Rent Monies

blog yellow circle pmgHere are various blog resources related to the rent that is paid at properties, whether you're a landlord receiving, tenant paying, or middle-man managing. Right through from how to correctly charge and collect to how it needs to change over time, this is often the most important factor to managing let properties, and includes simular variations such as licence fees. 

 

The Strange ‘Quarter Days’ For Payments in Commercial Property Leases

quarter days property management guideFor those beginning to deal with leases for commercial property, there can be a striking difference to the way in which monies like rent are paid.

The total money over, say, a year may be easily understood – for example £12,000 each year. But then the lease may go onto how, or more importantly when, this is paid - often on ‘quarter days’.

The Quarter Day Principle

This basically states that the money is paid in 3 month chunks, and not the more popular means of monthly or even weekly in other, say, residential leases. So, the above example means paying £3,000 four times a year, which then totals £12,000 for the whole year.

Now this is a large amount of money, rather than, for example, only £1,000 every month - and to make matters worse...

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How to Spice up Rents With Incentives

rent incentives property management guideWhen it comes to a tenant agreeing a rent with a landlord, the plain-vanilla way is to simply agree an amount, say, every month and then keep it ticking over to the end of the lease. If this can’t be agreed then you can either increase or decrease to suit, and if that doesn’t do the trick then look at the unfortunate scenario of things coming to a grinding halt.

This isn’t good news for everyone really, particularly when the basics are agreed and it’s maybe just the detail and cashflow to thrash out.

Therefore here are a few ways to spice thing up and hopefully get things agreed. They’re particularly useful with commercial lettings where you’re often dealing with bigger figures, longer leases, and different ways in which a business can...

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Making Sense of Inflated Residential Longleasehold Ground Rents

ground rent longlease property management guideThere’s been a frenzy of media attention regarding long leasehold interests for new-build residential properties where there is a ground rent that is dramatically increased in the future. Although some rents may begin small, they may double every number of years which means crazy-high rental levels in decades to come.

According to The Times, this is affecting up to 110,000 dwellings, resulting in them becoming unsellable. Unfortunately the reality of many thousands of pounds’ rent every year in the future rather than, say, hundreds now severely hits the value of the property interest.

And this then affects any ability to secure mortgages, with providers either refusing or being very picky. Nationwide Building Society are saying that they...

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