70% UK landlords don’t agree that letting agent fees are fair for the amount of work done, whilst 78% of landlords think fees aren’t transparent
Landlords are fed up of being overcharged by letting agents, according to new research announced today by Movebubble, a new online community platform for property rental.
The results show that letting agent fees don’t represent value for money, with only 30% of the 600 UK landlords surveyed agreeing that fees are fair considering the amount of work done.
The research reveals that landlords find lettings agents’ fees confusing, with 78% feeling that they aren’t transparent and one in ten having been stung with fees that they weren’t expecting.
Nearly 90% of landlords said that at some point they had been misled by a letting agent and a worrying 8% said they have actually had a letting agent steal from them.
Most UK landlords surveyed use letting agents to find tenants for their properties (82%). Over three quarters (78%) have been charged up to 20% of a month’s rent for this service, while 8% have been charged 30% or more (at least £245 based on the average UK rent).
Aidan Rushby, CEO, Movebubble said:
“There’s no justification for charging landlords such high fees for filling a property, especially with today’s sharing economy. There are free, time-saving services available and letting agents have failed to pass on the benefits of these services to landlords. There’s a better way and we’re happy to provide it.”
The new market data also suggests that some letting agents aren’t carrying out the work they are being paid for. A signing on fee usually includes reference checks, however, of those landlords using letting agents, 46% said they don’t have their tenants’ references and 18% aren’t happy with the referencing process. 12% of landlords said that they had noticed mistakes in their tenancy agreements.
It’s not surprising that landlords are looking for another way to let their properties – 84% of those using letting agents said they would try finding tenants themselves if it was easier or quicker to do so. Over a third of landlords (38%) who use letting agents to find tenants wish they didn’t have to.
Movebubble offers a range of free tools to manage renting a property helping owners to find the best renters, and renters to find the best owners.
Logan Hall, Chief Marketing Officer at Movebubble added:
“We don’t really understand why fees charged have to be confusing. In a world where trust is your biggest asset being open and honest about your pricing is paramount to Movebubble. And for landlords it’s free so it’s pretty easy.”
“The solution lies in market choice, rather than waiting for legislation from government. Movebubble is a manifestation of frustrated owners and renters around the UK demanding a better way to do business together.”
“As the data suggests, landlords don’t feel agents are carrying out the work they are paying for. There is a demand for taking control of their investments, which landlords can do by using the free rental tools offered by Movebubble.”
“5000 user registrations in the last 11 weeks alone proves that Movebubble is the solution to many landlord’s problems.”
“We focus on a collaborative approach to make sure both parties get what they want. We want to empower our users.”
Article Courtesy of Movebubble