Landlords favour letting agent fees cap as MPs push for blanket ban
The majority of landlords still believe that a cap on letting agent fees will be more effective than an outright ban, according to research by No Agent.
The firm’s survey of over 100 landlords coincides with yesterday’s MPs debate on fees, where Housing Minister Alok Sharma said a cap would be harder to understand and enforce.
More than half of those taking part said they believe the ban will result in letting agents passing fees on to landlords.
Almost a third of landlord participants also indicated that they were unaware of the proposal to ban letting agent fees charged to tenants, while a further 14% were only ‘somewhat aware’.
Other key findings:
- 35% of landlords agree that the ban will force agents to become more competitive and provide better service.
- 46% of landlords feel that the deposit cap of one month’s rent would make them less likely to let properties to tenants with a poor credit history.
- 37% of landlords agree that the deposit cap will make them less likely to let to tenants with pets or children.
“It’s worrying to see the awareness of the proposed tenant fee ban amongst landlords is so low, particularly given how much of an impact this will have on their current business models,” says Calum Brannan, chief executive of No Agent.
“More needs to be done by the government to ensure this vital group know what is to come into effect in 2018.”
“We very much hope that this ban will force letting agents to become more efficient, and adopt technologies and new processes that will save money for all parties involved, including tenants,” he says.
You can see our full write-up of yesterday’s Commons debate on agents’ fees here.