent line]

[let only fee paragraph]

Letting & Management service

Lettings & Management Service Fee ([annual rent gross] annual rent): yearly billing [management fee yearly percent] — net [management yearly fee net], GST at [gst rate]% ([management yearly fee gst]), total [management yearly fee total]; or monthly billing [management fee monthly percent] — net [management monthly fee net], GST ([management monthly fee gst]), total [management monthly fee total]. Initial term 3 years. First year’s fee payable at commencement; thereafter on anniversary (yearly or monthly per selection).

The sum of 5% GST will on the fees will be added at the time of billing.

Yearly billing: 11.5% + GST
Monthly billing: 15% per annum + GST

When the fee becomes payable

The fee becomes payable immediately.

Thereafter the fee is payable annually unless otherwise agreed in writing on the anniversary of the date of this Agreement

Termination of the Letting and Management Agreement

Either party shall have the right to terminate the Letting and Management agreement on six months written notice on either side only after a minimum of one year shall have expired on this Agreement. There will be no refund of any annual fee.

Services:

Letting & Management Only

Viewings
Passing details of the party we consider to be a successful applicant through to you for approval
Referencing
Credit Check. (Credit checks are a disbursement of £125, which we charge to each Tenant
Preparation of Licence. I attach a copy of our Pro-forma licence, which is amended to suit each particular property but gives you an idea of the licence.
Check-in and condition report cost £175.
At the end of the tenancy, we will check the tenant out.

*The Credit Reference check undertaken is limited in that it only applies to Jersey and is supplied by a third party, and we provide no opinion or guarantee as to the suitability of the tenant.

**References are supplied by third parties, and we provide no opinion or guarantee as to the suitability of the referees or the tenant.

As Managing Agent, we agree with You:

To act diligently in our duties as agent.
To be the primary contact for the Tenant concerning all maintenance and other matters relating to the Property during the Tenancy, excepting as specified below and to report to you accordingly.
To arrange, without prior approval from you, for an appropriate trade/contractor to attend the Property to remedy any individual matter up to a value of £150 plus GST; however, a cumulative value of £300 plus GST is not to be exceeded.
All invoices from suppliers will need to be settled direct by you and will be passed to you for settlement.
To carry out a basic inspection of the Tenanted Property on a six-monthly basis;
PROVIDED ALWAYS that at all times you inform us promptly of any missed rental payment, we will follow up on this directly with the Tenant, maintaining close liaison with you;
To visit the Block once a month and report any wants or defects with you.
Liaise with any of your nominated contractors.
In the event that your nominated contractor is unavailable we will use our own contractors in an emergency

As Landlord, you agree, acknowledge, and confirm with ND Estates that:

rental payments will be paid directly to your nominated bank account by the Tenant and that the Managing Agent has no responsibility for any moneys paid by the Tenant to the you.
you will obtain the consent in writing of any mortgage lender to the letting of the Property and where requested provide a copy of the consent to us;
you will obtain the consent in writing of any head lessor where the property is a Leasehold Property
You will provide us with any house rules, if any, relating to the Property.
You will advise us of any occupancy restrictions, for example age related restrictions etc
You will advise us of any pet restrictions, for example no pets or no dogs etc you will fully comply with the Public Health and Safety (Rented Dwellings) (Jersey) Law 2018 or amendments that may apply during the period of any tenancy plus any other regulations referred to within this agreement or that may apply at any time.
At the commencement of any tenancy or renewal it is a legal requirement that an Electrical Safety Check needs to be undertaken. You are responsible for the costs of such check, for any period where the Property shall be vacant, you shall be responsible for the payment of parish rates (Foncier and occupiers), water and electricity bills and any other utility bill or other expense which may become due in respect of the Property and for maintaining in full force both buildings and contents’ insurance during any void period.
you will indemnify ND Estates against all cost and expenses properly incurred by it in carrying out its duties and all other action and acts pursuant hereto including legal expenses.
pay for any repairs in a timely manner.
pay all supplier Invoices directly.
make the service charge payments to the Block Management company if any, in a timely manner;
notify us of any house rules in respect of the Property.
we accept no liability for any damage or theft at the property whilst vacant or between any letting. The agency recommends that the landlord considers all aspects of security, insurance cover against possible damage or claim that may occur during such periods.

Agency Agreement

Upon receipt of these Terms & Conditions duly signed by you or your authorised representatives, we shall be deemed to be instructed on your behalf as your agent with your full authority to sign or execute on your behalf, all documents necessary to carry out the effective management of the Property.

