
Definitions – for both lettings activity and property management
The definition for “lettings activity” that applies to Landlords is as follows:
(a)arranging or conducting viewings with prospective tenants;
(b)gathering evidence for the purpose of establishing the suitability of prospective tenants (for example, by confirming character references, undertaking credit checks or interviewing a prospective tenant);
(c)preparing, or arranging the preparation, of a tenancy agreement;
The definition for “lettings activity” that applies to Landlords is as follows:
(a)arranging or conducting viewings with prospective tenants;
(b)gathering evidence for the purpose of establishing the suitability of prospective tenants (for example, by confirming character references, undertaking credit checks or interviewing a prospective tenant);
(c)preparing, or arranging the preparation, of a tenancy agreement;
(d)preparing, or arranging the preparation, of an inventory for the dwelling or schedule of condition for the dwelling.
This means any Landlord carrying out any of the above activities will need to be licensed not just registered. If a Landlord is not licensed they will not be able to:
- Collect rent
- Be the first point of contact for their tenants
- Make arrangements with contractors to enter the property for maintenance or repairs
- Check the state of the property (do inspection visits)
- Serve any legal notices on the tenant
If a Landlord does not wish to become licensed in order to carry out “lettings activities” they must appoint a licensed agent to carry out this work on their behalf. (The Landlord will still need to be registered with Rent Smart Wales.)
The definition for “property management work” that applies to agents is:
(a)collecting rent;
(b)being the principal point of contact for the tenant in relation to matters arising under the tenancy;
(c)making arrangements with a person to carry out repairs or maintenance;
(d)making arrangements with a tenant or occupier of the dwelling to secure access to the dwelling for any purpose;
(e)checking the contents or condition of the dwelling, or arranging for them to be checked;
(f)serving notice to terminate a tenancy.
A Landlord will be committing an offence if they allow or instruct a letting agent to carry out property management work without a licence. It is advisable to inspect an agent’s licence before instructing them and to retain a copy. An agent cannot apply for a licence on behalf of the Landlord.