Estate Agent Fees - For the tenants

[Keef]

We're about to move, and having already paid ?160 for them to get referrences on both of us, we have now spotted this ?94 fee that they've sneaked in.

When we questioned it, they said it was for processing the contract.

Now I'm not being funny, but surely a landlord hires an agent to find them tenants, and they pay a fee for the service. I've never heard of anything like this before, am I just being naive?

What with this, and the broadband trying to charge us to END their (really not great) service, I am just getting so so fed up with being bent over and raped up the ar$e by every thieving company that wants it's pound of flesh, in return for NOTHING as far as I can make out!

[Jah Lush]

Bastards! We're living in rip-off Britain Keef. Complete and utter utter utter utter utter utter bastards!

[chuff]

We recently rented our office in dulwich keef and paid around ?270 for an admin fee, this was the same with the property before. I agree a total rip off but not sure if there are any agents that don't charge tenants like this.

Depending on the contract, I think they can charge you for the inventory either when you move in or out. Might be worth checking that.

good luck

[SeanMacGabhann]

having recently moved ourselves keef, all I can say is you aren't alone. And from looking around at various places it's not unusual either. The alternative I guess is to luck out with personal contacts or informal places on the property section

We went with an estate agents, but with eyes open and plenty of lube

In a couple of months you will hav forgotten most of this pain and wondered why you waited so long - hang on in there

[Keef]

Guess it's normal then, seems to be newish though, definitely wasn't the case in 2003, when I last rented a place via an estate agent.

Oh well, looks like we're going to have to pay up, but I am going to make it clear what I think and ask them to explain the charge to me, just so they can hear for themselves how full of sh!t they are.

Oh, and sorry for the metaphor used above, just angry at the way things are. It's not a lot of money in the grand scheme of things, but it just makes you want to scream!

[Jah Lush]

Just think of all that beer money gone to waste Keef. Shocking! Asbolutely shocking is what it is.

[Brendan]

I would do my damndest to find out who the landlord is and approach them directly.

The landlord is paying the agent to find them tenants, you're paying the agent too for some reason. So why not just not pay the thieving parasites, and put you money together to get a lawyer to draw up a contract for you.

[red devil]

Keef, even landlords have to be careful with agents; most contracts have a renewal fee charge, which means after the initial tenancy agreement is up, and the tenants and landlord agree to extend it, the agents will charge the landlord another 8-10% of the total annual rental income for doing nothing!...i've always been lucky to rent out privately, but when I've advertised through an agency I've always insisted this charge is omitted before I would sign up, as well as getting them to reduce their 'finders fee'...I think most tenants would benefit from renting privately too, I certainly wouldn't consider charging for checking references, inventory, contract etc, afterall it's usually only a couple of phonecalls; what gets me about the agents charging for references is that in the smallprint they say they aren't culpable if the tenants default on the rent...enjoy your new place!

[Brendan]

Most employers are happy to provide references for their employees for free and banks will provide a reference for a small fee to the account holder.

[karter]

Estate Agents fees are an absolute rip off for both landlord and tenant. The smaller firms are not so expensive though and they don't have as many charges. Sorry you have been burned like this Keef, you never tried Daisylets one of the sponsers of this forum either Keef?

[Strawbs]

I totally agree an utter rip off! In Australia you dont get charged any of those bullsh*t charges.. Reference checking people and processing a contract is their job so why on earth would we pay them more to bl00dy well do it! And I have to say over here my experience has been with them that they are lazy and slow so its not even like most of the time you get a good service!!

I have rented my last 3 places privately and intend to do so for as long as I possibly can as I refuse to pay those ba$tards!

[EDOldie]

Agents should (and I wish by law) charge the very minimum to the tenants. Unfortunately many agents see the tenant as another income generator. The respectable ones don't and only charge what it costs to make credit checks etc. Landlords often list property with more than one agent for letting and tenants should ask what the charges are likely to be before they start looking. Shop around, this exploitation will stop if people do.

