Do I have to pay the admin fee every time I am renewing my contract?

Auticko1

Hi, I am renting a property through an estate agents and the 12-month contract has now expired. The estate agents are chasing me for an admin payment of about £100.00 to renew for another year. The contract I originally signed does not mention anything about renewal or admin fee for a renewal. I am happy to renew for a fixed period again as I am planning to stay but I do not want to pay them again every time the contract ends. What does the law say? Can anyone advise, please? Thanks!

theartfullodger

In Scotland such charges are illegal.

In England & wales agents can (almost..) charge what they like...

You appreciate you don't have to renew & that if you don't the tenancy will simply continue, automatically, on a month-by-month basis?? Many landlords prefer this...

westy22

theartfullodger wrote: »

the tenancy will simply continue, automatically, on a month-by-month basis?? Many landlords prefer this...

of course you will not have a 12 month guaranteed tenancy but the landlord still has to give you 2 month's notice to leave and you only have to give him one month's notice.

jamie11

westy22 wrote: »

of course you will not have a 12 month guaranteed tenancy but the landlord still has to give you 2 month's notice to leave and you only have to give him one month's notice.

^^^ True, and this is a regular question. The agent is treating you as a cash cow, you have a right to just go onto a Statutory Periodic Tenancy, The landlord probably will not mind as long as he gets his rent and you are much more flexible if your requirements change.

[Deleted User]

If you want to renew for a fixed period then expect to pay the fee, although it's minimal work for the agents (amending information, printing out an amended agreement, possibly updating deposit protection details) there is work involved.

As others have said, when a fixed term ends it automatically becomes a periodic tenancy. However your landlord needs to provide at least 2 months notice if he wants you to leave, even at the end of a fixed term, if you ignore all the contact from the letting agents nothing will happen. You will always get at least 2 months notice when your landlord wants you out, regardless of your tenancy type (fixed term, periodic) -- assuming you don't have rent arrears etc.

Your options are:

1. Pay the fee, the letting agent will renew your fixed term for another x months and you will have the protection of knowing the place is yours until at least x months from the re-sign date.

2. Don't pay the fee, automatically convert to a periodic tenancy, if the landlord wants you to leave (unlikely) they will serve notice that will give you at least 2 full months before you have to leave.

Although just to confirm, you have not previously been served a Section 21 notice (after you signed the tenancy agreement)? If that has happened then you may be expected to leave at the end of the fixed term, unless you renew.

jamie11

citricsquid wrote: »

Although just to confirm, you have not previously been served a Section 21 notice (after you signed the tenancy agreement)? If that has happened then you may be expected to leave at the end of the fixed term, unless you renew.

Sorry citricsquid but I'll disagree with you there. an agent that tries to con the tenant in this way may well serve a S21 sometime during the fixed term, the landlord may not even know about it (although he should).

@OP. You should always try and speak directly with your landlord, he will often be unaware of the tactics his agency is using to fill their cash register.

G_M

citricsquid wrote: »

Your options are:

Although just to confirm, you have not previously been served a Section 21 notice (after you received the Prescribed informationconfirming registration of your deposit)? If that has happened then you may be expected to leave at the end of the fixed term, unless you renew.

OP,Have you read

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?)