How to choose the right letting agent

One of the biggest challenges for landlords over the coming months and years is going to be navigating the changes to the way properties are let and managed after the Renters’ Rights Bill (RRB) passes.

If you’re currently self-managing or only have a basic tenant-find service, it’s now well worth considering engaging a properly qualified agent to help you and your let transition to the new regulations. The Bill is expected to pass in the summer, but the various measures are unlikely to come into force at the same time, so it’s essential to choose an agent who’s able to stay up to date with when each element will become a legal requirement and ensure you remain compliant.

Because of the huge overhaul of paperwork, processes and legislation – most notably the AST being replaced with a new periodic tenancy and Section 21 being abolished – some landlords who have previously self-managed are already enquiring about our Fully Managed service. With a new Decent Homes Standard, tenants being given the right to keep pets and mandatory membership of an ombudsman for landlords, diligent property management and carrying out regular professional inspections will become more important than ever.

So, while it’s certainly possible to continue letting and managing property as an individual landlord, the incoming Act will make it much more challenging. And given that financial penalties for breaching the rules are rising, and tenants are being given more routes to hold failing landlords to account, we’d suggest it’s well worth outsourcing your let to qualified agents who are fully trained on the new letting rules and regulations.

6 key things to check when using or choosing a letting agent

Are they properly qualified and trained?

Currently, there is no legal requirement for letting agents in England to be trained or qualified. So look for an agent that is a member of Propertymark or RICS, as these are the main self-regulating industry bodies that require their members to have formal qualifications and for all staff to undergo regular professional development. Member agents also have to adhere to a strict code of conduct.

Do they have Client Money Protection, Professional Indemnity Insurance and membership of an Ombudsman?

These things will help protect your rental investment and ensure you have a route to redress if something goes wrong. If the agent is a member of Propertymark, as we are, all three are required – but it is worth checking.

How do they vet tenants?

Having a reliable tenant referencing and screening process is going to become essential when the RRB passes and landlords will no longer be able to evict a tenant via Section 21. So, make sure any agent you’re considering has a strict referencing procedure using independent experts, carries out thorough credit checks, and is experienced in vetting tenants in person – a good instinct is worth its weight in gold!

Do they have any ancillary offerings that could benefit you?

One of the proposed changes in the Renters' Rights Bill may mean that landlords have to deal with an extended time of rent arrears before any notice can be served. Our Premier Rent offering means we can support landlords and they will always be guaranteed their rent payment. 

Do they have a good reputation?

These days it’s very easy to find reviews on sites like Google and Trustpilot, and it’s also worth asking other local landlords about their experience with agents. In particular, find out how good they are at communicating with their landlords, as this is key to a good relationship.

Do you like and trust them?

We believe it’s absolutely essential to meet an agent in person so you can gauge for yourself their professionalism and communication skills. You’re going to be trusting them with one of your most valuable assets - and, ultimately, the success of your let - so pick a person and team that you like and that gives you confidence.

Although the number of online agents is increasing, we would suggest it’s always better for you and your tenants to be able to speak with your letting agent and property manager face to face and especially for let property to be checked on a regular basis.

If you’d like to discuss our services or have any questions about how we’re planning for the upcoming reforms, just get in touch with your local branch and one of the team will be very happy to have a chat.