Insurance News Archive

NLA calls for courts to scrap tenancy renewal fees

The National Landlords Association (NLA) has called for the courts to rule against letting agents being allowed to charge proprietors renewal fees.

Landlords in London and the south-east are currently subject to charges for renewing a tenancy agreement, even if they have been managing a property themselves throughout a contract's duration.

A major high street letting agent is being challenged in the high court this week by the Office of Fair Trading over the issue.

"This is a landmark hearing where, we hope, consumers will get some much needed protection from these unacceptable charges," said John Socha, vice chairman of the NLA.

He branded the fees "unfair" and "money for nothing", saying there was "absolutely no reason" for a charge that did not reflect the work undertaken by the agent.

Meanwhile, Tom Entwistle, editor of Landlordzone.co.uk, recently urged buy-to-let owners to scrutinise contracts for clauses such as renewal fees and sales commissions before signing on the dotted line.

30 Apr 2009