Hi

I have some properties "up-North" that are on full management with a local agent. The management charge is 10% of rent

However, they also charge 10% of the invoice/bill everytime work is done.

Is this common practice? I dont want to name the company but here are a few examples of work that has been done so you know where I am coming from:

(1)
Yearly Gas check
Tradesmen charge: £50
Letting agent Management Fee (10% + VAT): £5.88

(2)
Periodic Electrical Inspection (requested by me)
Electrician Charge: £80
Letting agent Management Fee (10% + VAT): £9.40

(3)
Remedial Work done after PIR
Electrician Charge: £553.16
Letting agent Management Fee (10% + VAT): £58.16

As I say, the above fees are on top of the 10% management fee I pay

The above charges were probably in the small print of the T & C's but I just wondered if anyone else has come across this double-charging?

__________________
Regards Raj
0789 454 3931
Local Representative | National Landlords Association (Nottinghamshire & Derbyshire)

W: http://www.landlords.org.uk
Raj.Beri@landlords.org.uk

Hi Raj, yes i have found this normal practice for an agent, give me a call in the week, and i can explain. Rich

Yes Raj-common policy-they call it an admin charge-this is when they fix up the appointments and poss pay the bills on your behalf-sometimes so you don't realise you are also paying them-if as you say-they are being open with you which some agents are not.
cheers
Duncan

I think many agents neglect to mention at the start of the agreement as they feel it may put landlords off from using them.

I have recently started a letting agency and I did things a different way.

Typical gas cert charge is £50-£55.

I found a gas engineer who will do them for £30 and then charge the landlord £50.

I always ask the landlords how much they are currently paying as well.

I think fairness and transparency is massively important if you are a letting agent - I have found out we have not got the best of reputations!.

J B

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Jon Bieri
The Potential2 Group (Lettings, Sales,Quick Sales, Portfolio build,Help for 1st Time Buyers)

Check out the FREE blog....CLICK HERE

Hi Raj

I'm putting together a new lettings company in the north east that will have fully managed systems in place and an alternative pay as you go service, all fully transparent.. SMS Lets is going live in November but I already have property managers covering certain areas so let me know if I can help or where your properties are..

Cheers
J