Give the LA another Chance or not?

[dlyricist]

Hi All,

1. LA has delivered a tenant since Sept 2007 and the six months AST is up. It was rent collection service agreement. However on more than 3 occasions rent has been upto 4 days late, which other LL I have spoken to, state is no big deal, provided it is within a week or so or they communicate with you, which they reasonablydo - after I chase them up.

2. On all occasions it has been myself who has chased the tenant up rather than the LA.

3. For the first time I conversed frankly with the MD of the letting agency, who has apologized for the previous service given and offered to improve them with reduction in rent collection service of 9% to 7% all inclusive. The agency is respected and growing but they do take their fees upfront, whether I sign up to a 6 or 12 month agreement.

4. The property is nearby and tenant doesn't mind going alone with me, bypassing the LA. I am tempted to go it alone (which in effect I have been doing) and let it run as a periodic tenancy agreement bypassing the LA, though I don't know if I should, since the MD of the LA argued his points well and reiterated to make the tenant pay on time and reimburse any overdraft penalties incurred by myself, but will same thing happen again?

....IMHO of whatever sort much appreciated

[CH1]

Personally I think 4 days late in rent payment is ok and has happened a few times to me with standing orders. It depends what you feel with the tenant - do you feel comfortable liaising with them regularly, hopefully the late payment won't be a regular phenomenon, if 3-4 days late will affect your payments then you have to either get tenant to pay a late fee for your charges incurred or get then to pay 3-4 days earlier.

If its local it will be easier to manage yourself and be in control -rather than you calling LA and they contacting T -and then they contact you -all this takes time equals lost time equals lost money IMHO.

[Simon Dewsberry]

4 days late is VERY NOT OKAY in my opinion

If you want a more "commercial" opinion try paying your mortgage or cc payments 4 days late .......

I think i have made my point........

Clause in my ast is £5 charge for everyday cleared funds are not in my bank acc ....

To allow this is sloppy practice .....when the T has no central heating will it be okay to call the engineer in 4 days ...

Run a tighter ship or you are inviting problems for later ........

The Rodent

[Trenners]

Hi dlyricist,

It sounds as though your LA has been more than reasonable and the MD wants to retain your custom and is doing everything within his power to retain you as a customer. That is a good sign. I would give them another chance.

I take rodents point (about late payment of rent) and agree that if you "give a tenant an inch they will take a mile".

However ....... running too tight a ship will seriously P*** OFF the tenant causing un-necessary voids and reduced rental yield.

Firm but fair should be the mantra of all landlords.

Mark

[GPEL]

I would advise the LA that I want to give them another chance to provide the level of service contracted for but on the understanding that payment of fees is deducted on a monthly basis, not all in advance, and no penalty should you give notice through continuance of the original problem. Taking on managment yourself isn't an issue so long as you follow the terms of any agreement beforehand. Your LA isn't responsible for late rents but is responsible for the level of contracted service and recovery procedures within that agreement.