“We were looking to rent a property in the area. ......”
2 Star Review
Mar 16,2014
By:
'rjg'
Mar 16,2014
Branch: Preston, 80 Fishergate
Services: Lettings (Prospective customer)
Would you recommend?: No
Postcode: PR3
Branch: Preston, 80 Fishergate
Lettings (Prospective customer)
Postcode: PR3
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We were looking to rent a property in the area. At a viewing arranged by Reeds Rains, we were shown a barn conversion by the owners of the property which we liked very much and decided to take. We spoke to the owners who were very happy and immediately went to Reeds Rains to sort out the paperwork. I was absolutely incredulous when I was told by a rather snippy lady in the office that we would be charged £240 pounds EACH simply to apply for the property. When I asked what this was for I was told it was for credit checks, referencing, drawing up the tenancy agreement and arranging safety checks such as gas safety certificates etc. We were also told that we would have to pay £75.00 every six months to renew our tenancy. Having worked at a letting agency in the past, I know that credit references cost a maximum of £15.00 per person, work\landlord references are the price of a stamp. a phone call or free via email and the drawing up of a tenancy agreement consists of copying and pasting the tenant and landlord details into a word document and hitting print, two minutes of a job at the very most. It is also not legally necessary to renew tenancy agreements at all after the first six months expires, you can simply leave them rolling on until either the landlord or the tenant gives notice to end the tenancy. We went away from the office having refused to pay this ridiculous fee. The owner of the property had given us his phone number so we called him and explained the situation. It turned out this was the first time that Reeds Rains had marketed his property and he had not been made aware that such a high fee would be charged to potential tenants. He was also surprised to hear that we had been told that our fee would pay for safety checks as he had already been charged by Reeds Rains himself for these and paid in full. It would seem they were charging both landlords and tenants two separate fees for the same service. The landlord made it very clear to Reeds Rains that he was not happy with the situation and had not been fully informed of the extent of the fees charged. He was told by Reeds Rains that he had signed a 6 month management contract with them and those were their terms. As a result, we were forced to walk away from a lovely property as we just could allow ourselves to be exploited in this way and the landlord lost good tenants. Happily we found another equally lovely property with reasonable agency fees. We have seen the landlord since and Reeds Rains failed to find him tenants for six months. Once his contract with them expired he immediately went with another agent with more reasonable charges and let the property within two weeks. The point I am trying to make is that ridiculously high 'application fees' have an adverse effect on both landlords and tenants. Many tenants feel the same as we did and simply refuse to be virtually blackmailed into paying high fees for relatively nothing. This has a knock on effect for landlords as more and more tenants become wise to companies who operate in this way and, like me, don't even consider viewing properties with agents like Reeds Rains. If, like the person we knew, landlords are locked into management contracts for six months with the property lying empty it can be an expensive business . If both landlords and tenants refused to put up with these ridiculous 'application fees', perhaps we would all be better off.
What agent could do to change your mind?
It is more about the company policy of Reeds Rains as a whole. Until they change their policy on ridiculously high 'application fees' I could not be persuaded to use their services.
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