Change the ownership of a rented property

The following information guides you through the process to change the landlord on a rental property.  

There are different reasons that you may decide to change the ownership of a let property, do look at the below simplified flowchart to direct you towards the correct process:

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 Warning

Failure to follow the correct change of ownership process may result in historical transactions and maintenance jobs appearing on the new landlord’s statement

You need to follow the article below to complete a full change of ownership.  

There are 2 scenarios in which you need to consider when changing the ownership of a rented property, with or without rent arrears.  

This article includes: 

Ending the tenancy

  1. Select Tenancies from the main home bar
  2. Find the required tenancy using the Find bar in the dropdown
  3. From the Tenancy Summary click Start Renewal Process button 
  4. Click Not Renewing button

On the Not Renewing Tenancy screen complete as below

  1. Set Tenancy End Date to the date the property changed ownership or is due to change ownership
  2. Untick Create Section 21 Pack?
  3. Untick Schedule Move Out Inventory
  4. Select Yes for Is The Landlord Re-letting This Property With Us?
  5. Select Yes for Show Property On Market Now?
  6. Next Available Date can be left unaltered
  7. Untick Add Forwarding Addresses?
  8. Click Save

On saving you will be taken back to Renewal Details screen 

  1. Click Summary on the top tabs
  2. Click Tenancy Ended button

The Move Out Details screen will then open complete as below

  1. Select Instructed Internal Property Status 
  2. Select To Let for the Property Availability 
  3. Select Yes Keep Property On Market 
  4. Do not tick Issue Move Out Charges? 
  5. Enter Meter Readings Now? Remove the tick 
  6. Click Save

On pressing save, you will be returned to the tenancy screen.  

If the tenancy has rent arrears

You will need to credit all unpaid rents on the tenant ledger.  

  1. Click Tenant Ledger on the top tabs
  2. Click Credit Rent next to the unpaid rent demands

 Note

If a partial payment for a month has been received, credit this demand and add a new demand for the amount received, this will result in a ledger balance of £0.00

For more information on how to change the rent demand click here

Once the tenant ledger balance is £0.00 return the deposit to the tenant on Jupix.  

This process will differ depending on where the deposit is lodged.  

If the deposit is held in the agency’s deposit account

  1. Go to the summary screen of the relevant tenancy record
  2. Click the Transfer Deposit button
  3. You will be asked to confirm which account you are transferring the deposit to, this would normally be the Rent Account
  4. Click Save

Once saved you will then need to reconcile the deposit

  1. Go to the deposit account and reconcile the deposit payment Out
  2. Then go to the rent account and reconcile the deposit payment In
  3. Go back to the relevant tenancy summary screen, the Return Deposit button will now show on tenancy summary

In order for the deposit to be transferred to the tenancy under the new owner, you will need to withhold the deposit in full.  

  1. Click the Return Deposit button
  2. Under Withheld Cash enter the reason Change of ownership
  3. In the Amount box enter the full deposit amount 
  4. Click Save

Once saved the deposit amount will show as Cash Withheld on the tenant's ledger.  

If the deposit is held externally for example with the DPS

  1. Go to the relevant tenancy summary
  2. Click the Return Deposit button
  3. In the Deposit amount returned to agency by scheme (£) box enter the full deposit amount
  4. Click Save
  5. Go to the Rent Account and reconcile the payment In

The deposit will now be left on the existing tenant ledger, ready to be transferred later in the process.  

