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islandgirl
26-09-2006, 11:02 AM
Hello everyone - would be grateful for your opinions. Agent quotes half a months rent to find tenant. I confirm by email the agreed price. Agent screws up big time and puts tenant in without approval and in spite of my specifying I must sign the AST. Leaving that aside, agent then deducts almost £100 more than agreed for his "services". Will not return the extra. Any reason why I cannot go to small claims court for the return of the overcharge?

Beeber
26-09-2006, 11:29 AM
Did the fixed fee make clear it was inclusive or exclusive of VAT? Could the agent be adding on a sum for VAT that you were not aware of?

when i looked into a letting agent fees, all wanted at least 15% for their management service, all excluding VAT and virtually all excluding hefty additions for inventory, tenant check-in/check out, inspection reports, tenancy agreements and so on (one even quoted £90 for a report on charges/income that would have formed the basis of a tax return). When I totted up the total sum of everything plus VAT, their charges often amounted to 22-24% of the gross rental income and as most wanted the bulk of their fees up front, funnily enough, i then decided to self-manage the property.

However, by the low quality of their service and communication that you've indicated previously, I imagine he was just being cheeky

islandgirl
26-09-2006, 13:38 PM
Hi Beeber. Many thanks. He quoted half a month's rent. I emailed back to confirm and said if he did not come back within 2 days I would assume all agreed. He then wrote to me (knowing I was away) and quoted the higher figure. I think this is wrong and that he should not be allowed to get away with it! There will be further action if I have any problems with the tenants (have taken professional advice and would have a claim against him after 6 months if anything goes wrong!) Appreciate your help!

islandgirl
26-09-2006, 16:27 PM
I have double checked - agent not VAT registered though spookily the amount he is asking for adds up to the amount he quoted plus 17.5%...Could he be pulling a fast one somewhere I wonder...????