I have to take issue with Red Devil. If an agent introduces you to a stream of income why should their fee stop after one year? Makes no sense to me although it is the subject of litigation at the moment, (can I use the F word?) Foxtons are fighting a case at the moment I think and won the last argument but i think the case continues. maybe someone out there knows more than I do (unlikely) about this.

[bigbadwolf]

Strawbs Wrote:

-------------------------------------------------------

> I totally agree an utter rip off! In Australia

> you dont get charged any of those bullsh*t

> charges.. Reference checking people and processing

> a contract is their job so why on earth would we

> pay them more to bl00dy well do it! And I have to

> say over here my experience has been with them

> that they are lazy and slow so its not even like

> most of the time you get a good service!!

>

> I have rented my last 3 places privately and

> intend to do so for as long as I possibly can as I

> refuse to pay those ba$tards!

Spot on Strawbs. Bloody Poms eh.

[karter]

It is a yearly contract that's why the fee should stop. It should be made illegal to try and make them pay up again after one year.

[red devil]

EDO, if the agents aren't happy they can always say no to my proposal of no renewal fee, so far this has never happened. All contracts are negotiable. It's the underhand tactics of agents in not drawing attention to these extras that p's the public off, hence Keef's original post. It's hard to negotiate if it's not clear what's on the table. One agent I thought about using made no mention of the renewal fee until I prompted him, and when I asked him where it was written into the contract, I was told I had to check out a referenced website link for general terms and conditions.

Another trick of agents is to include a clause that if the landlord was to subsequently sell the property to the tenants at any time in the future, the landlord would be liable to pay the estate agent a full sales commission e.g 2% of selling price...

EDOldie Wrote:

-------------------------------------------------------

> Agents should (and I wish by law) charge the very

> minimum to the tenants. Unfortunately many agents

> see the tenant as another income generator. The

> respectable ones don't and only charge what it

> costs to make credit checks etc. Landlords often

> list property with more than one agent for letting

> and tenants should ask what the charges are likely

> to be before they start looking. Shop around, this

> exploitation will stop if people do.

>

> I have to take issue with Red Devil. If an agent

> introduces you to a stream of income why should

> their fee stop after one year? Makes no sense to

> me although it is the subject of litigation at the

> moment, (can I use the F word?) Foxtons are

> fighting a case at the moment I think and won the

> last argument but i think the case continues.

> maybe someone out there knows more than I do

> (unlikely) about this.

[Keef]

Problem is, if you like a place and want that place, they kind of have you over a barrell. Oh well, not the end of the world, and we'll enjoy telling them what nasty thieving scum they are.

[EDOldie]

red devil Wrote:

-------------------------------------------------------

> EDO, if the agents aren't happy they can always

> say no to my proposal of no renewal fee, so far

> this has never happened. All contracts are

> negotiable. It's the underhand tactics of agents

> in not drawing attention to these extras that p's

> the public off, hence Keef's original post. It's

> hard to negotiate if it's not clear what's on the

> table. One agent I thought about using made no

> mention of the renewal fee until I prompted him,

> and when I asked him where it was written into the

> contract, I was told I had to check out a

> referenced website link for general terms and

> conditions.

> Another trick of agents is to include a clause

> that if the landlord was to subsequently sell the

> property to the tenants at any time in the future,

> the landlord would be liable to pay the estate

> agent a full sales commission e.g 2% of selling

> price...

>

I fully agree that all contracts should be transparent, but the agent has introduced the client to a tenant and, IMHO, should pay for that during the whole length of the tenancy. It's income after all that the landlord would not have had without the agents involvement.

Likewise the sale fee seems perfectly reasonable, although I would say 2% is a bit strong. I think 1% is the norm. Again the agent has introduced a purchaser as well as a tenant and why shouldn't they be paid for that?

[red devil]

We agree to disagree...

[EDOldie]

Pity, I was enjoying that.

[red devil]

I know, that's why I quit while I was ahead...