Estate agents letting fees

  • Filter
  • Time
  • Show
Clear All
new posts

    Estate agents letting fees

    Can I ask advice on this matter. I've had a property in London since 2006 which is rented. Whichever estate agent I use, they all want to charge a letting fee (let only not managed) on the whole term. Tenants often sign for more than a year and the estate agent is keen to charge a commission for each month/year of the let. I understand that it's usually a month's rent or so in commission, but it seems excessive to expect to pay two month's rent if the tenants are there for 24 months and 3 month's rent if they are signed up for 36 month's. In the second and third year the estate agent has done zero work to earn that commission.

    Why exactly do you want to use an agent for a Let only non-managed?

    The most critical bit of the process which you should be doing yourself (even for fully managed) you are devolving to others. Will end badly.


      So either do it yourself, no agent, or specify 6 months then rolling periodic.
      I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...


        I use an estate agent on a tenant find basis with no management but always interview each of the prospective tenants who pass the tests, i pay 1 months rent as their fee and that is it, if the tenancy lasts 1 year or 10 years i pay that one fee and that is it. Anything else i would not accept.


          reply to Andrew Dodd - I think you've misunderstood. As I mentioned the house has been let since 2006 - the agent finds the tenants and secures the rental amount, draws up the contract - it's a successful operation. My query related to the period the agent wants to charge commission on. That's what I'm asking for comments on - I think it should be a one off based on a year's let and they want to charge for the entire period the tenants are in the house


            reply to: theartfullodger - the question relates to the agent's commission - the contracts are for one year or more and whether the agent should charge commission of a tenant stays longer than a year


              If you have an issue with the agent's commission either do it yourself or find another agency. The terms the agent is suggesting is what their policy may be, others may have a cheaper agreement with yourself. If they have consistently found good tenants, I would be happy to pay them.


                thank you Hudson01- very helpful, would you mind confirming the region the house is in? mine is Islington and I wonder if that makes a difference?


                Latest Activity


                • Reply to Tenant would like loft conversion - dilemma
                  by Hudson01
                  To agree with the above comments, i would not do it. If your tenant came along with a whole load of other builders quoting for the same job then what are the chances you would pick him as being the very best bet ? Just because his is your tenant does not make him the ideal choice..... if anything it...
                  20-01-2022, 15:24 PM
                • Reply to Greetings, I Come in Peace
                  by jpucng62
                  Also consider the date of the EPC - the assessment has change a lot since they came in 10 years ago and and old assessment may be out by quite a lot of points or may have had work done that is not reflected in the EPC.

                  I had a house lose 10 points in 10 years without anything else chan...
                  20-01-2022, 15:22 PM
                • Reply to Greetings, I Come in Peace
                  by jpucng62
                  Some upgrades are easy - LED light bulbs, loft insulation; others much more tricky - floor insulation; party wall insulation; some are just very expensive - external wall insulation.

                  The EPC assessment is not fit for purpose so it is really tricky to know what to do. What I wouldn't do...
                  20-01-2022, 15:20 PM
                • Section 21 superseded new Section 21 - Landlord Vs Tenant 1 Vs Tenant 2
                  by propster717
                  Hi all,

                  I would be grateful for any advice:

                  I'm a landlord as follows:

                  AST - commenced 12/04/2021
                  6 month fixed term, now contractual periodic (has not been renewed).
                  Tenant 1
                  Tenant 2
                  (No children)
                  Guarantor (relation of Tenant 1)...
                  20-01-2022, 15:12 PM
                • Reply to Ending of a tenancy
                  by Jon66
                  I don't want to rain on everyone's parade, but I do not wait for tenants to move out before marketing the property, and I sign the new tenancy agreement providing the current tenant has not attempted to rescind the notice/everything seems to point to them leaving, when they said they would. A 6 week...
                  20-01-2022, 15:07 PM
                • Reply to Greetings, I Come in Peace
                  by jpucng62
                  The last 20 years may have been the 'golden years' for BTL. There is more regulation & higher taxation on BTLs; mortgage costs are going up; tenants are getting more rights & EPC C is coming.

                  The stock market is the place to go instead - £20k per year in an ISA means all tax is...
                  20-01-2022, 15:07 PM
                • Reply to N244 Application Notice Q10 Evidence
                  by rapid111111
                  Thanks for the reply. This is a different case.
                  The defendants are asking to set aside. Any paperwork sent to me has come from the courts only and not them.

                  I've provided the defendants and the court with paperwork in preparation for the hearing to set aside....
                  20-01-2022, 15:03 PM
                • Reply to Greetings, I Come in Peace
                  by davetg
                  I still can't think of a better thing to invest in even given all the new regulations. The lessons i have learnt are:-
                  1) Never let to people on benefits.
                  2) Don't over leverage your borrowing.
                  3) Have access to spare funds for unexpected things like a new boiler being required or...
                  20-01-2022, 15:00 PM
                • Reply to Possession hearing
                  by davetg
                  The two I have done were quite informal - the tenants didn't show up so I had to wait quite a while as they give every opportunity for them to arrive late.

                  I was shown into a room with the judge sitting at a big table and offered a seat on the other side of the table. The judge looked at...
                  20-01-2022, 14:49 PM
                • Possession hearing
                  by Gizmo1959
                  I am a LL and am due to attend a Possession Hearing on one of my properties in March
                  Would appreciate any information on what I need to take with me and what to expect when I get there
                  20-01-2022, 14:22 PM