Selective licensing for landlords is a massive rip-off
4 years ago | 12 comments
Are letting agents playing fair with their fees?
3:03 PM, 26th October 2022, 4 years ago
25
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Hello. Our lettings agents found us tenants who stayed a year and then asked to renew for another year. Their contract was renewed for a further year and our agent charged us 8% of ‘incoming rent ‘ for the following year, billing us for the first 6 months of the one year tenancy.
After only a month our tenants had to leave the country for family reasons so gave notice and stayed a further two months.
Two things of concern: a) there was ‘incoming rent ‘ for only three of those six months for which we had paid the agent a percentage upfront, and b) the agents’ terms and conditions state that the percentage of rent they charge for the second year of a tenancy is 7, not 8.
The agents claim that the charge was payable whether or not there was incoming rent (although their invoice states “8% of incoming rent”) and was a fee for renewing the lease.
Are the agents entitled to a percentage of rent never received?
Is it reasonable to expect them to refund the difference between the 8% they charged us and the 7% we should have been charged?
These issues have only come to light now as we prepared our paperwork for submission to our accountant.
Any advice or suggestions much appreciated.
Nancy
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4 years ago | 2 comments
Member Since September 2022 - Comments: 1
3:34 PM, 30th October 2022, About 4 years ago
There’s a lot of agents around & all want your business. If you feel yours is behaving
underhandedly go some where else. You
don’t have to sign their contract without
amendments. DON’T sign without an email
confirming changes. If you are to weak to say no, you shouldn’t be in the business.
Member Since September 2020 - Comments: 16
4:56 PM, 30th October 2022, About 4 years ago
Why on earth use an agent, just advertise with an online agent and pay no management fee. What do they do anyway.
Member Since January 2020 - Comments: 559
9:34 AM, 31st October 2022, About 3 years ago
Reply to the comment left by Timmo at 30/10/2022 – 16:56
Oh dear Timmo
You make an assumption that every landlord has the time, inclination and knowledge to manage their own houses. You’ve only got to read the posts on Property118 to see the lack of knowledge out there. For a sector under increasing scrutiny, it’s positivley frightening how some landlords operate.
Member Since September 2020 - Comments: 16
10:21 AM, 31st October 2022, About 3 years ago
Yes sorry a bit of a flippant response, I’m sure agents do a great job. In my view though a landlord should not be in the business if not absolutely familiar with the rules and regulations.
Member Since July 2013 - Comments: 1266 - Articles: 1
12:36 PM, 1st November 2022, About 3 years ago
I once came across an agent who took the full fee from the rent upfront. It was a 2 year tenancy meaning the landlord would get nothing for about four months. I advised they did not accept this and indeed they got a monthly commission contract.