What is the letting agent fee for Essex?

Kynthia

TheCyclingProgrammer wrote: »

So not Essex then.

Essex post code/address and Essex phone number. All the outer boroughs have this duality.

TheCyclingProgrammer

Kynthia wrote: »

Essex post code/address and Essex phone number. All the outer boroughs have this duality.

Historical artefacts, nothing more. And postal counties have been redundant for about 20 years. Havering is part of London, it no longer has any connection to Essex and as such I'd expect that to make a difference to costs.

happypuppy

Havering is not too far from where I am and the rates are comparable from what I found

TheCyclingProgrammer wrote: »

So not Essex then.

happypuppy

According the to the LA I am already paying a reduced fee! This is what I received. Also do I need to give 3 months notice to change LA? Also the rent has not increased in 18 months! (567 days!)

I am sorry that our minimum fee for a single property is 15% of the rent collected. This is an already reduced rent, as the norm is 10% of the rent collected, plus a letting fee of 75% of the first months rent when we change tenants. I can revert to this model, after we change tenants if you so wish? Alternatively, you can manage the property yourself, by giving us three months notice, and advising your tenant accordingly. If you wished us to offer the flat for rent again in the future, our letting fee would be 75% of the first months rent (if sole agent) or 100% of the first months rent if you were using other agents at the same time.

Pixie5740

happypuppy wrote: »

According the to the LA I am already paying a reduced fee! This is what I received. Also do I need to give 3 months notice to change LA? Also the rent has not increased in 18 months! (567 days!)

Does your contract say that you need to give them 3 months notice? We can't read it from here.

As for the rent, what does the tenancy agreement say about rent increases? If it says anything at all that is. Have you ever instructed the LA to increase the rent? Is the current rent in-line with comparable properties in the area?

happypuppy wrote: »

I am sorry that our minimum fee for a single property is 15% of the rent collected. This is an already reduced rent, as the norm is 10% of the rent collected, plus a letting fee of 75% of the first months rent when we change tenants. I can revert to this model, after we change tenants if you so wish? Alternatively, you can manage the property yourself, by giving us three months notice, and advising your tenant accordingly. If you wished us to offer the flat for rent again in the future, our letting fee would be 75% of the first months rent (if sole agent) or 100% of the first months rent if you were using other agents at the same time.

I don't quite understand the part in bold. Were you charged 75% of the first months rent as well as 15% as that would not be lower than 75% of the first months rent and 10% of rent collected? In fact where are these numbers coming from as you say you are charged 18%?

You really need to dig out the copy of your contract and read what it is you've agreed to. If you're not happy you can negotiate with the current LA, find a new LA, self manage if you can (I understand you live abroad so might find that tricky) or just sell the property.

happypuppy

Thanks Pixie,
There is nothing in the contract (AST) about getting rid of the LA. Should it be somewhere else?

I was not charged an upfront fee or a setup fee, but was charged 18% PCM for managing. So he thinks this is a cheap deal. I contacted 42 LAs in the area, 12 replied, and fees are around 5-7% +VAT (no setup etc). Also rent with this LA is 10% (about £70 ) below the market value for comparable properties

Pixie5740 wrote: »

Does your contract say that you need to give them 3 months notice? We can't read it from here.

As for the rent, what does the tenancy agreement say about rent increases? If it says anything at all that is. Have you ever instructed the LA to increase the rent? Is the current rent in-line with comparable properties in the area?



I don't quite understand the part in bold. Were you charged 75% of the first months rent as well as 15% as that would not be lower than 75% of the first months rent and 10% of rent collected? In fact where are these numbers coming from as you say you are charged 18%?

You really need to dig out the copy of your contract and read what it is you've agreed to. If you're not happy you can negotiate with the current LA, find a new LA, self manage if you can (I understand you live abroad so might find that tricky) or just sell the property.

Pixie5740

happypuppy wrote: »

Thanks Pixie,
There is nothing in the contract (AST) about getting rid of the LA. Should it be somewhere else?

The AST wouldn't have anything about your contract with the LA in it, would it, because the AST is the contract between you (the LL) and the tenant.

I'm talking about the contract you have between you (the LL) and the LA. You need to read it.

[/QUOTE] I was not charged an upfront fee or a setup fee, but was charged 18% PCM for managing. So he thinks this is a cheap deal. I contacted 42 LAs in the area, 12 replied, and fees are around 5-7% +VAT (no setup etc). Also rent with this LA is 10% (about £70 ) below the market value for comparable properties [/QUOTE]

Then it sounds like you should read your contract with the LA to find out how to terminate it, and get another LA to manage the property. Although I'm starting to wonder if it wouldn't be better all round for you just to sell the property and get out the LL business.

happypuppy

I don't think I have anything as such with the LA will have a another look, I just got the LA to look after and he's been doing that for 3-4 years, I never checked the rental income, fees etc

Now that I manage several other properties for someone else abroad, I am going to give this a go, also this is my main home, so don't want to be with out a home

Pixie5740 wrote: »

The AST wouldn't have anything about your contract with the LA in it, would it, because the AST is the contract between you (the LL) and the tenant.

I'm talking about the contract you have between you (the LL) and the LA. You need to read it.

I was not charged an upfront fee or a setup fee, but was charged 18% PCM for managing. So he thinks this is a cheap deal. I contacted 42 LAs in the area, 12 replied, and fees are around 5-7% +VAT (no setup etc). Also rent with this LA is 10% (about £70 ) below the market value for comparable properties [/QUOTE]

Then it sounds like you should read your contract with the LA to find out how to terminate it, and get another LA to manage the property. Although I'm starting to wonder if it wouldn't be better all round for you just to sell the property and get out the LL business.[/QUOTE]

Pixie5740

This property in Essex is not your home, it is your tenant's home.

You can self manage but you must supply an address for the serving of notices in England or Wales or your tenant can legally withhold the rent.

Also read G_M's guide for LL and T.

https://forums.moneysavingexpert.com/discussion/5180214

Have you managed to resolve your T's plumbing issue yet?

happypuppy

Thanks, This is an AST so yes, it is my home!

Pixie5740 wrote: »

This property in Essex is not your home, it is your tenant's home.

You can self manage but you must supply an address for the serving of notices in England or Wales or your tenant can legally withhold the rent.

Also read G_M's guide for LL and T.

https://forums.moneysavingexpert.com/discussion/5180214

Have you managed to resolve your T's plumbing issue yet?