In the Autumn Statement, the Chancellor proposed a ban on lettings agents charging any fees to tenants prior to the commencement of their tenancy. These fees would usually contribute towards the cost of a credit reference, an inventory and drafting the tenancy agreement.
At Dexters we have always tried to keep any charges to tenants as low as possible. We make sure any financial contribution from a tenant has been transparent before they consider renting through us and that it is wholly relevant to the work that is carried out on their behalf.
A recent survey by Generation Rent published in the Evening Standard found that Dexters charged the lowest out of London’s 14 largest lettings agents.
Unfortunately, some agents have based their business model on tenants paying a much larger share of the charges and we believe this poor practice has come about due to the lack of any proper regulation in the industry.
Dexters is regulated by the Royal Institution of Chartered Surveyors (RICS), we are members of the Association of Residential Lettings Agents (ARLA) and adhere to the highest professional standards in the industry. Therefore, we view this proposal as a first step towards full licensing and regulation, which we welcome.
We are engaged in the consultation through our membership of ARLA.
The typical two-adult household is being hit by letting fees of up to £813 when taking on a home to rent, according to a new report by the campaign group Generation Rent. The report has been published a day before the close of a consultation on government proposals to ban letting fees for tenants. Generation Rent found that tenants in England are still paying an average of £404 every time they move. Dan Wilson Craw, director of Generation Rent, said: “Letting fees make an already stressful situation worse. Landlords appoint their agents, so should be paying their costs – landlords can also shop around for the best deal more easily than tenants can." But David Cox, chief executive of the ARLA, said that if a ban were enforced, rents would rise and tenants would end up paying more.