Terminology – HomeSolutions

Legal Fees

Legal Fees for sales transactions are based on Law Society scales. Each party usually pays their own costs, however, fees may be shared if both parties engage the same law firm.

Floor area

For rental, floor area is usually quoted on a gross basis, however, definitions can vary as to what is included in the net usable area. Note that gross area generally includes common parts such as stairways and lift wells.

Duration of Tenancy (Lease)

A standard lease usually lasts for two years. Occasionally, three years may be agreed upon.

Security Deposit

The security deposit is usually equal to two months’ rent and is retained by the Landlord for the duration of the Tenancy. This deposit is returned in full without interest, provided that there is no damage to the property beyond usual wear-and-tear.

Deposits

Holding deposits are paid by a potential Tenant in order to secure the option to lease a property whilst details of the Tenancy Agreement are negotiated. It is advisable to ask for written confirmation that this deposit is refundable.

Car parking

Provision for one car parking space in villas may be included in the rental price.

Break Clause (Early Termination)

Normally requested by the Tenant. Landlords may grant a Tenant the option of early termination of the Tenancy by giving prior written notice of one month. This provision is negotiable and normally depends on prevailing market conditions.

Agency Fees

Property agents who locate premises and help to negotiate and conclude lease/purchase agreements charge a fee for their services. The purchaser / Tenant pays these fees by either 1% of the sale price or 50% of the monthly rental fee.

Short-term accommodation (less than a six-month period) is charged on a case-by-case basis.