Here is a question to the blog clinic from Esther who is a landlord
I use a managing agent. My tenants have had a 12 month contract but wanted to stay on after this period ended. The managing agent wanted to renew with a new 12 month contract (cost £150 split between myself & tenant) and increase rent by £25 pm.
Through email the tenants said they couldn’t afford the increase. On the phone, I explained to the managing agent I was happy to maintain the current rent and roll onto a periodic tenancy as they have been very good tenants. The agent said he would arrange this.
The tenants have continued to pay rent (and I presumed it was on our new agreement).
The managing agents are now pressing for a new 12 month contract and asking for £75 from me. Where do I stand?
In a landlord / agent situation YOU are the customer and THEY are just your agents. YOU are the one who tells THEM what to do – not vice versa!
Its YOUR property not theirs.
The reason why the agent wants the new fixed term of course, is that they want paying! However this does not justify forcing you into a new fixed term which neither you nor the tenants want.
On the other hand, it is not unreasonable for them to have some sort of payment, assuming of course that they are doing some sort of work. Although if they are managing agents they must surely be getting some sort of commission for their management work?
If they are not doing anything, you may want to consider sacking them and dealing with the management on your own.
In any event I suggest you take a look at your agency agreement and see what you have actually agreed with them regarding renewals, payment and termination of the agreement.