Letting agency fees

debsue

Not a question just a bit of a rant really. My 12 month tenancy is up at the beginning of June and I have just had a letter from the letting agency. They want £36 to renew the tenancy for 12 months or £60 for 6 months. They also want £36 if I wish to go onto a periodic tenancy, unfortunately this is written in small letters on the tenancy agreement, so I have to pay.

The letter states that if I am moving out at the end of the tenancy I have to give one months notice.

First, I thought that as the tenancy was ending I didnt need to give notice.

Secondly, Im a bit miffed at having to pay £36 to go onto periodic, when I think it is my legal right to do so.

What will they have to do which will cost £36?

Thanks for listening!

GAH

They can't do anything if you go periodic. They may try and send you an invoice which i doubt would be enforceable, sounds like an unfair contract term if you ask me, which if went to court probably wouldn't stand up.

Werdnal

You do not have to give notice if you are moving out on of before the last day of your fixed term. Whilst it is obviously courtesy to do so, as long as your rent is paid until the last day, just up and go!

A periodic tenancy is a statutory entitlement if you do stay past midnight on the last day of your fixed term. There is nothing they need to do to allow it to happen, it costs them nothing, so there is nothing they can legally (or morally - but lets face it LA's and morals don't usually appear in the same sentence), can charge you for.

Do you want to stay or are you looking to move out anyway. If the former, then you have 2 options:

Either ignore the letters and stay put - once you are past midnight on the last day, the SPT kicks in by law and you pay nothing.

Or write back to the LA, keeping a copy, stating that as the SPT is a statutory entitlement, and there is no cost in time, admin or effort by the agents to create this, you are not liable for any fees and should they attempt to invoice you for said fees, you will be taking legal advice to challenge them.

Incidentally, do you know your LL? No doubt these agents will also be charging them unnecessary renewal fees when there is nothing to pay. Many LLs who employ agents don't know the first thing about the rules and regs of letting, and believe everything the agents tell them. If you have a contact address for the LL, copy them with your letter and make sure they don't pay either!

rentergirl

Are you in Scotland? Fees are illegal. And there is much good being done in reclaiming them after they have been paid.

debsue

Hi thanks for the replies. i am staying and will go on the periodic, I wasnt charged anything for this with my last rental property and I am p'd off that they are asking for money. they also want money for a checking out fee, which I havent paid before. Should have read the small print on the contract!
am I right that my contract is with the LL not the letting agency?

I live in England.

thanks again

G_M

A letting agency is .... just an 'agent' employed by the landlord. The property belongs to the LL. The rent goes to the LL. Your contract is with.... the LL.

The LL may or may not be aware that 'his' agent is charging (and p*ssing off) 'his' tenant, for his renewal. Especially if the agent is also charging him!

As said by Wernall above

1) no notice needed if you move out on (or before) the last day of the fixed term. However it really is both polite, helpful, and sensible to provide some notice (if only to get a reference and to ensure key hand-over/check-out inspection/deposit return is smooth.

2) A new fixed term contract will cost you. And will give you security (the LL cannot ask you to leav till it ends). But it also ties you down (you cannot leave till it ends).

A Periodic Tenancy will NOT cost you a penny - just stay. You also get the flexibility to leave at any time (subject to a months notice). But you lose the security as the LL can ask you to leave at any time (subject to two months notice).

Your choice

jjlandlord

G_M wrote: »

The LL may or may not be aware that 'his' agent is charging (and p*ssing off) 'his' tenant, for his renewal. Especially if the agent is also charging him!

Yes, this seems to often happen. IMHO this is some sort of fraud by letting agents as they simply cannot directly charge a tenant at all.
If they do charge a tenant it must be on behalf of the landlord after him and the tenant agreed to it between them.