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Tenancy Renewal Fee

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The tenancy agreement on the flat I rent is up for renewal at the end of September.

It is the end of a one year contract and I'm probably going to go for another one year contract so long as the rent doesn't go up (if it does I'll bugger off and rent somewhere else - there's loads available).

Anyway, I have been renting this place through a letting agent but the landlord manages it <_< Basically if I have a problem with the place then I am to phone him direct (dunno why he bothers using an agent).

So tonight I get a letter from the agent saying that if both myself and the landlord are happy to renew the contract there will be a 90 quid charge inclusive of VAT as my share of the admin costs.... :blink:

Now I don't ever remember being charged this by any other letting agent.

I'm astonished really. Who is the customer here? Surely it's the landlord?

Does anyone know if this is normal? Are they just trying it on? Cos at the moment I'm going to tell them to shove it.

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Yes, it's normal but you can still tell them to shove it. I normally write a letter explaining why I won't be paying it so that it's offical, i.e. not returning phone calls, poor maintainance service etc and just keep refusing to pay until they give up.

It's worth noting that this will propbably be tucked away in your rental contract (Always worth reading these things). If it isn't then you are in no way obliged to pay IMHO.

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The tenancy agreement on the flat I rent is up for renewal at the end of September.

My understanding is that if a tenancy is not renewed, then it doesn't finish. It becomes automatically becomes a statutory periodic tenancy agreement (i.e. rolling agreement month by month). The only way a landlord can end a tenancy agreement is by serving 2 months notice under section 21 of the 1988 Housing Act.

I'd say don't renew the tenancy. The landlord then has 2 options: Let the existing tenancy agreement continue month by month or serve you 2 months notice. He's not going to want to risk a void period on the property so you certainly have the upper hand here.

Don't pay the renewal fee. Don't renew.

Anthony

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I have been in a similar situation, 2 months before our 6 month contract was about to end we received a letter asking for renewal fee +VAT. I phoned them up and told them I wasn't in a position to commit to the place for another 8 months (ie those 2 months and another 6 month lock in) . They attempted to convince me, but I remained politely firm. Really the only option they have to force you is to serve you with the 2 months notice.

I hasten to add this is over a year in the past and we having been on rolling tenancy since then, which has the added advantage the while the landlord must give you 2 months notice (as defined by the date on which you pay your rent ie he must tell you before what will become the last 2 payments) whereas the tenant only has to give 1 months notice, again defined by the monthly payment date.

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Thanks for the replies everyone. I might try the rolling tenency.

But I'm certainly not going to pay them 90 quid for putting a contract in an envelope.

It also ocurrs to me that they have made close to 90 quid interest on my deposit over the last year...

...And after todays rate cut, just let them try and raise the rent :angry:

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i dont know if this is relevant but i notice a lot of agenets charge around a £100-£200 fees just for signing contracts. What on earth is that all about? i think it very annoying that they take there share from the rent and also have the cheek to ask for that amount of money just for some so called admin costs.

edit: it does seem very much like the agents see the landlords as the clients, yet who is paying their wages?

Edited by sllabres

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i dont know if this is relevant but i notice a lot of agenets charge around a £100-£200 fees just for signing contracts. What on earth is that all about? i think it very annoying that they take there share from the rent and also have the cheek to ask for that amount of money just for some so called admin costs.

edit: it does seem very much like the agents see the landlords as the clients, yet who is paying their wages?

They tried this on with me too. I can't remember the exact amount they wanted to charge me - it was something around £100 (probably the same charge they are currently asking for).

The LA I used previously charged £50 - but given the amount of empty flats round my way I told them I would pay them £35 which they finally agreed to.

I also got the place for £50 pcm less than they were asking. I hope people realise all these numbers are up for negotiation.

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I'm up for renewal now too, and was going to start thread to ask.

I've been here a few years, but agency was changed by land lords over the time and original agency accepted rolling agreement no quibbles, they offered to renew if I wanted / needed the garunteee of rent hold and occupancy, but accepted that if I did not need this garuntee it could just roll on.

New agency sent letter and request initial a month ago for new contact and fee for 6/12 months AST.

I did nothing at that time (apart from attempt a couple of phone calls to their contact number, diverted to mobile with no answer phone service). Now a follow up letter hass arrived but this one uses wording stating its a legal requirement to inform them of my intentions, yet I have continued to pay rent part the initial.

Needless to say I'm trying to contact them again and will formally write a letter to their office to request they make contact me upon the matter so at least I have tried to make contact.

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  • 301 Brexit, House prices and Summer 2020

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      • down 5% +
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      • up 5%



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