Leasing And Letting Flashcards
Difference between a lease and a licence
Lease has exclusive possession, licence does not. Both can pay rent and has a defined period of term
What are the key points of the unfair trading regulations 2008?
Obligation to trade fairly and honestly
What are the key points in the property misrepresentations act 1967? Types and remedy
3 types of misrepresentation:
-fraudulent misrepresentation
-negligent misrepresentation
-innocent misrepresentation
Two types of remedy
Damages
Unwinding a contract
What are the key points in the Estate Agents Act 1979? 7
You are an estate agent if you deal with people in the transaction of property
Must be transparent about fees and charges in terms of business
Clarity as terms of agency
Honesty and accuracy
Agreement and liability for costs
Openness
Absence of discrimination
Legal obligation to tell the client about offers received
Keep clients money separate
What are 2 main pieces of legislation for estate agency globally and the UK?
RICS global real estate agency and brokerage professional statement 2016
RICS Uk commercial estate agency professional statement 2016
What are the 12 core principles which agents must observe within Uk commercial estate agency 2016?
1 act in honest fair and transparent manner
2 carry out work with due care skill and diligence
3 ensure terms of business are provided
4 avoid conflicts of interest
5 No discrimination
6 good client communication
7 marketing material is honest
8 client money held separately and insured
9 hold appropriate PII
10 clear identification of client
11 give realistic assessments of prices
12 ensure viewings meetings are carries out to the clients wishes
What other advice does RiCs commercial agency 2016 provide ? 5
Acting ethically
Securing instructions
Marketing the property
Implementing the disposal
Acquisition of property
When does the estate agency act 1979 apply? When does it not?
Land interests
Freehold property
Leasehold property with a cap value (long leasehold)
Land itself
Not pure leasehold
What does the consumer protection regulations prohibit?
Prohibits unfair business to consumer commercial businesses. Average customer = reasonably well informed person
What is the max penalty for CPR?
Unlimited fine and or prohibition order
Compensation up to £25,000
Key points under unfair trading regulations 2008? 10
- Regs apply to all lettings
2 Duty of care to all parties
3 declaration of every known
4 must not exert undue pressure on potential buyers
5 pass on any new information
6 any omissions can be a breach
7 full dd required for new instructions
8 must be validated by client
9 policed by trading standards office
10 disclaimers do not apply to this
Name some key differences between misrepresentation act 1967 and CPRs 2008?
Misrepresentation is a false statement of a fact whereas CPRs can relate to omission of facts which influence a purchase
Disclaimer clauses can be effective for misrepresentation act, not for CPRs
CPRs can lead to prison, misrepresentation is being sued for damages
What marketing signage requires planning consent?
What are other restrictions?
2sq m flat or 2.3 sq m v board - only one board per building
Need planning for illuminated and remote boards
Mustn’t be 4.6m off the ground or 1m away from face
When must you remove marketing signage?
14 days after completion of transaction
What legislation does signage relate to? Who is it policed by?
Town and country (control of advertisement) regs 2007
Policed by local authority
