Tenancy Fees? Money for old rope, in our view
The news is out today that the proposed tenancy fees ban is going to be delayed until at least the Spring of 2019, with some in the industry suggesting that this marks the beginning of the end of the ‘mad notion’ of banning tenancy fees. Already today, some fellow agents have been asking us if we regret our decision to not charge tenants fees.
The answer is: no, of course we don’t. This news was hardly surprising for anyone who reads the industry press further than the headline, and our decision about whether we charge tenants fees or not wasn’t a question of economics, it was a question of ethics.
So just to be clear: We – Do – Not – Agree – With – Charging – Tenants – Fees… Yes, we know we could make more money by charging extra fees to tenants… we just don’t want to! It is in our ethos as a firm.
When a property is let, the agent charges the landlord a fee for doing the job that the landlord has asked the agent to do for them.
When a property is sold, the agent charges the seller a fee for doing the job that the seller has asked the agent to do for them.
You don’t see agents charging buyers a fee on top of what they are charging the seller… so why is it that they should charge tenants one? Especially when it is essentially a fee for helping them to do their job! That is some ‘thank you’…
Fellow agents, let’s just agree to disagree, and recognise it is a matter of what you choose to do and what we choose to do, as businesses.
Landlords, however, remember that you have a choice, too. You can choose to let your property out through an agent that will charge your tenant a fee (£175 – £250 or so would not be unusual), or you can choose to let your property through an agent, like ourselves, that will not. So, it might be worth asking the question: if you were a tenant, which agent would you rather rent through? And if, on considering your own answer to that question, you would like to have a conversation, then let’s talk! Please give us a call on 01865 435175.