GPEL Posted November 28, 2006 Report Share Posted November 28, 2006 If your agent tries to charge you for a sale to your tenant consider the comments below. For anyone that might be interested the following agent management agreement term was squashed by the OFT: “This term provided that, in the event of a sale of the property arising directly or indirectly out of the letting to the tenant, the landlord was liable to pay a commission to the agent. This was unfair for the following reasons. The future sale of the property was unlikely to be in the contemplation of the landlord at the time he entered into the agreement. If the landlord subsequently decided to sell the property to the tenant, he would have already paid for the services with which he had been provided. It was unfair to seek a bonus for a possible future event in circumstances where the agent had provided no correlative service.” Further: “Now the agent merely offers an obligation free valuation of the property. The new term also states that sale of the property would be subject to terms and conditions of a new agreement.” Those purporting to hate unscrupulous agents might be interested. Link to comment Share on other sites More sharing options...
GPEL Posted August 19, 2007 Author Report Share Posted August 19, 2007 Brought to fore as requested. As mentioned before, you come across some excellent information at www.landlordlaw.co.uk and are well supported should you need Tessa's services (and I have absolutely no hidden agenda in making the recommendation). The subscription is well worth it and the information is a bit more correct than "someone's opinion" seen elsewhere. Link to comment Share on other sites More sharing options...
Melboy Posted August 20, 2007 Report Share Posted August 20, 2007 Thanks GPEL I did search for info on the Governments website but couldn't find it anywhere. I was/am is this position having sold a house to a Tenant two years ago but the Agency still don't know so I was sort of waiting at some time in the future for a nasty letter. My only back-up was that on my contract there was no mention of selling fee's to any Tenant but within that month the Agency changed their contracts to say that a 2% charge would be made to any LL who sold out to a Tenant they introduced (and it is still there as well!) Link to comment Share on other sites More sharing options...
GPEL Posted August 20, 2007 Author Report Share Posted August 20, 2007 An agent I use also has the same term but didn't challenge them about it for sake of good relationships. However, if it becomes an issue in the future it'll be a different matter. Link to comment Share on other sites More sharing options...
Simon Dewsberry Posted August 20, 2007 Report Share Posted August 20, 2007 "over my dead body " springs to mind ! Simon Link to comment Share on other sites More sharing options...
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