Case study Flashcards
Tell me what safety procedures you followed when booking and carry out you inspection?
✔ Follow RICS “Surveying Safely” Principles – Risk assessment, awareness, and proper planning.
✔ Comply with Health & Safety at Work Act 1974 – Employers must ensure safety policies are in place.
✔ Use a Lone Worker Device – Some firms provide GPS-tracked safety alarms
What are the safety protocols to following on and before an appointment?
Pre-Inspection Preparation
✔ Notify Your Office/Colleague – Share your location, time, and expected duration.
✔ Check Client Details – Verify identity to avoid fraudulent or unsafe situations.
✔ Assess the Property Risks – Research potential hazards (e.g., structural instability, dangerous occupants).
✔ Carry a Charged Mobile Phone – Ensure you can call for help if needed.
✔ Plan for Lone Working – If working alone, follow a lone worker policy, such as check-in calls.
2️⃣ Arriving at the Property
✔ Park in a Safe, Well-Lit Area – Avoid secluded or poorly lit spots.
✔ Observe Surroundings – Look for signs of suspicious activity or unsafe conditions.
✔ Keep Exit Routes Clear – Do not let yourself get trapped inside.
3️⃣ During the Inspection
✔ Be Cautious with New Clients – Stay near an exit if meeting an unknown client alone.
✔ Do Not Enter Dangerous Areas – Avoid basements, lofts, or structurally unsafe parts of the building alone.
✔ Watch for Aggressive Behavior – If a client acts suspiciously, leave immediately.
✔ Wear Appropriate PPE – If the site has hazards (e.g., construction work, asbestos risk), wear safety gear.
4️⃣ After the Inspection
✔ Report Any Incidents – If anything unusual or threatening occurs, document and inform your employer.
✔ Check Out With a Colleague – Let someone know you have safely completed the visit
What due diligence did you carry out on the tenants?
I requested that the tenants bright in the original hard copies of their proof of address and proof of ID.
They needed to come into my office person so that I could verify their identity and to scan a copy of their passport.
The proof of address had to be dated within the last three month and ideally needed to be a bank statement, mortgage statement or utility bill. This was also scanned onto my system for my records
Outline RICS market appraisal guidelines?
The RICS Market Appraisal provides an estimate of a property’s value based on current market data and the property’s characteristics. While it is not legally binding like a formal RICS valuation, it should still follow best practices to ensure that clients receive accurate, ethical, and well-supported advice.
What AML did you follow when taking client funds?
I would complete a matrix form which is post of my company procedures for all transactions. The form will access if the transaction was high or low risk.
High risk would be if there was two or more high risk factors such as funds not coming from a UK account or transaction over 10,000.
Following CDD, land reg checks, POA and POI
What are the Penalties for Non-Compliance of AML?
Failure to carry out AML checks or register with HMRC can lead to:
Fines
Criminal prosecution
Reputational damage
What are the landlord obligations under the landlord and tenant act 1985?
Under the Landlord and Tenant Act 1985 (and related legislation), landlords have several key obligations designed to ensure that the property is safe, well-maintained, and fit for habitation. While the specifics can vary depending on the type of tenancy and any additional contractual terms.
Repairs and maintenance
Legal Compliance:
In addition to the Landlord and Tenant Act 1985, landlords must comply with other related legislation, such as the Housing Health and Safety Rating System (HHSRS), which assesses potential hazards within the property.
Why did you use a AST and not assured tenancy?
the use of an AST rather than an assured tenancy agreement reflects the legal, practical, and market considerations that favor a tenancy arrangement where both parties understand their rights and obligations, and where the process for regaining possession is clear and legally supported
How is the renters reform going to affect your current procedures?
- Changes to Eviction Processes
Abolition of No-Fault Evictions:
The proposed removal of Section 21 evictions means landlords will no longer be able to regain possession without proving a reason. Lettings agents will need to update their processes for managing tenancy terminations, ensuring that any eviction is justified under the new “just cause” criteria.
