At the moment if you go to rent a property from a letting agent you will have been told about the fees, however, there are always more fees and often these fees are for stupid things.
Liberal Democrat Baroness Grender has introduced The Renters’ Rights Bill which will ideally ban letting agents’ fees and publish a public list of criminal landlords.
Some examples of ridiculous fees letting agents have charged in the past:
Baroness Grender said:
“We think they’re prohibitive, they’re a rip-off, they’re an upfront fee which is really hard, especially when tenants are moving.
“People who rent have to move much more often than people who buy,”
Jeremy Leaf, former chairman of the Royal Institute of Chartered Surveyors said:
The fees have got to come out in the wash somehow – you can’t expect someone to administer for nothing.
I’d like to see caps on fees or more transparency on fees.
But banning them altogether could mean the costs are passed on to tenants, who could end up paying even more than they do at present
Betsy Dillner, director of Generation Rent, said:
She said: “Landlords who are putting up rents are just excited that they can blame something other than their own greed.
“Speculation in the property market has pushed prices out of the reach of ordinary people, diverted capital away from productive parts of the economy, and stifled living standards – especially for those of us stuck paying expensive rents.
“Pulling the plug on landlord incentives is an essential step towards a stronger economy and a healthier housing market.”
The full bill is readable on Parliament UK website but here are the main points:
A total ban is unlikely in our opinion but having a cap makes perfect sense but we still fear the fees will be hidden inside extra charges inside the monthly rental amount.
The Renters’ Rights Bill still has to pass through various stages of discussion and amendments before it is finally considered to be part of UK law, however, it may not pass at all meaning we will continue in the current state.1 comment