Letting agents termination fees

Hi Fred

It depends on the wording of the contract and whether or not it is clear. This was established in case law when the OFT took Foxtons Estate Agents to task over the matter – see >>> http://www.thisismoney.co.uk/money/mortgageshome/article-1689826/Foxtons-unfair-landlord-fees-are-banned.html

Foxtons do still charge these fees and are allowed to get away with it on the basis that it is now clearly expressed in their contracts with landlords.
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As Mark says, read the T’c and C’s that your agent gave you.Most agents (including me) usually provide for a hefty exit charge if you’re keeping the tenant but dispensing with the agent’s service.

The reason is that we don’t want landlords trying the tenant out for six months, then leaving us saddled with it if it proves to be a troublesome tenancy, but dumping us if its a nice straightforward tenancy.

PS Occasionally landlords try to be clever and say “Aha, I didn’t sign your terms of business so you can’t hold me to its terms”. They’re wrong – if they’ve allowed me to let their property and accepted rent minus management fees from me then they have, by their actions accepted my terms of business and are bound by them.

I always read the T&Cs BEFORE the agent finds tenants, it is surprising the number of agent who refuse to let me see the contract before, needless to say they did not get my business.