Enhanced Notice Requirements:
Agents will need to ensure that notices given to tenants comply with any revised timelines and requirements, including clearer communication regarding the reasons for termination and the steps tenants can take to contest decisions. - Increased Tenant Protection and Support
Greater Security for Tenants:
With stronger protections in place, lettings agents must adjust their client communication and documentation practices. This includes providing detailed information about tenants’ rights and ensuring that contracts are updated to reflect the new legal framework.
Improved Handling of Disputes:
There may be new or enhanced dispute resolution mechanisms, requiring agents to establish or update procedures for mediating conflicts between tenants and landlords. - Compliance and Record-Keeping Enhancements
Updated Compliance Procedures:
Lettings agents will have to revise their internal processes and training programs to ensure all staff are familiar with the new legal obligations. This could involve updating compliance checklists, contract templates, and IT systems to capture required data.
Stricter Record-Keeping:
The reforms may impose more rigorous standards for documenting tenant communications, notices, and the grounds for tenancy termination. Lettings agents will need to ensure that their record-keeping systems are robust enough to withstand regulatory scrutiny. - Impact on Marketing and Tenant Onboarding
Revised Marketing Information:
Agents will need to update marketing materials and tenancy agreements to accurately reflect the new tenant rights and landlord obligations, ensuring full transparency.
Enhanced Tenant Due Diligence:
The reform may require a more detailed and proactive approach during the tenant onboarding process, including providing clear information about tenancy terms and any changes brought by the new regulations. - Training and Internal Policy Updates
Staff Training:
To effectively implement these changes, letting agents will need to invest in comprehensive training for their teams on the new rules and best practices under the reform.
Policy Revisions:
Internal policies and procedures, including risk assessments and client guidance materials, will need to be reviewed and updated to align with the new regulatory environment.
What due diligence did you carry out on the client/landlord?
- Identity Verification (Know Your Client – KYC)
Individuals:
Full name, address, and date of birth.
Proof of ID: e.g. passport, driving licence.
Proof of address: utility bill, bank statement (dated within the last 3 months).
Companies or legal entities:
Company name, registration number, and address.
Verify with Companies House.
Identify and verify Beneficial Owners (those with 25%+ ownership).
Check company directors’ identities and authority to act.
2. Property Ownership Verification
Confirm that the landlord owns the property or has legal authority to let it.
Use HM Land Registry to verify ownership details.
If the landlord is not the registered owner, obtain:
Power of attorney.
Proof of consent (if a managing agent is acting on their behalf).
3. Anti-Money Laundering (AML) Compliance
Carry out AML risk assessment on the landlord.
Check for:
Politically Exposed Persons (PEPs).
Sanctions list screening (UK Sanctions List, OFSI).
Determine whether enhanced due diligence (EDD) is needed for high-risk landlords.
4. Mortgage & Insurance Confirmation (Where Applicable)
Ask if there’s a mortgage on the property.
Confirm the lender allows the property to be let.
Check that the landlord has:
Landlord insurance (buildings + liability).
Consent to let from the mortgage provider.
5. Legal Compliance Check
Ensure the landlord understands and is prepared to comply with their legal obligations, including:
Gas Safety Certificate (CP12).
Electrical Installation Condition Report (EICR).
Energy Performance Certificate (EPC – rating E or above).
Fire safety (especially for HMOs).
Deposit protection (within 30 days).
What methodology did you use when conducting your market appraisal?
I used the comparative method primarily, adjusting for any unique features or differences between the subject property and comparables.
Consider other methods where appropriate, such as:
Rental valuation (for letting appraisals).
Investment yield approach (for income-generating properties).
Provide a price range rather than a single figure, as the market is dynamic, and fluctuations may occur.
What was the first thing you determined when you received the request for a market appraisal?
I determined the Purpose of the Appraisal and clarified the client’s needs – Why are they seeking the appraisal (e.g., selling, renting, investment)?
Ensure the appraisal serves its intended purpose, whether for pricing or advice, and clarify that it is not a formal RICS valuation.
What regulation states you need permission to hold personal data?
