Fees - Is This Normal?

Elle7

So, I put down a deposit of £500 last week.

Today, I've got the final breakdown of fees. I can't believe how much it is!

There is one months rent, and a deposit equalled to just under two months rent, which is expected.

There's then an admin fee, a tenancy agreement fee, an inventory fee, and a reference fee, all over £100.

Once the £500 good faith deposit is deducted, there is still well over £2000 to pay.

I've looked around but agencies don't really make their fees known until you get this far - I'd jokily asked about fees and was told to expect to pay around £1500 all in, so I wasn't expecting anything this high.

Can anyone suggest ways to maybe get them reduced? Is this even possible? I love the apartment and don't want to pull out (agreement says we will lose the £500 anyway, if I do) but I really can't justify paying over £600 purely in fees.

Any advise is really appreciated - this is my first rental and I'm extremely nervous.

BitterAndTwisted

"Normal" is whatever the agent thinks they can get away with. There's no regulation and no experience or qualification required to set up in business as a letting-agent.

I suspect the time to try and negotiate over all of those fees was before you agreed to view any properties or handed over any cash.

Elle7

BitterAndTwisted wrote: »

"Normal" is whatever the agent thinks they can get away with. There's no regulation and no experience or qualification required to set up in business as a letting-agent.

I suspect the time to try and negotiate over all of those fees was before you agreed to view any properties or handed over any cash.

I thought as much. I might still give it a go - the landlord seems desperate for us to move in, he's trying to move the date forward by a week despite referencing having not been done yet, and no contract having been signed.

Trading standards told me that new government legislation meant I could take them to court for the money back if I didn't go ahead - they said letting agents can no longer take any money before the contract is signed?

I don't really want to drop out, though. I just want them to be more reasonable.

Any tips on what to put in an email?

dimbo61

Elle the first months rent is just that RENT so you have the place for 29/30/31 days
The deposit is nearly 2 months rent and that is put in the DPS and should be returned when you leave ( provided the place is clean and no damage subject to fair wear and tear)
Do you have to pay a check in inventory fee and a check out inventory fee ?
Many LL,s are now having professional video inventory companies do the inventory checks. £££
You are dealing with Letting agents who can charge what the hell they like Sorry

ic

No doubt the landlord is paying the same fees, if not more. Agents are out to rob everybody.

Elle7

Do you have to pay a check in inventory fee and a check out inventory fee ?

Yep. £180 each time. £160 for references, £160 for a tenancy agreement, £180 for admin.

I know they have costs, but £160 for a tenancy agreement? Really? £180 for admin seems rich too.

I suppose this is the problem with letting. I was prepared for fees, but in total I'll have paid £1100 in fees (£600ish here and £500 already paid).

I suppose nothing can be done!

Thanks for the replies

maginot

£100 for admin fees is quite a good deal these days. Lots of places are over £150 and then another £100 for each extra tenant. You will get the same with any agency.

Although the deposit seems a bit higher than other rentals. Again just basing it on my experience, but have never paid more than 1 and half times the rent.
You will get this back at the end though, if you return the property in the same condition (minus wear and tear) and remember your last month will be rent free because you pay up front.

You are not going to get a much better deal anywhere else so I wouldn't risk your £500 if you like the property.

Just read you second post, I thought it was £100 all in. That is a crazy amount of fees and would try to claim back the £500 and walk away. An agency that charges that amount are going to start making things up and sending letters that cost £50 a time during your tenancy:eek:

whalster

All fees should be posted in the letting agent window by law .Please try and find a private landlord we are out there , there are even private landlords posting on facebook now , my wife got me an account a few months ago , in fairness I don't really get it will learn though seems kind of random not like posting to forums like on here , after returning to this kind of thing after a long while this is basicvaly like compuserve of the 90's but facebook ! Anyway we as private landlords will do you a much better deal , I am surprised I have not seen any tenants posts requesting property on here , itis money saving afterall

tbs624

maginot wrote: »

..... remember your last month will be rent free because you pay up front.

Rent is always payable in advance from the start of the tenancy - the OP paying one month in advance merely covers the first month not the last one too.

tbs624

whalster wrote: »

Anyway we as private landlords will do you a much better deal

Agreed Ts should try the local LL associations and the local Council for contact details for self managing PRS LLs.,

whalster wrote: »

I am surprised I have not seen any tenants posts requesting property on here , itis money saving afterall

The forum rules don't permit "deals" to be done via the site

tbs624

Elle7 wrote: »

Do you have to pay a check in inventory fee and a check out inventory fee ?

Yep. £180 each time.

Elle7 - query that one in particular . It is usual for the LL to pay for one of the check in/out procedures and the T to pay for the other.

As B&T says, Ts (before coughing up a single penny/signing any paperwork)should always insist on full confirmation of all fees which will be payable. Watch out too for proposed re-charging should you want to extend your tenancy.

Try talking to the LL direct - LLs do not want voids and the LL may sadly not have checked exactly what the LA will be slapping on any potential T in the way of spurious charges.