Extending a rental agreement - quite high charges?

ninjablossom

I have received a tenancy rental extension form if I wish to do so.

It states if the tenancy is extended you will be asked for a payment of £114 which is chargeable at 20% as my share of the admin costs.

So whilst this seems extortionate - no credit checks, no inventory to do... I make their claim of full admin costs £570 for extending a tendency. Does this sound rather high? are agencies actually allowed to get away with this?

(I have never in 10 years been charged for rolling a tenancy - I guess the landlord just dealt with it but it sounds like day light robbery to me) especially when a % of the rent goes to them for handling fees.

I have emailed them to breakdown what is covered in this 'admin cost' - it just sounds like a rip off who ever pays.

Fire_Fox

Welcome! It's worth running an advanced search, this issue comes up several times a week.

What are you being charged for, a new fixed term Assured Shorthold Tenancy? Are you aware that if you do nothing and pay nothing the expired fixed term of your tenancy automatically becomes a statutory periodic tenancy? Would you be happy with having to serve one months notice on your landlord or be served two months notice to quit by your landlord (both coinciding with a rent period) if either of you wished to end the tenancy? If so you do not have to pay 20% of anything.

ninjablossom

thank you!

Yes I'd be happy with that - must have been what happened in my past tenancy's.

And 2 of the options are to have a 6 month with no break clause or a 6 month with a break clause (not defined) - which means if I selected one of of those options, they would charge again after 6 months if I extended - someone could easily just sign away this stuff and pay if they didn't check. Makes me really angry.

I will do an advanced search

G_M

Ending/Renewing an AST (what happens when the Fixed Term ends?)(What is a Periodic Tenancy?)(How can a LL remove a tenant?)(How can a tenant end a tenancy?)

tbs624

Fire_Fox wrote: »

Welcome! It's worth running an advanced search, this issue comes up several times a week.

What are you being charged for, a new fixed term Assured Shorthold Tenancy? Are you aware that if you do nothing and pay nothing the expired fixed term of your tenancy automatically becomes a statutory periodic tenancy? Would you be happy with having to serve one months notice on your landlord or be served two months notice to quit by your landlord (both coinciding with a rent period) if either of you wished to end the tenancy? If so you do not have to pay 20% of anything.

My bolding. Agree with gist of FF's post but (1) NTQ is not applicable to ASTs - a s21 Notice is a Notice of Intent to seek repossession of the property . (2) Once on a SPT notice from either party has to align with the *Tenancy* period (unless LL and T agree otherwise)

tbs624

ninjablossom wrote: »

I have received a tenancy rental extension form if I wish to do so.

It states if the tenancy is extended you will be asked for a payment of £114 which is chargeable at 20% as my share of the admin costs.

So whilst this seems extortionate - no credit checks, no inventory to do... I make their claim of full admin costs £570 for extending a tendency. Does this sound rather high? are agencies actually allowed to get away with this?

Yes and, erm, yes. I like the Freudian slip btw <grin> Tendencies of LAs? - don't get me fully started.

Currently no formal regulation of LAs and anyone can set themselves up in business as one with no training, specific expertise or formal qualifications etc required. In some areas, LAs seem to act as if in a cartel when it comes to spurious "admin" charges.

Tenants who feel aggrieved by such admin charges should raise the issue with their local MPs and with the Housing Minister, with copies sent to Shelter/CAB etc. Unfortunately, many of the part time occupants of the House of Parliament have little idea of the reality of dealing with unregulated Letting Agents: it's up to disgruntled Ts ( and disgruntled LLs, because they too can get ripped off by LAs) to let them know the facts.

whalster

This is on a link from one of my likes on Facebook It is good advice though a landlord can only say he is not interested ,as my old (long dead) granny used to say " thats why you ave a tongue in yer ed "
Following a recent post on private landlord directory Facebook page private landlord directory .com would like to help all tenants and landlords in a similar situation .The post was by a delighted tenant who had saved both her and her landlord money by creating a private tenancy . By law all letting agents must if requested by a tenant provide their landlords name and address within 21 days , no reason has to be given for the request. I would urge every tenant if their landlords details are not on their tenancy agreement to request them as this is the first step in saving you both money .If any help is needed by any tenant or landlord then we are here to help