Cutting out the middle man (Letting property without estate agents)

Cutting out the middle man (Letting property without estate agents)

9:49 AM, 30th January 2015, About 9 years ago 13

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I am a Landlord with a small portfolio of properties in London (mostly within Zone 2). I am using the services of various estate agents but after experiencing everything from bad tenants to having to do everything myself (despite signing up for a “management service”) – to put it bluntly, I feel ripped off, and I don’t feel that estate agents represent value for money. Cutting out the middle man Letting property without estate agents

Without going into all the details, and to get straight to the point, I want to take all of the properties off the estate agents and managing it myself. I am doing all of the work already as it is, and I am paying estate agents on average, in excess of 10% of my rental revenues for the privilege of running around like a skivvy.

The service I am looking for is a simple introductory (and possible viewing), where tenants are vetted (i.e. referenced) – and ideally, the service provider does the property viewing (i.e. showing prospective tenants the property). I am aware that Estate agents provide a similar service, but those I have spoken to so far, want to extract a commission for as long as the tenant remains in the property (even though I will be doing everything from rent collection to management). I want to pay a one off fee (“finder’s fee”, if you like). I’m not interested in paying a recurring commission.

I would like advice from Landlords in London who manage their own properties, on the following details:

1. How do they get their tenants (remember if using third parties for this, I am only interested in paying a “one off” fee)
2. What kind of reference checks do you do (any specific reputable reference agencies?)
3. How frequently do you inspect the property once its let out
4. Do you have the frequency of inspections as part of your AST agreement?

I would be very grateful for any advice from London landlords – who have experience in this matter.

Many thanks

Ronald


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Comments

Joe Bloggs

17:15 PM, 30th January 2015, About 9 years ago

Reply to the comment left by "Kate Cotterell" at "30/01/2015 - 12:21":

our experience is similar to yours with so many agents cold calling. often they pretend to be tenants, or 'looking for a friend'. im amazed however that you would entertain there sales talk, let alone pay a grand finders fee! these people will say anything to get an instruction and personally would not trust such pond life.

Recardo

13:55 PM, 31st January 2015, About 9 years ago

Reply to the comment left by "Mark Alexander" at "30/01/2015 - 12:49":

Hi Mark.
As stated in my post I do my own inventory and provide a DVD of the video I took before a new tenant moves in.

I also do a video on check out, so no dispute.

1 agent I use does a written reference with a few photos, about £250 the other Charges about £350, extra for an inventory if needed.

Both Agents also charge tenant different amounts for the referencing!

As my rents are between £625 and £750 it cost me about half a months rent to find reference and draw up the AST.

Mark Alexander - Founder of Property118

14:46 PM, 31st January 2015, About 9 years ago

Reply to the comment left by "Recardo Knights" at "31/01/2015 - 13:55":

Hi Recardo

So you seem to be saying that you do all of that work just for your own peace of mind?

I say this because the costs to use Letting Supermarket would be very similar, but instead they would be doing all the work thus freeing you up to do something else more profitable or enjoyable with your time. Also, if you screw up you have nobody but yourself to blame, but if they were to screw up then you have recourse to their PI policy if they were your agent.

Thoughts?
.

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