UK Landlord Forum / Life

Good Evening,

Newbie here 


We have a property currently been let via an agent on a fully managed contract. We have been with this company for 4 years and now we're in a position to manage the property ourselves (Previously we both worked away for prolonged periods). we informed the company of our decision, they have tried to offer an increased income flow which we declined. Since then we have experienced "sour grapes" i.e. Putting the phone down on my girlfriend and taking up to a week or two to acknowledge and respond to our decisions. Then getting very shirty in emails.

The contract is up in May and they asked for a release/finders £320+VAT fee in order to allow the tenants to remain. Our original plan is for the tenants to move out for a period which they're content with  (1 week) while we conduct work on the property painting, new carpets etc. The agent has now informed us that we cannot let the property to the same tenants for up to 6 months as it was laid down in the weeds of the contract. We trying to dig out the original contract to check this.

Has anyone experienced these kind of restrictions?

But my question is that it's our property and no longer under a rental contract as of 14 May 2017. So I believe we can do as we wish with the property and rent to whoever we so wish?

If we chose to re-let to the current tenants what could be the Implications if any?

Many thanks in advance

Simon

Such a restriction is very common, especially where an agent doesn't make an up-front charge for finding a tenant. It means the agent isn't left high and dry if the landlord uses them to find a good tenant and then decides to go it alone after six months. The fact that it's outside the formal period of the contract isn't particularly an issue (It's common for estate agents to claim commission on a house sale long after they've ceased to act for the vendor, for example.) What is an issue is the question of proportionality. If the agents found this tenant four years ago and they've been tapping you for, say, a grand a year in management fees for half an hour a month's work, then I'd argue it's not reasonable to expect further remuneration in respect of a tenant who, after all, could have left after six or twelve months anyway.

Dig out your copy of the agreement, or ask the agent for a copy of theirs, and see what the wording is.