Tag Archives: Renewal Fees

Can I get out of paying a renewal fee to my agent? Latest Articles, Letting, Lettings & Management, UK Property Forum for Buy to Let Landlords

I let my flat through an agent in 2007 and signed a Letting Agreement with renewal fees. Can I get out of paying a renewal fee to my agent?

I pay the agent 6% each time he finds me a tenant and a yearly renewal fee.

He has found me three tenants since 2007 all have stayed about two years and I have paid the renewal fee but I have never signed another Letting Agreement with them.

Last year my present tenant renewed his contract on a roll-over basis at the same rent. I informed the agent this is what we had agreed and he has not charged me a renewal fee (yet).

The tenancy is due for renewal in a couple of months and he has ‘phoned today asking me if I would like him to write to the tenant. I told him I would deal with this.

The agent has nothing to do with the flat throughout the year, I collect the rent and the tenant calls me to deal with any problems. The agent has nothing to do – he did not even remind me about the gas certificate renewal – he has not even had to produce another contract.

I am going to suggest to my tenant that if he is staying we will continue with the roll-over contract at the same rent.

What is my position as far as the renewal fees are concerned?

I have a feeling he might sting me for two years at 6% at the next renewal.

I have spoken to several landlords that I have now met and they all use agents to find tenants only – no renewal fee.

I would be grateful for some advice please.

Many thanks

Nina


Another Foxtons case from 2010 – reader requests help Latest Articles

Sorry to have to re-visit the issue of Foxtons again! I’m afraid it is the same story of unfair renewal fees. The “good “ thing is that mine is not a new case, just unresolved since 2010.

I had used Foxtons to let a flat in 2009 – at that point I was made to sign all the pages of their Terms and Conditions. We, in any case managed the property ourselves and there were no issues with renewal of tenancy.

I used them again in 2010, and asked them, this time around to manage the property. This time around, I was sent a document to sign, which somewhere read that “I have read and understood……Foxtons’ Lettings and Conditions”. I was however not provided with the actual Terms and Conditions this time around and had no idea about the kind of money they charge for tenancy renewal…….fast forward to Foxtons approaching me to request renewal fees. They took the matter to County court when I said I did not know what they were talking about. Hearing is early next month.

Part of the documents they have put forward is their T&C with “date and time Accepted”, my name and email address, their user ID and IP address, at the bottom of all the pages of the same T&C. They claim this to be proof that I agreed to their T&C, since (according to them) this has the same weight as me physically signing the document. I do not know how true this is.

I believe my options to be:

A) Pay the money they are demanding (£1762.44), especially as I really do not have the time to pursue this and would want to avoid losing a day of work to be in court (as I assume I would have to be physically present?)

B) Hand the matter to one of these “no win no fee” set ups, who specifically target Foxtons cases – I have nothing to loose

C) Look for a more ”standard” firm of solicitors to deal with this.

The other concern I have is that of CCJ. Assuming I were to go all the way and loose the case, at what point does the issue of CCJ come up, especially it is something I can naturally not afford to have on my name?

Any other advice would be greatly appreciated.

Michaelfoxtons


Deposit Protection Service launch insured scheme Landlord News, Latest Articles, Property News

DPS Insured SchemeFor the first time in England and Wales, landlords and letting agents can now choose which deposit protection method they use – either custodial or insured – from the same place.

From April 2 The Deposit Protection Service (The DPS) has become the only provider to offer both services at the same time. Continue reading Deposit Protection Service launch insured scheme


Another question about Renewal Fees (sorry) Landlord News, Latest Articles, Lettings & Management, Property News, UK Property Forum for Buy to Let Landlords

Readers QuestionsI enlisted an Estate Agency (one of the big expensive international ones) to help me find tenants for a property I have to rent out as I can’t afford to live there myself!

