What do you think about letting agent fees? MPs want to hear from you

Johnthecob

The Bill for banning LA fees should include provision to allow the reclaiming of unfair fees charged by LA's. This will stop any LA's ignoring the legislation and open up the market for the claims chasers/PPI co's to police the market.
In fact, why not go the full hog and allow Tennant's to reclaim historic fees? A period of maybe 5-7 years would seem fair to me.

Guest101

Johnthecob wrote: »

The Bill for banning LA fees should include provision to allow the reclaiming of unfair fees charged by LA's. This will stop any LA's ignoring the legislation and open up the market for the claims chasers/PPI co's to police the market.
In fact, why not go the full hog and allow Tennant's to reclaim historic fees? A period of maybe 5-7 years would seem fair to me.

Reclaiming fees wouldn't happen, simply due to the nature of the business. Banks are a regulated business, letting agents aren't.


However the ban will likely be half hearted - the fees are capped, and a number of schemes introduced - same as deposit - which are used for referencing.


The fees will probably be in the region of £25-50 per applicant.

Demz

People keep saying prospective tenants don't complain about the fees. If I have to pay 150+ non refundable to apply (£300 as a couple) for the ideal property that has taken me a long time to find, whilst competing with other tenants, I'm not going to risk complaining and being disliked to lose my money and the accommodation. The last time I rented I had to have £1700 up front to afford a property just under £700 (this is lower end of the market where I live). It's ridiculous and uncalled for. I've paid as little as £25 when dealing directly with landlords so why does it take £150 for an agent to do the same thing baring in mind they'll charge 4/5 other tenants applying for the same property and only one person will get it.

You tend to pay this fee up front of seeing a contract as well so I've been in a situation where I've applied only to then see a charge of £200 to carry on living at the property after tenancy term is over, so I either sign unwillingly or I lose the £150 I've already paid. Isn't it the same contract that's used for every single tenant an agency deals with most of the time? Happy to pay a reference fee but anything over that is unfair and you rarely have a choice.

[Deleted User]

I was quite impressed by this debate. It was far more informed than the last one (most of the contributions were well researched - there were two that weren't) and the Minister who spoke towards the end was far more informed (and not a doddering ill informed Tory like the last one). There was one point he raised that I did not agree with but most of the items described were much needed. It was much more positive about introducing a ban on tenancy fees, the last debate wasn't at all.

It looks like they are going ahead with a bill to ban tenancy fees although at the moment the first one will be just a draft bill. So it may not happen. Time will tell.

volare11512

deannatrois wrote: »

I was quite impressed by this debate. It was far more informed than the last one (most of the contributions were well researched - there were two that weren't) and the Minister who spoke towards the end was far more informed (and not a doddering ill informed Tory like the last one). There was one point he raised that I did not agree with but most of the items described were much needed. It was much more positive about introducing a ban on tenancy fees, the last debate wasn't at all.

It looks like they are going ahead with a bill to ban tenancy fees although at the moment the first one will be just a draft bill. So it may not happen. Time will tell.

I came to the same conclusion (and I agree with you about the two who were not well research). I did find it worrying that one MP thought the deposit was to be used to bring the house up to standard pre-tenancy too without any correction. However, I did feel that as a private tenant concerns raised on this forum were mentioned and respectful for those not able to qualify for social housing nor able to buy their own home (like myself).

This issue really needs sorting out now as those like myself will be retiring under a private rented roof which is going to cost the government more not just in renting benefits, but also in care costs as I will have no money to contribute towards this myself.

Crashy_Time

Johnthecob wrote: »

The Bill for banning LA fees should include provision to allow the reclaiming of unfair fees charged by LA's. This will stop any LA's ignoring the legislation and open up the market for the claims chasers/PPI co's to police the market.
In fact, why not go the full hog and allow Tennant's to reclaim historic fees? A period of maybe 5-7 years would seem fair to me.

Never happen, a large % of agents will be out of business by that time.