Trying to rent - OMG Agency Fees!!

silversnaffles

Ok so I'm looking to move out, and am beginning to think it may be easier to try and get a mortgage.
Most places are asking for £400 a month without any bills included so that ends up pushing my monthly bills to nearer £600.
And then every advert I see has the cheek to ask for a months bond, (ok), month in advance, (again, ok although a bit of a stretch) and 1 weeks rent as an agency fee PLUS vat :mad:
I mean when you buy a house you don't pay the agent, the seller does so why is it different for renting?? I'm finding the whole thing totally prohibitive and fear I may be living at home forever
Is it just me? Or is it the same everywhere in the country?
x x x

BLT_2

silversnaffles wrote: »

Ok so I'm looking to move out, and am beginning to think it may be easier to try and get a mortgage.
Most places are asking for £400 a month without any bills included so that ends up pushing my monthly bills to nearer £600.
And then every advert I see has the cheek to ask for a months bond, (ok), month in advance, (again, ok although a bit of a stretch) and 1 weeks rent as an agency fee PLUS vat :mad:
I mean when you buy a house you don't pay the agent, the seller does so why is it different for renting?? I'm finding the whole thing totally prohibitive and fear I may be living at home forever
Is it just me? Or is it the same everywhere in the country?
x x x

Welcome to the world of renting property. Consider yourself lucky you only have to pay 4 weeks bond, the usual charges now are:

One months rent up front
6 weeks bond up front
250 pound agency rental fees, to cover credit check, completion of inventory etc etc.

On average you need to look at the monthly rent and then triple it to cover yourself safely.

elvis86

I don't really think you can object to the deposit and rent being paid up front (eg rent paid on the 1st for the month ahead).

However, I agree with you that fees are extreme. Our agents wanted £120 referencing fees, and I know for a fact they didn't contact my employer! So presumably they just did a credit check..

Not only that, but when I moved from one of their properties to another, they still charged me £120 again!

PLUS, when I renewed by new tenancy, I had to pay another £30 for the priviledge!

sequence

Yes, renting is an absolute rip off in this country, and you can expect to receive a poor service as well as being treated as though you are a nuisance to the landlord rather than a paying customer.

gazfocus

When I found the house I currently rent, I had to pay one months rent, plus 1.5 months rent as deposit plus £165 agents fees. The total amount was £1790!!

moromir

With all due respect, I think you need a bit of a reality check! Those fees sound pretty standard, £100 for referencing/agency fees is a lot lower than I've seen other tenants on here quoting.

I also don't entirely follow why you think its a cheek for the rent to be paid in advance of you receiving the goods (accommodation). Its like getting on a bus, you pay before you ride

As for how far your rent money would get you, you're looking at £600pcm without bills for a older style 1 bedroom flat in a not very nice area in the town I live in.

I'm guessing you're pretty young, all I can recommend is reading up on letting (your local library will have some free pamphlets) and understand your obligations under a tenancy agreement and also what the landlord should be doing so you know your rights if anything goes wrong.

Have you considered a house share? These often work out a lot less than renting somewhere on your own (but come with their own problems if one of your house mates doesnt pay the rent due to being jointly and severally liable).

You sound like £400 pcm is a significant portion of your income, if this is the case then your total income might be low enough to qualify for single room allowance benefit from the local housing authority, which is something else you could look into.

PasturesNew

Yes, it's outrageous and prohibitive.

Last time I rented I had to pay:
£176 credit checking fee
1.5 months' rent up front as a deposit
Usual month up front

This for many people could easily be £2000-3000.

I was lucky as it was then managed by the LL so I didn't have any inspections, nor checking out fees.

But it's certainly stopped me wanting to ever rent again.

Renting's a pain for other reasons too, like having to sign up with all the utilities, possibly signing 18-24 month agreements even though your AST's for six months.

I was lucky in that I chose to leave my last place... but others find having forked out all that money that the LL wants to sell 6 months/a year down the line and they have to find all that money again.

bristol_pilot

It may or may not be cheaper to buy, it depends where you live. In general it is cheaper to rent in areas where house prices are very high and there is a lot of rental supply.

If you are renting, a month's rent up front and a bond are entirely normal and pretty much unavoidable. Bills are almost never included, unless you are going in as a lodger with the landlord living on the premises. Agency fees, credit checks and the like are another matter - rent directly from a landlord and you will not have to pay any of this rubbish. (I find the so-called credit check particularly objectionable - neither the agent nor the landlord is providing the applicant with credit). Actually, the landlord does pay the agent - agents rip off landlord and tenants alike - so there is a supply of private landlords who rent directly to tenants. They tend to offer better value property (in my experience) due to not paying agents fees and are often experienced landlords who know how to behave (or at least comply with the law). The best way to find a private landlord is by word of mouth, but failing that try the small ads, internet or even your local newsagent's window.

bristol_pilot

elvis86 wrote: »

So presumably they just did a credit check..

It's a fairly safe assumption they did no checks at all.

dawyldthing

gumtrees usually useful too, and if you put your ad up for what your looking for it saves trawling through all the ones that there are available

moromir

dawyldthing wrote: »

gumtrees usually useful too, and if you put your ad up for what your looking for it saves trawling through all the ones that there are available

It is also full of scams and dodgy dealers, it is simply not the place for someone who is obviously young and inexperienced with renting a property.