Duplicate the property

  1. Find the relevant property record
  2. Click the Put On Market button
  3. Untick all Websites
  4. All other details can be left
  5. Click Save

Once saved, this will take you back to the property summary 

  1. Click the Special Actions  button
  2. Select Duplicate This Property
  3. Click Save

Once this action is complete, return to the property summary

  1. Click the Hide From Market button
  2. Click Save
  3. Click the Special Actions button
  4. Click the Withdraw button
  5. You do not need to Create Withdrawal Letter or change the Board Status at this time
  6. Click Save
  7. Returning to the property summary on the Property Details section click the red Edit Property Details 
  8. Edit the property address to include “OLD LANDLORD” or similar at the start of the property address so as to clearly mark this property record as no longer being in use
  9. Click Save
  10. Add a note to this property record by selecting Notes on the top tabs of the property summary
  11. Click the Add Note button
  12. Tick to Keep This Note At The Top 
  13. Add relevant note confirming that the property has changed ownership
  14. Click Save

Setting up the new property record

  1. Find the new duplicated property record using the main Find bar enter the word Copy
  2. Select the relative Copy property record
  3. On the Property Details section of the property summary click the red Edit the Property Details
  4. Remove the word Copy from the property address
  5. Click Save

 Warning

It is essential that you do the following on the copy property and not the original property record so as not to overwrite historical data

Click on the Special Actions button

  1. Select Change Ownership
  2. Enter the new owner's name and click Search if they already have a record in Jupix
  3. Click red Select to allocate the correct owner to this property record
  4. Click Save

Or, if the new owner's details are not already entered onto Jupix

  1. Click Add New Owner
  2. Enter the relevant landlord contact details
  3. Click Save
  4. Then click Save again

Setting up the tenancy on the new property record

  1. From the new property summary
  2. Select the Property Management top tab
  3. Click New Application
  4. Search for the existing tenant by name
  5. Use the red Select to allocate the correct tenant to this tenancy
  6. Follow the process above to add all relevant tenants to this tenancy
  7. Ensure Issue Application Charges is unticked
  8. Click Save

You will be taken to the Application Details screen

  1. Click the Landlord Accepted Offer button
  2. Select No for Keep Property On Market
  3. Select References Pending for Property Availability
  4. Click Save

You will now be back on Application Details

  1. Select the Referencing Successful button

On the Referencing Successful screen

  1. Select the correct Management Type using the dropdown
  2. Enter the Management Fee agreed for the new owners
  3. Select the Management Fee Type using the dropdown
  4. Select the Lease Type using the dropdown
  5. Enter the tenancy Term of the original tenancy or term of the new tenancy agreement 
  6. Select the Term Type from the dropdown
  7. The Tenancy Start Date will be the same as the original tenancy unless a new tenancy agreement has been signed in which case the Tenancy Start Date is the same date as on the new agreement
  8. The Tenancy End Date and Earliest Termination Date should be the same as the original tenancy unless there is a new tenancy agreement 
  9. Enter the Rental Amount
  10. Select the Rental Frequency from the dropdown
  11. Enter the Deposit Amount
  12. Untick Schedule Move In Inventory
  13. Click Save

You are now on the Tenancy Details screen

From here run through the following options, as per creating a new tenancy 

  1. Click Add Missing Landlord Details button and complete the information required
  2. Click Add Missing Overseas Details button and complete the information required
  3. Select Summary on the top tabs
  4. Click Add Deposit Scheme button and complete the information required
  5. Click Record Gas Safety button and complete the information required, ensure that the expiry date matches the existing certificate expiry date 
  6. Add any other related safety certificates
  7. Select Summary on the top tabs
  8. Click Add Landlord First Account button. If no charges are to be applied, change the charge amounts to £0.00 
  9. Click Save
  10. Click Add Tenant First Account button
  11. Set First Period dates from the completion date to the day before next rent is due
  12. Set Standing Order Start Date as the next rent due date
  13. The apportioned rent amount can be amended in the Charge Amount box if required
  14. The deposit amount will be in the Charge Amount box (we will transfer this from the old tenancy later)
  15. Remove any other amounts in the Charge Amount boxes
  16. Click Save
  17. Click Save on the Rent Breakdown screen once you have confirmed the correct details

Transferring the deposit from the original tenancy

To transfer the deposit from the original tenancy

  1. Go to Tenancies on the main home bar
  2. Use the Find bar on the Tenancies dropdown to find the original tenancy record

If the deposit is showing as Cash Withheld on the tenant ledger, it will need to be released in order to transfer it to the new tenancy