Statutory And Legal Obligations of The Landlord When Letting Residential Property

The Landlord warrants that the Landlord will fully comply with the Public Health and Safety (Rented Dwellings) (Jersey) Law 2018 or amendments that may apply during the period of any tenancy plus any other laws, regulations or orders referred to within this agreement or that may apply at any time.
At the commencement of any tenancy or renewal it is a legal requirement that an Electrical Safety Check needs to be undertaken. The Landlord is responsible for the costs of such check, A copy of the EICR must be handed, in duplicate to the Tenant.
Each year after the initial Electrical Safety Check, a Visual Interim Electrical Inspection is required, and the Landlord confirms that the agent may arrange for this to be undertaken. The Landlord is responsible for the costs of such checks.
Where the property has a gas supply you should be aware that a Gas Safety Check is needed. For avoidance of doubt this includes bottled gas and propane supplies, e.g., supplying a gas cooker, and a Gas safety certificate will be required. You will be responsible for the cost of the Gas Safety Check.
That the Landlord will inform us if you are aware that the property contains asbestos or may contain asbestos. If an Asbestos survey is needed, you will be responsible for the costs of the survey.
All water systems where there is a tank and shower heads should be run where the property has lain vacant for any time to ensure no build-up of legionella.
That the Landlord warrants that there have been no issues with mould growth or damp at the Property and of which the Agent or any prospective tenant should be made aware.
myDeposits Scheme
As a Landlord you are required under the law to pay any deposit you receive into the MyDeposits Jersey scheme within 30 working days of the payment of the deposit to you by the Tenant.

Non-Resident Landlord

If you are relocating from the Island or Jersey is not or will no longer be your principal place of residence or domicile you will need to comply with the Non-Resident Landlords scheme and supply us and the Tenant with a good compliance certificate from the Government of Jersey Taxes office.

Sale of the property

Should at any time after the commencement of the tenancy unconditional contracts for the sale of the landlord’s property are exchanged with the tenant or any associated party of the tenant, the agency will be entitled to a commission of 1.55% of the gross sale price including GST,

Marketing

The Property will be marketed on our website, on various local property portal websites and Apps as well as where applicable in the local printed press. We also make use of Google Maps to show the location of your property unless you specifically instruct us in writing that you do not wish us to do so.

By your instruction you are confirming to us that you are the owner of the Property and not acting in advance of any purchase or acting on behalf of any third party. If you are still to complete the purchase of your property, we cannot undertake marketing unless you provide written confirmation from the Vendor that we may do so and that you are under binding agreement to purchase the Property.

Viewings

We confirm that all viewings to take place will be carried out accompanied by a member of our staff at our discretion.

Please note that we cannot guarantee that a tenant will be found in the timescale specified due to the nature of the market.

References

Whilst we will take references on your behalf, we take no liability for the references no guarantee can be given concerning the references or the payment of rental by the tenant in the future.

References are requested of:

Previous Landlord or Previous Landlord’s Managing Agent
Employer Reference

Credit Reference

We undertake Credit Referencing of prospective tenants via third party credit reference agencies. We may charge the tenant a fee for a credit reference.

Please advise us in writing if you do not wish the tenant to be credit referenced.

Further we are not able to guarantee that any tenant will ultimately honour any Lease or Agreement in respect of your Property. Whilst it is unusual it is sometimes the case that the tenant will leave before the expiry of the term and may not honour rental or deposit terms. These are circumstances that are beyond our control but may be recoverable under legal proceedings and for which you would need to obtain legal advice.

We use Cashback Limited for our Jersey credit referencing.

Data Protection (Jersey) Law 2018

All information regarding Landlords and Tenant is confidential and will be held strictly in accordance with the provisions of the Data Protection (Jersey) Law 2018.

Insurance

The Landlord confirms that they are responsible for the property being adequately insured for the buildings and contents and that the insurance policy provides cover when the property is occupied with tenants.

Insurance Claims

Where the agent has to deal with any claims arising during the period of management where the property is being managed (i.e., this only applies to properties under the full Management Service) then in such case the Agent will levy additional fees on a time spent basis. The charge out rate for a Director is £250 per hour or part thereof and for an agent is £100 per hour or part thereof.

Indemnity

The Landlord undertakes to ratify actions properly and lawfully performed under the terms of this Agreement and indemnifies the Agent against all costs, claims and expenses incurred by them.

Novation and Assignment:

Neither party may assign, transfer, or novate this Agreement without prior written consent of the other party. Any novation shall be documented in writing and signed by all parties, including the incoming party, and shall take effect only upon such execution. ND Estates reserves the right to assign or novate this Agreement to any successor entity in the event of a merger, acquisition, or corporate restructuring, provided that the Landlord is notified in writing but does not require consent to such merger, acquisition, or corporate restructuring.

