Can Letting Agents change the Terms of Business (Fees) within a short while of signing a contract?

landlordspv

Hi,
I let out a couple of properties. One that I bought recently is now a fully managed let through a Letting Agent (starting a few weeks ago). When I signed the contract I got a Terms Of Business which specified the rates for additional/options services (extra property visits, inventory reports, etc).

When I requested a 1st quarterly visit (which is extra), I was quoted almost double of what was in the ToB. When I queried, they said the ToB has been updated. I was also overcharged for the inventory report (compared to the rate on the ToB fees list) which I'm still waiting to hear back on.

While I understand that I can't expect the fee levels to never change, it seems a bit off that they can up the rates literally a month after I've signed a contract. I've never used a Letting Agent prior to this so am not particularly knowledgeable in this area.

This is what it says about changes in the ToB

1. From time to time we may update the Terms of Business for Lettings and these Terms, including Fees, and we will do so by advising you in writing of such updates.

2. The Terms of Business for Lettings and these Terms, including any amendments or updates to them, shall apply to any Tenancy agreed in relation to the Property.  

Is this just how things are or is it only reasonable that they at least hold off applying a new ToB until a new tenancy agreement is signed?

theartfullodger

Write (keep copy, yes WRITE!) back to agent thanking them for their kind communication and inform them that you'd not spotted that terms were variable, that being the case you are reducing their fees overall in all categories by 27.2%.

newsgroupmonkey_

Surely if they didn't update the ToB in writing (as it says above), they can't charge them?

princeofpounds

Hi - I think this deserves a bump. I haven't had time to research, but if this counts as a consumer contract this is almost certainly impossible due to unfair terms in consumer contracts rules. However I don't know if a Landlord counts as a consumer, possibly not. I'm sure there will be legislation or common law that applies to this kind of situation if not, but that will need some google-fu.

Retired_Mortgage_Adviser

OP, Letting Agents are (usually) very open to negotiation on anything fees related. 9/10 will also be signed up to the TPO Letting Agent Code of Practice which has a whole section on fees, terms of business, etc.

In the first instance, I would insist that the terms+fees I signed up to be used for the current tenancy. If they don't budge, file a formal complaint (the terms should outline the process) specifying which points in the code of practice they haven't adhered to. If you don't get a satisfactory outcome, you can then take it to the TPO.

From experience, it is very unlikely that they will refuse to budge and force you to the TPO.