What PM3 does and does not cover about rent and expenses

Here are two lists about what PM3, our free landlord's fotware. First, the functions it provides. Second, some things it doesn't do.

What PM3 does do

1. Rent requests are created by the system as they become due. See our blog post Rent Figures in PM3 blog post.
2. You can tick off multiple rent requests as having been paid in full.
3. Or you can edit the requests, setting the amount due, amount paid and how the money was received.
4. You can also add second and subsequent payments if the money comes through in several amounts.
5. Outstanding Rent Payments (ORP) show the rent requests that have not been paid in full. You can set a cutoff date so they no longer appear after say six months.
6. Payments can exceed the amount requested, for instance if several rent requests are settled at once. Note that this will leave the requests flagged as ORPs.
7. Expenses are entered, either against a single address or for your portfolio as a whole. Each one can be allocated to a tax category.

What PM3 does not do

1. Opening balances for a tenant or tenancy.
2. Automatic netting off of payments across different rent requests.
3. Payments covering multiple tenancies.
4. Payments for items other than rent.
5. Double-entry accounting.
6. Multiple currency accounting.
7. Splitting income and expenditure between multiple individuals for tax purposes.
8. Allocation of expenses across tax years and across tax categories.
9. Accounting for the reimbursement of expenses from tenants.

Why PM3 stops where it does

We want PM3 to be easy to use. Adding advanced features like those listed above is likely to make the system harder. If you need those more complicated treatments, you may be better off either with paid-for landlord software or with managing the accounting detail on a spreadsheet outside PM3.

Fire alarms - a requirement?

Fire or smoke alarms are a difficult subject for many landlords.

We know that it make sense from a safety point of view but how many of us have actually not got one in our own home because every time you more than crisp your toast they get set off?  Much to the annoyance to you and your neighbours.

Since 1992 it has been a legal requirement to have mains powered smoke alarms fitted to all new buildings.  As yet there is no requirement to have them retro fitted.  If you have a HMO property there are stricter controls and requirements relating to fire safety and in particular smoke or fire alarms.

If you do own a HMO the Housing Act 2004, the Regulatory Reform (Fire Safety) Order 2005 (FSO) introduced duties in relation to fire safety in common areas of Houses in Multiple Occupation (HMOs).


I've got a property which was refurbished with a mains wire fire alarm.  The result?  Every tenant seemed to take great pleasure in disconnecting it.  Is this my responsibility?  Let's face it how many owner occupiers would do the same.  Whilst landlords have a duty of care for their tenants.  I am not aware that this extends to a any statute that stipulates that fire alarms need to be fitted and then maintained in working order.  In reality it seems to be a matter of conscious for many landlords.  I'd be interested in what other landlords think.


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Do you fancy a bit of BTL in 2013?

The Telegraph have pronounced that BTL property is booming. So happy new year to all us landlords out there, and let's all hope 2013 is another, relatively prosperous year, like 2012 was.

For in reality, even though the press might want everyone to think that us 'greedy landlords' are making an absolute packet, in truth, most of us are not. 

We did make a packet - I must admit. Back in the day, many of us made an absolute fortune, but for most of the non-south-eastern landlords, that all largely stopped - back around 2005. Now, most landlords are muddling away making okay returns. Admittedly far better than those you can achieve in most other investments - or savings!

But anyway, let's not burst the press hype bubble - rents continue to grow, and demand for rental property will probably stay on an upward spiral.

The Telegraph even have three celebrities in on the act,  telling you how to do it. There's Phil from Location, Location, Location, and the bouncy Sarah Beeny, and they've even dug up (from under some naff timber decking), Ground-forces 'Tommy the builder',  to give us DIY tips. ( Tip 1, don't put in naff timber decking, it'll go green and sloppy and rot in a few years ).

Where would we be without celebrities telling us what to do - heh?

Anyway if you want to be a BTL landlord, read what all the full hypes all about in this article in the Telegraph.

You never know, you could make an absolute fortune!

Call to landlords to give Universal Credits a chance

A Guardian blogger puts forward the case to landlords to give Universal Credits a chance.

Personally, - I'm not too sure.

Most popular BTL mortgages

Max LTV	Initial Rate	Term	Completion fee	Booking fee	Incentives	Overall Cost for Comparison
85%	5.49% Discount	2 Years	2.5%	£130.00	No	6.9% APR
85%	5.99% Discount	2 Years	2.5%	£130.00	No	7% APR
80%	4.99% Fixed	Feb 28 2015	£1800	£199.00	Free valuation up to £335 for purchases and remortgages and free legals on remortgages only.	6.1% APR
75%	4.39% Fixed	Mar 31 2016	£995	£0.00	Free valuation and free legals for remortgages (properties valued up to £500,000).	5.7% APR
75%	3.74% Discount	2 Years	£1999	£250.00	No	5.4% APR
70%	4.25% Discount	2 Years	0%	£199.00	Free valuation up to £335 for purchases and remortgages and free legals on remortgages only.	6% APR
65%	3.99% Fixed	Mar 31 2016	£995	£0.00	Free valuation and free legals for remortgages (properties valued up to £500,000).	5.6% APR
60%	3.25% Discount	2 Years	£1750	£250.00	No	5.3% APR

Email: info@propertyhawkbtlmortgages.co.uk 

Tel: 029 2069 5446 

IMPORTANT! Due to current market conditions, lenders are withdrawing and replacing products with little or no notice. Please check our website regularly to see the most up-to-date products available.

Your home may be repossessed if you do not keep up repayments on your mortgages.The Financial Services Authority does not regulate some forms of mortgage.

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Compulsory landlord licence arrives

Fortunately the compulsory landlord licence for all landlords only applies to landlords in the London Borough of Newham.  However, it could be a sign of things to come particularly amongst Labour controlled councils.  I've given my view before about the Labour Parties thinly veiled dislike of landlords and everything that they perceive them to stand for.  Other Labour controlled councils could follow Newhams lead and vote for wholesale mandatory licensing in their areas.

Newham Landlord Licence

Newhams private rented property licensing scheme was approved last June and came into force on 1st of January.  It covers an estimated 35,000 private tenancies (one in three of all the borough's households).  Landlords who fail to register could be fined up to £20,000.

The Council spokesman Newham Mayor, Robin Wales said that its' scheme is intended

‘to tackle squalor, overcrowding and illegal dwellings in the east London borough’. And it says three quarters of private tenants have been found to support the scheme.

‘This scheme shows that Newham is leading the country when it comes to tackling bad landlords who flout the law. We will never accept private sector tenants being directly exploited by landlords who force them to live in dangerous and unacceptable conditions’

‘Good landlords have nothing to fear from this scheme. For the bad ones, this a clear message they must clean up their act – or pay the price,’ Wales added


The cost to landlords

The discounted cost to landlords is £150 for 5 years providing they register before the 31st January deadline.  The non discounted rate for the landlord licence is £500.

The question

The question about the scheme is how will having a landlord licence equate to the holder being a good landlord and indeed ensure they are letting out quality accommodation?  This is a question that Newham or non of the other supporters of a basic tick box landlord licence can really answer.  Which begs the other question.  What is the point then?

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