How to select a Letting Agent

Letting Agents remain an unregulated industry and sadly every year many landlords lose substantial amounts of money due to the fact that they are an unsecured creditor when the business fails. Many landlords before have vetted their agents only to be let down, but there are some tell tale signs when an agent is in trouble.

Many Letting Agents are excellent, most are good but some are atrocious!

Once you have decided to use the service of an agent the next step is identifying your shortlist. Take a walk around the your local agents and compare them, see how many 'Lets' they have on their books and how they display them in their windows and office. Look at their merchandising materials and how they describe the properties that they are 'letting'.

Bad Property Management Agents will cost you money.
Incorrect tenancy agreements.
No inventories.
Failure to comply with legislation.
Ignoring tenant requests.
Not collecting or chasing rent.
Not paying rent to Landlords.
Deduction of unauthorised payments from rent

Property Management Agents will offer a broad range of services. The Pims Property Management Guide helps you to evaluate the standards of service provided by your professional agent.

Tenancy Referencing All professional lets should be referenced through reputable credit reference agencies.
Tenancy Agreement Have you seen a copy? Does it comply with your requirements and the latest legislation? Will the tenancy agreement allow you to action legally enforceable provisions?
Inventory All properties should be let with a detailed property inventory covering all aspects of the condition, fixture & fittings and with photographic back up.
Section 21 & 48 Notices Served ensure all appropriate notices are served at the correct time and documented accordingly.
Tenant Induction Induct the tenant by means of a complete home demonstration. This will eliminate unnecessary call outs, costs and tenancy non-compliance.
Tenancy Administration All utilities, including water, council tax, gas, electricity and telephone should be transferred to the tenant on completion.
Mandatory Regulations, Taxation and Insurance If you don’t know get advice.
Property Inspections It is recommended that the property is inspected every 6 months during a tenancy to appraise tenancy compliance and the condition of the property.
Rental Collection Make sure the rent is paid each week or month on time, if not chase it continually. A late payment can soon become ‘bad arrears’.
Repairs If using an agent, agree a maximum spend budget. Beware of excessive work completed by ‘in-house’ maintenance teams.