A. The Tenant Fees Act 2019 states that lettings agents and landlords are no longer allowed to charge tenants for reference and credit checks as well as the preparation of legal documents such as a tenancy agreement. The Tenants Fee Act 2019 has made such charges illegal and after a twelve month transition period, came into full effect from 1 June 2020.
The only fees that can be charged in connection with the tenancy are:
Any other fees will now be deemed as prohibited payments, and are not allowed under the new regulations. Administration costs are now expected to be absorbed by the landlord and should not be factored into any tenancy agreement as that would make the contract invalid. Of course, all other fees should still be included and it still makes sense to have a comprehensive legal document drawn up that covers all the details, responsibilities and penalties. Reputable lettings have invaluable experience in drawing up tenancy agreements and will guide you through the fine print, so as to ensure that all parties are fully informed of what they can expect to pay.
The Property Ombudsman also provides a free, fair and Independent service for dealing with unresolved disputes between member estate agents/letting agents and consumers who are landlords or tenants of residential property in the UK.
View all posts by Marc von Grundherr