letting agency contract fees

jaybravo

Hi Roy, yes you're correct in thinking the tenancy has not started yet. I move in on the 7th of May. It's too late for me to make other plans and I don't want to cause problems for the other people I'll be sharing with as they'll be expected to pay their share of the bill(s) too. If I refuse to pay up and they're not sympathetic with my situation it won't really impress them, hence I want to be sure where I stand before doing anything about it. What I should have done in retrospect is agree to rent the place only when they'd provided a tenancy agreement...

thesaint

If there is a tenancy agreement already in place at the property, it is not possible to issue another one until that one is terminated.You will be provided one when your tenancy starts.

jaybravo

the two people I move in with say they were never given any kind of document

thesaint

It doesn't matter about the other two.

You have not started your tenancy, so you therefore have no tenancy agreement.

scrummy_mummy_2

thesaint wrote: »

It doesn't matter about the other two.

You have not started your tenancy, so you therefore have no tenancy agreement.

So....Jaybravo did not provide us with the full picture in his original post (as I had suspected!) and he is currently not a tenant which explains the lack of tenancy agreement. QED.
Perhaps Thesaint should have done some further research (as was my original suggestion and as done by Rosysparkle!) before laying in to me.
Perhaps an apology would be appropriate Thesaint????
Just because because this is an internet forum, and you cannot see my face, does not give you the right to lambast me, make sweeping and inaccurate statements, inappropriately, incorrectly and without cause.

scrummy_mummy_2

For the OP.....(and the benefit of the saint)
Here is my advice (fleshed out with evidence this time so not so short).

Just for the record...I did check my facts before I posted my initial reply.
Source: Bracknell Forest Housing Benefit Office. I personally rang them to check I wasn't giving duff information. Obviously, they may change across different boroughs, but I can only tell you what applies here so you can prepare/plan for how this might affect you.

FACTS: (In Bracknell Forest....)
If you do not have a written tenancy agreement, HB will not pay you. They may consider paying you if you have a rent book, but are likely to want a separate form completeing by the Landlord that details (in a written format) the key details of the tenancy terms. All of these activities are designed to prevent fraud and formalise arrangements.
You cannot claim back any charges made by a private letting agent such as the £94 fee (you mentioned) for preparing the tenancy agreement, inventory, registration fees etc.

When you become a tenant at the property, the old tenancy terms will change and thus an entirely new AST will need to be created including you as well as the current tenants. If your agent says they want £94 for this new agreement, they are entitled to charge you (and your flatmates) for it. These charges vary across the country....I saw a post the other day where someone was being charged £40 odd quid for one...down here it's £95 just for a renewal where all they do is change the dates!
I strongly advise you get this agreement in writing as it will make claiming benefit so much easier for you and also you will clearly have the terms of the tenancy defined in writing if there are ever any problems. This will also benefit your fellow tenants.

Your original question was how you could get around paying the charge or reduce it.
You could try to negotitate with the agent to reduce the charge? If you don't ask, you won't get.
Apart from that, can't see a way around it if you want that house and benefits.

Good luck.

bap98189

jaybravo wrote: »

I'm moving into a shared house and to claim housing benefit I have to provide a contract to prove that I live at that address and how much rent I pay. The letting agency has provided a contract but they want us three tenants to pay £94 for it.
thanks!

I think everyone is getting confused. The OP didn't say they had moved yet, in fact they said they were about to move into a new property.

In that case, the letting agency will charge a fee for drawing up the tennancy agreement, contract etc. £94 is about average, and is just another source of income for the agents. I know some charge as much as £150 - £200.

These fees are not normally for the cost of credit checks. Most agencies require a fee for credit checking long before the AST is drawn up. This fee will be payable after all the credit checks etc. have been carried out so there is not much chance of getting it reduced. You can ask the agency to reduce it, but I doubt you will get anywhere.

One question, is this fee £94 for each of you, or £94 split 4 ways between each applicant? If it is £94 each then that is ridiculous, but there is probably very little you can do about it if you want the house.

rosysparkle

Not everyone was confused!

thesaint

scrummy_mummy wrote: »

So....Jaybravo did not provide us with the full picture in his original post (as I had suspected!) and he is currently not a tenant which explains the lack of tenancy agreement. QED.
Perhaps Thesaint should have done some further research (as was my original suggestion and as done by Rosysparkle!) before laying in to me.
Perhaps an apology would be appropriate Thesaint????
Just because because this is an internet forum, and you cannot see my face, does not give you the right to lambast me, make sweeping and inaccurate statements, inappropriately, incorrectly and without cause.

When you are wrong, you are wrong.

You said that if someone does not have a tenancy agreement they are not a tenant, this is not the case. If a person has not got an agreement, they are an assured shorthold tenant by default.

The second point was that you advised to pay to get an agreement.

No apology this end.