Property clinic

Q My wife and I were abroad last week and when we returned we noticed that the alarm in our house wasn't on. W e live in a rented house and definitely set it before we went away . We were initially quite concerned when we returned and phoned the landlord. He told us that he had to drop into the property to pick up some post that was sent there in his name as he used to live in the house . We were not impressed as he didn't have the courtesy to notify us and didn't seem to think there was anything wrong with this. Can the landlord do this?

AAs auctioneers managing more than 1,300 properties in Dublin, we have a strict policy of not entering any tenanted property without due notice or consent of a tenant unless in the case of an emergency.

The Residential Tenancies Act 2004 states that the landlord may, at a reasonable time, given reasonable notice (unless in the case of emergency) enter the property for viewing, inspecting its condition and state of repair or for the purpose of repair, maintenance or repainting.

The matter you raise is obviously of great importance to you, and naturally so. As you stated, whilst the landlord entered your property without notice, he didn’t believe there was an issue with this.

Aside from the Act your tenancy agreement should set out the arrangement for landlord access to the property. Your residential tenancy agreement would have been provided to you at the beginning of your tenancy and highlights the rights and responsibilities of both you and your landlord.

In this instance the landlord did not notify you about entering the property,which is a legal requirement. He also showed a lack of care and attention by failing to reactivate the alarm system. This issue should be discussed and documented with the landlord, and you should outline your concerns and rights as a tenant.

It would appear that the landlord is in breach of the legal requirement and the tenancy contract. You may report this to the Private Residential Tenancies Board or you may wish to advise the landlord of the breach and request that he does not enter the property again without first contacting you and giving you an acceptable period of notice.

Other points of reference or support may be obtained from Threshold or the Citizens Advice Bureau

Fergal Hopkins is a chartered surveyor

Q We are a couple of first-time buyers and we have been monitoring the success of recent auctions. We would like to buy a house at an auction later this year if we can find the right one. How do we prepare for this and what do we do on the day?

AAuctions have become increasingly popular in recent years. However, they can also be stressful experiences for people who do not know what to expect and are ill-prepared.

As a potential buyer, your first step is to get a copy of the property brochure from the auctioneer or visit their website. This contains the details of the property or properties to be auctioned. I would also recommend engaging a solicitor to review the contract. Many bidders don’t and it is a false economy. Be sure to check addendum for last-minute changes, as the contract is binding.

From the seller’s solicitor you will need the legal pack, which contains the contract and other documents such as title information, maps and other particulars.

Ensure that you have all due diligence done prior to auction day, including inspection, survey, and title review. It is also vital have a loan offer in place, not just loan approval.

If you wish to purchase a property, you will need to be in a position to put down a deposit and have the financing to close the deal.

Now that you have had the property surveyed, have obtained a loan offer and your solicitor is satisfied in relation to the title and has advised you of the conditions of the sale of the property you wish to buy, it is time to attend the auction.

Always make sure you know where the auction rooms are and leave plenty of time to find parking.

It is important to establish your maximum bid limit and not to go above it. Do not be pressurised into making bids that you are not comfortable with or cannot afford.

Once a property is declared “on the market”, it will be sold if there are no higher bids. Before the hammer goes down, the auctioneer points to the highest bidder and states the final amount bid. Once the hammer falls, there is a binding contract, which is subject to the conditions of sale. If you’re the buyer, you will be asked to sign the contracts and pay a non-refundable deposit.

If a lot doesn’t reach its reserve price, the auctioneer announces that it has not been sold, declares it withdrawn and doesn’t bring down the hammer.

Good luck.

Rowena Quinn is a member of the Residential Agency Professional Group of the Society of Chartered Surveyors Ireland , scsi.ie

Q Given that property prices have been falling for the p ast six years and are stabilis ing only in certain suburbs of our main cities, wouldn't it be prudent for property tax purposes to place your house in a band below what you think it's worth right now?

Because of excess supply, property prices are falling in most places like here in Offaly and it looks as if they will continue to fall. Once you settle on a valuation you are locked in until 2016 so doesn't it make sense to do that? Will Revenue really be able to query it in three years' time?

Isn’t it worth a risk? Given the sums involved they are hardly likely to come after you.

ARevenue have started the issuing of LPT return forms this week and over the next four weeks all of the almost 1.7 million households in the country should receive the notifications. The relevant legislation is the Finance (Local Property Tax) Act 2012, with some additions provided in the 2013 Finance Act. It comprises 159 sections in 17 parts and is one of the most comprehensive pieces of legislation passed in a number of years. There are very few exceptions or deferrals to the liability.

The key date in terms of the question is the valuation date, which for this period is May 1st, 2013. The value on that date should be assessed in accordance with Revenue guidelines and it is the basis on which the tax will be levied until 2016.

The big issue, of course, is attempting to arrive at an accurate valuation in the current market, particularly outside Dublin where there are very few transactions. Revenue has established an interactive map giving a property valuation guide, a record of house prices is available on the PSRA website, psr.ie, and there are a host of property websites available where householders can look at asking prices. The information from all these sources should be interpreted with care.

This is a self-assessment tax, meaning the responsibility of the accuracy of the return rests with the house owner. There are significant fines and penalties of up to €3,000 associated with non-compliance.

Given that the valuation date is set, values should be assessed on that date, and should not be based on how you see the market in future years.

I expect that Revenue will, when creating the database of values, have regard to spikes in values, over the average values it sees arriving on the returns, and I expect that where certain values are out of kilter with other properties in the same area without good reason, the values will be queried.

I do expect that significant variations will occur, particularly in rural areas where, for example, newer very large homes are located beside smaller cottages and bungalows.

The timing of the introduction of the tax is unfortunate, but there is little that can be done at this stage to avoid it.

My recommendation is to be as honest and accurate as possible in preparing your return.

Ed Carey is the c hair of the Residential Agency Professional Group of the Society of Chartered Surveyors Ireland, scsi.ie