Initially I was looking to pay for a Management service, but they were too expensive, so I negotiated a drop in the fees(8% plus VAT now), and for the agreement to be just a letting agreement. I signed the terms and conditions, however realised I got nothing for this letting agreement, and every service was at an additional cost, ie preparation of the contract was £160 plus VAT, etc. so I crossed out some of these services, in fact all of them under the heading Letting Services, and told them I would do everything myself instead, including check in, collecting rent, registering the deposit under the TDS and preparing the inventory. Continue reading Another question about Renewal Fees (sorry)


Dave Gardner of Top Management Wellingborough GOOD Landlords Campaign Sponsors

The GOOD Landlords CampaignDave Gardner of Top Management Wellingborough

Top Management Letting Agents for Northamptonshire, based in Wellingborough, covering Wellingborough, Northampton, Kettering and surrounding towns and villages.

We are landlords ourselves and understand only too well the issues faced by landlords on a daily basis. We don’t charge set up or renewal fees and there are no additional hidden costs for our service, we charge 8% for our Fully Managed service once we have let your property to fully referenced suitable tenants.

We offer free advice to landlords with properties to rent in Northamptonshire just give us a call for a no obligation chat. Continue reading Dave Gardner of Top Management Wellingborough


The Deposit Protection Service announce new pricing structure Landlord News, Latest Articles, Property News

The Deposit Protection Service (The DPS) has announced the pricing structure for its new insurance based deposit protection scheme and rules out membership and annual renewal fees.

In the DPS press release they claim to be offering the easiest and cheapest option quoting:

• We will offer the industry’s cheapest published option for landlords and letting agents to protect their deposits.
• The DPS insured scheme will not be charging membership or annual renewal fees to its customers, so no membership paperwork to contend with either!
• Letting Agents will be charged per deposit monthly by direct debit; the (ex vat) fee to protect each deposit will be just £9.50 (further discounts will be available for volume).
• Landlords will be charged just £15.00 per deposit for deposits under £500 (inc vat), and only £22.20 per deposit for deposits over £500 (inc vat) on a pay-as-you-go basis. Continue reading The Deposit Protection Service announce new pricing structure


Generation Rent and the Evolution of the Private Rented Sector Landlord News, Latest Articles, Lettings & Management, Property Investment Strategies, Property News, Property Sales & Sourcing, The GOOD Landlords Campaign

The evolution of the Private Rented Sector is upon us as buy to let renters of the last decade are starting families and the average UK first time buyer is now 37 years old (40 in London). There has been much talk of “Generation Rent”  but how is the letting industry evolving and keeping pace with this rapid change in the demographic of renters and their requirements?

Could letting agents be missing 30% of the Market? Continue reading Generation Rent and the Evolution of the Private Rented Sector


Renewal fees from letting agents – READERS QUESTION Landlord News, Latest Articles, Lettings & Management, Property News

Readers QuestionsI have a question regarding renewal fees from letting agents and would very much welcome any feedback or advice that readers of Property118 can offer.

I have used the same letting agent for the past 7 years. I do not have a portfolio so felt it would be best to use an agency. The agreement I entered into back in 2004, provided for all renewals to be  charged at 8%. For the first 3/4 years 2 new tenants were introduced and there was one renewal which I renegotiated at a reduced rate of 6%. For the past 3 years the same tenants have stayed. I have negotiated the rent increase, organised the relevant certificates and done the tenancy agreement. The agents have done nothing and did not raise an invoice for the 2011 renewal so I assumed they had accepted they should not be paid as they have done no work on either renewal. Continue reading Renewal fees from letting agents – READERS QUESTION


Letting agents may go bust as illegal fees campaign takes off Buy to Let News, Cautionary Tales, Latest Articles

Landlords are warned to check out that their letting agents protect their money as a new scheme helping tenants reclaim unfair fees threatens make some firms go bust.

Housing charity Shelter Scotland is leading the campaign against rip-off letting agents – and has helped more than 100 tenants start claims for the repayment of thousands of pounds of illegal charges. Continue reading Letting agents may go bust as illegal fees campaign takes off


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