  1. Click Tenant Ledger on the top tabs
  2. On the tenant ledger click Add Tenant Expenses button
  3. Use Withheld Cash? Add a tick to the tick box
  4. Expense Payable To select Supplier from the dropdown
  5. Enter the Description Change of Ownership into the box
  6. Amount (£) Enter the full deposit amount 
  7. Inclusive of VAT Select No VAT
  8. Supplier Name This can be any supplier, once added the charge will be credited in full to release the withheld cash
  9. Is this a recurring expense? Select No
  10. Click Save
  11. Click Credit Charge next to the charge that has been applied to the tenant ledger
  12. Click Save

This will give you the deposit amount on the Ledger Balance that can now be transferred

  1. Select Summary on the original tenancy top tabs
  2. Click Special Actions button
  3. Select Transfer Tenant Cash
  4. Total Transfer Amount Enter the total cash balance of the tenant ledger, this should be the deposit amount and any the cash the tenant has on account
  5. Reason For Transfer Enter Change of Ownership
  6. Transfer To Select Tenant from the dropdown
  7. Select Tenancy by Property Address, Landlord Name or Tenant Name - Enter the tenant's name
  8. Click Search
  9. Select the new tenancy record
  10. Click Save

The cash balance will now have been transferred to the new tenancy and allocated against the outstanding deposit.  

Finish the original tenancy

  1. On the original tenancy record
  2. Select the Summary top tab
  3. Click Tenancy Finished button
  4. Click Save
  5. Select Safety Certificates top tab
  6. Delete previous Gas Certificate and any other relevant safety certificates from the old tenancy record to avoid duplicate reminders
  7. Click View Property Record in the top left corner to go to the original property record
  8. Select the Special Actions button
  9. Click Archive Property 
  10. Enter Code
  11. Click Confirm Archive

Finish setting up the new tenancy record

Now transfer the deposit back to its original location

For example your agency deposit account or DPS Custodial

If the deposit is being held by the agency

  1. Select Property from the main homebar
  2. Use the Find bar in the properties dropdown to find the new property record
  3. On the property summary select the Property Management top tab
  4. Scroll down to the Tenancies section
  5. Open the preparing tenancy record by clicking the red View
  6. Click on the Deposit top tab
  7. Click on red More Details under Deposits Held
  8. Click the red Transfer Deposit
  9. Where are you transferring the deposit to? This will normally be your deposit account Select Deposit Account
  10. Click the tick box next to the deposit you wish to transfer
  11. Click Save
  12. Go to your lettings home screen
  13. On your Accounts dashboard select the relevant rent account and reconcile the deposit payment Out
  14. Go to the deposit account and reconcile the deposit payment In

If the deposit is being held externally for example with the DPS Custodial

  1. Select Properties from the main home bar
  2. Use the Find bar in the properties dropdown to find the new property record
  3. From the property summary select the Property Management top tab
  4. Scroll down to the Tenancies section
  5. Open the preparing tenancy record by clicking the red View
  6. Click on the Deposit top tab
  7. Click on red More Details under Deposits Held
  8. Click the red Transfer Deposit
  9. Where are you transferring the deposit to?  select DPS (Custodial)
  10. Click the tick box next to the deposit you wish to transfer
  11. Click Save
  12. Go to your lettings home screen
  13. On your Accounts dashboard select the relevant rent account and reconcile the deposit payment Out, this is the final step in transferring the custodial deposit

 Note

The process of transferring, receipting and paying out the deposits should not have any effect on your reconciled balances

  1. Go back to the new preparing tenancy summary
  2. Select Notes from the top tabs
  3. Click Add A Note button
  4. Click the Keep on Top tick box
  5. Add a relevant note referring back to the old tenancy record for historic enquiries
  6. Click Save
  7. Select the Summary top tab
  8. On the tenancy summary screen click the Tenancy Started button
  9. You now have the option to enter meter readings if required
  10. Schedule next inspection as required
  11. Click Save

Once saved, the process is complete.  

 

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