The residential property letting market has become more competitive over the last nine months or so with many home owners deciding, or sometimes having, to let rather than sell, writes Lisa Walker, a member of the Institute of Legal Executives and a property lawyer with Preston Goldburn.

Letting property is no longer straightforward as there is a minefield of regulation to consider. Some landlords use reputable letting agents but a growing number are doing their own letting and they need to be aware of the potential pitfalls.

Here are just some of the issues to consider: 1. A properly drawn up tenancy agreement is essential and can be prepared by either solicitors or letting agents.

2. If the property is mortgaged, the lender’s prior consent to letting must be obtained – unless of course it is a “buy to let” mortgage.

3. It should go without saying that the property must be fit for habitation and all health and safety issues should be considered and addressed. Gas and electrical items must be regularly safety tested and certificated.

4. A Fire Safety Risk Assessment must be carried out in respect of any “common parts” of the property at regular intervals. Furniture must meet current fire regulations – beware, granny’s old sofa is unlikely to! Smoke alarms should be fitted and maintained.

5. There must be an Energy Performance Certificate for properties let after October 1, 2008. Prospective tenants are legally entitled to be supplied with a copy on request. Certificates are valid for ten years.

6. Deposits must be placed in a Government approved Tenancy Deposit Protection Scheme – not in the landlord’s bank account or under the bed!

7. Buildings insurance must cover the particular type of letting, eg. long lets, holiday lets, and should preferably include legal expenses cover. Even if the insurance is the lender’s own, it should not be assumed that this will be valid (again, unless it is a buy to let mortgage).

8. Contents insurance should be in place if the property contains any of the landlord’s own furnishings.

9. If the tenant is in breach of any of the terms of the tenancy agreement, legal advice should be sought before taking action. The last resort – repossession – can only be obtained by court order.

Obviously this is not intended to be a comprehensive checklist. If you need legal advice about property letting, the property department at Preston Goldburn would be happy to hear from you.