Renting/holding fee Query

Curos

(Apologies for stating holding fee in the title, I understand this should be holding deposit!)
Hi All

Myself and my girlfriend viewed a property at the weekend - it's a 2-bed flat in a building that has been converted into 3 flats. The background to this is that a year ago there was a flood when it was unoccupied (previously a care home) that completely ruined most of the building.

The current owner/LL has completely stripped back, repaired and re-fitted the property to quite a high standard.

However, when we viewed the property it wasn't completely finished (largely cleaning, tidying up, adding a curtain rail to a couple of rooms, water supply not turned on, digital radiators not on, back yard gates not on) and the agent showing us round advised that the LL wasn't in a hurry to finish it until there was a prospective tenant who was committed. He advised that he believed it could probably be done within a week or so if a tenant was found. Our ideal start date for the tenancy would be in 4 weeks time.

The other two flats were also mostly done but possibly had a bit more to do than the one we were interested in.

I rang the offices of the agent today to say that we were interested in applying for the property and they advised that a holding deposit would be payable in order to proceed with an application (after checking that we earned at least the minimum amount required for the rent and didn't have any CCJ's etc).

Do you think it is advisable (or remotely possible) to agree with the agent/LL that we will pay a holding deposit now on the basis that the LL will finish the property within the next 3 weeks, at which point we can view it again to ensure the water supply, gas supply, cleaning, final details etc are all in reasonable order? And that if it wasn't finished, that the holding deposit would be refunded?

I have no intention of pulling out of the potential tenancy other than if the property is not finished completely/on time.

Also, should I be asking to see a draft/template Tenancy Agreement before paying the holding deposit? Are the agents required to provide this before taking the fee (I've seen some conflicting advice online)?

I'd appreciate any feedback on anything that I've set out above. I'm completely new to renting so I don't have the knowledge or experience to know if I'm completely under/over thinking this!

anselld

You can propose whatever conditions you like for the holding deposit. They may or may not be accepted but if so get everything in writing.

The maximum holding deposit is 1 week rent.

G_M

Do you think it is advisable (or remotely possible) to agree with the agent/LL that we will pay a holding deposit now on the basis that the LL will finish the property within the next 3 weeks, at which point we can view it again to ensure the water supply, gas supply, cleaning, final details etc are all in reasonable order? And that if it wasn't finished, that the holding deposit would be refunded?

Yes.


I think it is always sensible to get any proposed or promised improvements (or cleaning!) agreed in writing up front.


As a fall-back, have the agreement state the work will be done within, say, 2 weeks, of the tenancy start date, with rent at 50% till complete.


Or whatever the LL will agree to! If he genuinely intends to get it done in a week prior to tenancy start date he should have no objection.


(though the agent will say "It's not how we do things.....") !!

Curos

Thank you both - I put my aforementioned suggestion to the agent, along with the proviso that we will not sign the tenancy agreement until the work has been done and we have viewed the property again.

To my surprise, the agent has agreed to my suggestions and described them as entirely sensible :eek: I have this in writing (email) and will pay the holding deposit tomorrow and make it clear it is on these agreed conditions.

I'm still worried that I'm missing a trick with the property but that's largely down to me over-thinking it rather than anything tangible :rotfl:

G_M

It's so nice to hear of an agent who appears reasonable, willing to amend their normal processes, and build confidece and trust between themselves and their tenants.


I do hope it pans out well - please come back and let us know!

Curos

Thanks G_M, I was very surprised by this too as some of the reviews of the agents are not glowing (but not massively worse than any of the others that we had viewings with). I believe the individual agent is the 'Director' of the local branch so I imagine he has some discretion over their usual procedures.

He has been fast to reply to all of my emails no matter how basic the question was, so that's a positive.

I have fears that this is lulling me into a false sense of security and things will change once the agreement is signed, but that isn't based on anything and hopefully there won't be much we need them to do once we've actually moved in given that the property was 'done up' a few months ago.

I will certainly return with an update as things develop and thank you again, the reassurance is appreciated! :money:

Curos

By way of update (as promised) we have now moved in!:j

Agent/LL had completed pretty much everything that was agreed, although when we went to view/check again we noticed a few other minor points that needed to be addressed.

I've now met the LL and also a few of the tradespeople and all seem very reasonable and willing to sort anything else that may crop up as they are aware that no-one has lived here for a good while and so there may be some things that no-one realised beforehand.

I believe tenants for the other flats are going to be moving in at some point within the next couple of weeks, so hopefully that will help to warm ours up too! (If not, there may well be another thread inbound..:A)

Thanks again @G_M!