Arbitration

Any dispute between Landlord and Agent arising out of this Agreement may be referred by either or both parties to a sole arbitrator who shall be a member for the time being of the Jersey Estate Agents Association or the Law Society of Jersey and to be mutually agreed between the Landlord and Agent.

CHANGES TO THESE TERMS AND CONDITIONS

ND Estates may alter these Terms and Conditions at any time without notice. They will be binding with all clients at the time of notification. If the amendments are due to legislation or statutory changes, they will take effect immediately upon notification. ND Estates will accept no alterations to these Terms and Conditions unless agreed in writing prior to the commencement of the agency and signed by the Director, a copy of which to be annexed to these Terms and Conditions.

[landlord names]

Service Selection:

☐ Let Only Service – [let only fee percent] + GST

☑ Lettings & Management Service – [management fee yearly percent] (or [management fee monthly percent] if monthly billing) + GST

Billing Selection (only if Lettings & Management Service selected):

☐ Monthly Billing – 15% per annum + GST

☐ Yearly Billing – 11.5% per annum + GST

By signing electronically, you agree to the selected service and billing option as stated above.

Electronic Signature Clause:

This Agreement may be executed electronically, including via email confirmation or digital signature, and such execution shall have the same legal effect as a handwritten signature. Counterparts and

Identification

ND Holdings Limited (as owner of ND Estates) is registered with the Jersey Financial Services Commission as a specified Schedule 2 business under the Proceeds of Crime (Supervisory Bodies) (Jersey) Law 2008 and we are required to collect customer due diligence in accordance with the Money Laundering (Jersey) Order 2008.

Therefore, I should be grateful if you could bring into the office as soon as possible one each of the items shown on the list attached to this letter on in order that we may copy the same for our records and retention.

MONEY LAUNDERING OBLIGATIONS

ND Holdings Limited is registered with the Jersey Financial Services Commission as a specified Schedule 2 business under the Proceeds of Crime (Supervisory Bodies) (Jersey) Law 2008 and are required to collect customer due diligence in accordance with the Money Laundering (Jersey) Order 2008

We are required to confirm the identity of all Landlord(s) of property and in this respect, we will require certain documents (listed below) as proof of identity of each individual and address). We are also required to keep a record of the evidence We have verified. If for any reason We are unable to confirm Your identity in the course of establishing a business relationship with You, We reserve the right to withdraw the Property from marketing until formal proof of identity is received.

We require one of the undernoted items for each individual

Identity verification

Current full passport
Armed Forces Card
Police Warrant Card
Current Jersey Driving Licence
Current Full UK Driving Licence
Income Tax Correspondence

Address Verification

We require one of the undernoted items for each individual

Bank/Building society statement (showing current address and dated within the last 3 months)
Income Tax Correspondence
Current Year Parish Rates Bill or Assessment
States Tenancy Agreement
Utility Bill (dated within the last 3 months). Please note that mobile statements are not acceptable.

Please note that the same piece of information cannot be used both identification and address verification purposes.

Registered Private Company

a copy of the company's latest report and accounts (if available) a certified* copy certificate of incorporation and any certificate of e-registration or change of name a certified* copy memorandum and articles of association/incorporation a certified* copy of the registers of members, directors and secretary a certified* authorised signatory list a list of the ultimate beneficial owner(s) of the company. If ownership is not direct, please provide details of the ownership from the company back to the ultimate beneficial owner(s). You may wish to include a diagram and/or attach a separate sheet if necessary a structure chart if the company is part of a multi entity structure
CDD for all Directors

Appendix – Example Let Only Fee Calculation

Disclaimer: This example is for illustrative purposes only and does not constitute a valuation or indication of property value or rent level. There is no monthly payment option

Appendix – Example Monthly Billing Calculation

Example: If the agreed monthly rent is £2,000, the annual rent is £24,000.

Annual fee at 15%: £24,000 x 15% = £3,600

Monthly instalment: £3,600 ÷ 12 = £300

GST at 5% per month: £300 x 5% = £15

Total monthly payable: £315

Disclaimer: This example is for illustrative purposes only and does not constitute a valuation or indication of property value or rent level.

Appendix – Example Yearly Billing Calculation

Example: If the agreed annual rent is £24,000:

Annual fee at 11.5%: £24,000 x 11.5% = £2,760

GST at 5%: £2,760 x 5% = £138

Total yearly payable: £2,898