The hidden costs landlords should avoid

It’s often said that the devil is in the detail and that can also be true when it comes to lettings agreements.

Landlords should be wary of falling into the trap of appointing an agent who tempts them into signing an agreement based all the main conditions, without first scouring the small print.

It’s always worth double checking the details, even if just to confirm the decision is the right one.

Lily White, director of Henry Adams Lettings in Chichester, said: “The headline commission of full management, rent collection or introducing a tenant are the obvious aspects to consider when appointing an agent, but there have been nationally reported instances about agents charging commissions on remedial or repair work they organise.

“We strongly disagree with this practice so we don’t charge any commission on work carried out as part of landlords’ ongoing maintenance. After all, we’re already being paid a management fee.

“I recommend that landlords ask their agent directly whether they receive any commission for works done on their property.

“It’s one area which is often mentioned by landlords coming to us for advice after they discover their previous agent is charging extra for every piece of work carried out on the property.”

For further information and advice, landlords can also contact the Association of Residential Lettings Agents (ARLA).

Lily also encourages landlords to study the small print before signing documentation.

She said: “Ask questions of any potential agency to check the costs for all services being provided, from the headline monthly commission, initial tenancy set up costs, inventory charges, tenancy check in/out, deposit registration, and so on.

“Finally, don’t forget to ask whether the agent benefits financially from commissioning any repair or maintenance work on the managed property.

“You might be surprised at the answer, so this could protect you from paying more than you should.”

For further information on all aspects of lettings, including buy-to-let investments, please contact Henry Adams Lettings in Chichester on 01243 537704, Bognor & Aldwick, Petersfield, Midhurst and across the region, or go online at www.henryadams.co.uk.