Jargon Buster
Power of Attorney
Power of Attorney is a legal document that gives a third-party right over a property and/or assets.
Probate sale
A probate sale refers to a property being sold because the owner has passed away.
Public Liability Insurance
Public Liability Insurance covers the cost of claims made by members of the public injured because of someone’s business activities.
Purchaser
Purchaser is another name for a buyer in a property sale.
More detailed definitions of purchasers could see them referred to as a cash purchaser, purchasing requiring a mortgage, purchaser dependent on sale, or a first-time purchaser.
Purchasers who are prepared to exchange contracts unconditionally with a seller are known as ‘ready, willing, and able’ purchasers.
Referencing company
Letting agents often use referencing companies to check a tenant’s suitability for renting a property.
These checks include seeking references from employers and previous landlords, as well as a credit check.
Repossession
Repossession refers to a property that has been taken by a mortgage company due to the owner failing to pay back their mortgage.
Rescission
Rescission is where a contract is discharged, and all parties are placed back in the position they were in before the contract was signed.
Resident landlord
A resident landlord is a landlord who occupies part of their rental property as a main home, while letting the remainder of it to a tenant.
Retention
Retention refers to money held by a letting agent from the landlord to carry out any maintenance or work at their rental property.
Right to Rent
Since February 1, 2016, all landlords and letting agents in England have been required to check every tenant’s legal right to rent under the Immigration Act 2014.
Schedule of condition
As part of a property inventory, a schedule of condition should be included outlining the condition of fixtures, fittings, and free-standing items, as well as the property itself.
Section 21
A section 21 notice is the notice issued by a landlord when they wish to regain possession of their rental property at the end of a fixed term without needing to provide a reason for doing so.