General Data Protection Regulation (GDPR) – Article 6
Under Article 6 of GDPR, an organization must have a lawful basis to process personal data. The six lawful bases include:
1️⃣ Consent – The individual has given clear permission for their data to be used for a specific purpose.
2️⃣ Contract – Data processing is necessary for a contract with the individual (e.g., providing a service).
3️⃣ Legal Obligation – Required by law (e.g., tax records, employment laws).
4️⃣ Vital Interests – Necessary to protect someone’s life (e.g., medical emergencies).
5️⃣ Public Task – Needed for official duties (e.g., government functions).
6️⃣ Legitimate Interests – The organization has a genuine reason, but it must not override the individual’s rights.
How did you measure the property on Chasley Road?
I measured the property by using IMPS 3B as outlined the international property measurement standards
Why did you use IMPS 3B
IPMS 3B is the measurement standard used to calculate the internal floor area available for exclusive use within a residential unit. It closely reflects what is commonly understood as “livable” or “usable” space by both industry professionals and the general public.
What is the difference between the measuring code of practice and the international property measurement standards?
The Measuring Code of Practice is traditional and UK-specific.
IPMS is the modern, globally recognised system designed to standardise property measurement worldwide.
RICS now encourages the use of IPMS across all markets.
How do the referencing company carry out their checks on the tenants?
Here’s a breakdown of how HomeLet carries out tenant referencing checks:
- Identity Verification
HomeLet will verify:
Full name, date of birth, and address history (usually 3 years).
Proof of ID (passport, driving licence).
Right to Rent check (in compliance with UK immigration law).
- Address and Credit History Check
HomeLet uses credit referencing agencies to:
Check for County Court Judgments (CCJs), bankruptcies, and insolvencies.
Confirm address history through electoral roll and credit data.
Review existing credit commitments.
This gives a credit score and an indication of financial reliability.
3. Income and Employment Check
Verify the tenant’s income meets affordability criteria (typically 2.5x–3x the rent).
Contact the employer to confirm:
Employment status (e.g. permanent, fixed-term, probation).
Position and length of service.
Gross annual income.
For self-employed tenants, they may request:
SA302s (tax returns from HMRC).
Accountant’s reference.
4. Landlord or Letting Agent Reference
Contact the current or previous landlord/agent to confirm:
Payment history (any late/missed rent).
Property condition upon departure.
Tenant behaviour or disputes.
- Affordability Assessment
Based on the gathered information, HomeLet:
Calculates whether the applicant can afford the rent, factoring in their income and debts.
May recommend a guarantor if the tenant doesn’t meet the criteria.
- Guarantor Referencing (if needed)
If a guarantor is required, they go through similar checks:
ID and credit check.
Employment and income verification.
Affordability (often 3–4x the rent).
- Final Report and Recommendation
Once all checks are complete, HomeLet provides the agent or landlord with a reference report that includes:
Pass / Fail / Conditional status.
Detailed breakdown of risks or concerns.
Recommendations (e.g. require a guarantor, larger deposit).
Turnaround Time
Most references are completed within 24–48 hours, depending on how quickly third parties (e.g. employers, landlords) respond.
Tell me about the carbon monoxide regulation?
Best Practice for Letting Agents:
Include CO alarm checks in pre-tenancy inspections and mid-term property visits.
Ensure all compliance is documented and landlords are informed of their obligations.
Use a Property Safety Checklist to confirm all alarms are present and tested.
Where are CO2 alarms required?
Landlords must install a carbon monoxide alarm in any room used as living accommodation where there is a fixed combustion appliance.
This includes appliances burning solid fuel or gas (e.g. gas boilers, wood burners), but excludes gas cookers.
How do you protect client data?
