Cancelling Contract with Letting Agent
Discussion
Hi Guys,
I'm looking to cancel my contract with my current letting agent, as I've passed the minimum contract length and there is no cost to opt out now and having spoken to them, I simply need to offer a month's notice - this seems straightforward.
How does the contract work when I cease with my letting agent? Is it as straightforward as completing a new AST and issuing to current tenant for signing (both tenant and I are happy at the moment, and the tenant wishes to stay).
Im concerned the deposit will be hard work to "sign" across to me, rather than letting agent.
To be quite blunt, I've paid 10% for them to "manage" - a term i will use most loosely in this context. I really fail to see what the LA does for the money, and being brand new to the rental game I thought they would be of help to me and me being cautious at this time led me to using the agent. now that there is no fee to leave, im looking to do this ASAP!
all advice will be gratefully received!
Thanks,
Matt
I'm looking to cancel my contract with my current letting agent, as I've passed the minimum contract length and there is no cost to opt out now and having spoken to them, I simply need to offer a month's notice - this seems straightforward.
How does the contract work when I cease with my letting agent? Is it as straightforward as completing a new AST and issuing to current tenant for signing (both tenant and I are happy at the moment, and the tenant wishes to stay).
Im concerned the deposit will be hard work to "sign" across to me, rather than letting agent.
To be quite blunt, I've paid 10% for them to "manage" - a term i will use most loosely in this context. I really fail to see what the LA does for the money, and being brand new to the rental game I thought they would be of help to me and me being cautious at this time led me to using the agent. now that there is no fee to leave, im looking to do this ASAP!
all advice will be gratefully received!
Thanks,
Matt
Deposit - open an account with the DPS (free), have them transfer the deposit to your account. Then reissue the prescribed information.
AST - read the current AST. You may not need to reissue one at all. Ideally, the tenant will now be on a contractual periodic tenancy. This just tickles along until you or the tenant decide to end the tenancy.
Make sure the agent hands over their copies of AST, inspection reports, gas safety record, electrical fixed wiring checks and PAT tests.
Make sure you know about upcoming legislation, and your responsibilities as a LL.
ETA - A good agent will more than earn their fee, and to a degree they are banking hours when things are going well for the many hours they'll put in if things go bad.
AST - read the current AST. You may not need to reissue one at all. Ideally, the tenant will now be on a contractual periodic tenancy. This just tickles along until you or the tenant decide to end the tenancy.
Make sure the agent hands over their copies of AST, inspection reports, gas safety record, electrical fixed wiring checks and PAT tests.
Make sure you know about upcoming legislation, and your responsibilities as a LL.
ETA - A good agent will more than earn their fee, and to a degree they are banking hours when things are going well for the many hours they'll put in if things go bad.
blindspot said:
Deposit - open an account with the DPS (free), have them transfer the deposit to your account. Then reissue the prescribed information.
AST - read the current AST. You may not need to reissue one at all. Ideally, the tenant will now be on a contractual periodic tenancy. This just tickles along until you or the tenant decide to end the tenancy.
Make sure the agent hands over their copies of AST, inspection reports, gas safety record, electrical fixed wiring checks and PAT tests.
Make sure you know about upcoming legislation, and your responsibilities as a LL.
ETA - A good agent will more than earn their fee, and to a degree they are banking hours when things are going well for the many hours they'll put in if things go bad.
Agree with you except for "Ideally, the tenant will now be on a contractual periodic tenancy." surely if they are a good tenant you would much rather have them on a fixed term agreement. AST - read the current AST. You may not need to reissue one at all. Ideally, the tenant will now be on a contractual periodic tenancy. This just tickles along until you or the tenant decide to end the tenancy.
Make sure the agent hands over their copies of AST, inspection reports, gas safety record, electrical fixed wiring checks and PAT tests.
Make sure you know about upcoming legislation, and your responsibilities as a LL.
ETA - A good agent will more than earn their fee, and to a degree they are banking hours when things are going well for the many hours they'll put in if things go bad.
It depends - I don't really see that a series of fixed term tenancies are better than an ongoing contractual periodic. With the periodic, no need to issue new ASTs, no need to re-register the deposit and prescribed info. If the tenant is happy and intends to stay then great, they do that but you each retain flexibility. If the tenant doesn't want to stay, then you probably don't gain much by trying to push them onto a fixed term. And if they are within a fixed term and want to leave sooner, you're probably better off letting them go before they become too unhappy or difficult.
blindspot said:
It depends - I don't really see that a series of fixed term tenancies are better than an ongoing contractual periodic. With the periodic, no need to issue new ASTs, no need to re-register the deposit and prescribed info. If the tenant is happy and intends to stay then great, they do that but you each retain flexibility. If the tenant doesn't want to stay, then you probably don't gain much by trying to push them onto a fixed term. And if they are within a fixed term and want to leave sooner, you're probably better off letting them go before they become too unhappy or difficult.
My view is if they've been there a year it's better having a friendly chat and seeing what their intentions are. I've just had my tenant asking for a 2 year contract as she wants security she can stay on, others will want flexibility, do whatever works best.Worth remembering though that if the place is mortgaged a condition of the mortgage is often that an AST is in place.
When the fixed term expires and the tenancy becomes statutory periodic or contractual periodic you still have an AST. Mortgage providers tend not to like an AST of greater than 1 yr.
As a LL with 1/2 properties I'd be wary of granting longer that 1 yr ASTs because circumstances change. Who knows what'll happen to your finances, health, job, master plan next year? If you have a good working relationship with tenant you should be able to give them the warm fuzzy feeling that it is your intention to keep them in situ and happy for as long as possible.
But yes, I agree that circumstances vary and it may suit to grant longer tenancies to the right TT/LL combination.
As a LL with 1/2 properties I'd be wary of granting longer that 1 yr ASTs because circumstances change. Who knows what'll happen to your finances, health, job, master plan next year? If you have a good working relationship with tenant you should be able to give them the warm fuzzy feeling that it is your intention to keep them in situ and happy for as long as possible.
But yes, I agree that circumstances vary and it may suit to grant longer tenancies to the right TT/LL combination.
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