Letting agents often operate under the sunshade of any estate agent due to the synergy that exists amid the two professions, however there are agents that deal entirely with letting.
Although there are two main variety of renting, the letting agents deal mainly with tenancy between landlords and private individuals.
Role of a Letting Agent
The role of the letting agents, mainly, is to properly manage the property of the private landlords. Their liability ranges from searching tenants for their patron landlords, collecting rent and managing their property. These agents charge fees from the landlords for providing their services. If the possession is managed entirely by the agent, tenants may never normally meet their landlord (although they possess the rights to be acquainted with their landlord's contact details & that the name and address of the landlord should appear on the tenancy agreement).
There are numerous advantages of hiring letting agents at the time of searching for a rentable property. A good agent with awareness of the areas will save your time & efforts in searching the right residence in the time frame provided to them. The letting agent can also act as a buffer between tenant and landlord problems or issues arising in different situations.
The services provided by them usually break down into various parts:
Their financial service is to introduce a tenant to the landlord. The cost for the landlord for the service is usually a fixed percentile of the sum of rent over the period of the tenancy & is asked with up-front.
Tenants are asked an “administration fee” with an up-front. This incorporates the dispensing the application, & usually involves potential penalties under recognition searches. Fees can differ widely. Often the fee is non-refundable, except the landlord pull out from the process.
Many agents can offer to gather the rent from the tenant if an additional commission is given to them.
Full Management is a term often used to explain day-to-day administration of the rental property. Many of them provide such services on properties that they have rented for a fixed commission.
The buy-to-let investor has traditionally two choices while it comes to searching tenants & managing properties – just pay an agent a generous fee otherwise do it themselves.
The agents will typically put forward “let-only” services, where they will locate, interview and investigate the tenants, do the red tape & take the deposit & a percentage of first month's rent as a fee.
Letting agents can vary from small agencies which look after a few properties only, to large global chains. Most of them have offices, while some may only advertise in local papers or elsewhere.