- Collect Only Necessary Data
- Inform Clients (Transparency)
- Lawful Basis for Processing
- Secure Storage of Data
- Access Controls
- Staff Training
- Data Sharing and Third Parties
- Retention and Disposal
- Breach Detection and Reporting
- Regular Audits and Reviews
How did you following RICS guidelines when conducting this market appraisal
- Property Inspection
Carry out a thorough inspection of the property, recording:
Size (measured in accordance with IPMS)
Layout, condition, specification, and finish
Legal considerations (tenure, restrictions, lease terms if applicable)
Location, access, parking, outdoor space - Comparable Evidence (Sales or Lettings)
Gather recent, relevant comparable evidence, typically:
Similar properties in the same area
Recently sold or let (ideally within last 6 months)
Similar size, type, age, condition, and features
Use sources like:
Land Registry (sales)
Property portals (Rightmove, Zoopla)
Letting agents’ data
RICS property databases
Adjust for differences (e.g. garden, parking, square footage, refurbishment). - Market Conditions Analysis
Assess current supply and demand in the local market.
Is it a buyer’s/tenant’s market or a seller’s/landlord’s market?
Time on market trends
Seasonal influences
Economic and regulatory factors (e.g. Renters Reform Bill) - Client Objectives
Understand the landlord’s or vendor’s goals:
Are they looking for a quick sale/let?
Are they willing to wait for a higher offer?
Recommend a pricing strategy based on their preferences:
Guide price vs asking price
Offers in excess of (OIEO) / Offers in region of (OIRO) - Legal and Compliance Factors
Consider anything that may affect value or marketability:
EPC rating (especially for lettings)
Tenancy status (if occupied)
Planning or building control issues
Leasehold terms (ground rent, service charges, lease length) - Reporting to Client
Present findings in a market appraisal report, which includes:
Summary of inspection and property description
Comparable evidence table
Recommended market price or rental value
Suggested improvements (if applicable)
Marketing strategy and next steps - Professional Judgment
Apply experience and local knowledge to fine-tune the figure.
The final pricing recommendation is a reasoned opinion, supported by evidence — not just an algorithm or average.
What is the difference between a valuation and market appraisal?
Formal - A valuation would be used to determine a property’s value for inheritance tax or a bank mortgage.
Informal - A market appraisal would be given by an estate agent to advise a seller on a listing price for marketing.
What is a red book valuation?
A Red Book valuation is a formal, RICS-compliant valuation carried out by a qualified RICS Registered Valuer following the standards set out in the:
RICS Valuation – Global Standards
(commonly known as the “Red Book”)
Have to ever conducted a valuation?
Lettings agents can provide market appraisals for rental or sales purposes but cannot carry out a Red Book valuation unless they are also a RICS Registered Valuer.
Red Book valuations are formal, regulated, and must follow rigorous standards, typically performed by RICS members with specific valuation qualifications.
Have you ever conducted a red book valuation?
Yes I have and got it signed of by a qualified chartered surveyor?
1.Understand the Standards
2.Professional Qualifications
Ensure that the person performing the valuation is a qualified RICS member, typically a Chartered Surveyor. This is an essential requirement, as only RICS professionals are authorized to carry out Red Book-compliant valuations.
- Purpose of the Valuation
- Valuation Methodology
- Assumptions and Special Conditions
- Compliance with Local Regulations
- Disclosure of Conflicts of Interest
- Documentation and Reporting
- Market Conditions
- Valuation Review
For complex or high-value properties, it may be necessary to have the valuation reviewed by another qualified professional to ensure the process complies with the Red Book standards.
How would you advise a landlord whose property has an EPC rating below E?
Under the Minimum Energy Efficiency Standards (MEES) regulations, it is unlawful to let or continue letting a non-domestic property in England and Wales that has an EPC rating below E, unless an exemption applies.
Recommend aiming for a higher EPC rating than the minimum E, as future legislation may raise the minimum to C by 2027 and B by 2030.
What is a green lease, and have you worked on one?
A green lease is a standard commercial lease that includes sustainability-focused clauses, designed to improve the environmental performance of a building. These clauses encourage or require the landlord and tenant to collaborate on issues such as:
Energy efficiency
Waste management
Water usage
Carbon emissions
Sustainable materials
Data sharing on building performance (e.g. utility usage)
The goal is to reduce the environmental impact of the property during its occupation and management.
