The Queen’s speech has announced a big change for the property industry in the scrapping of agents’ lettings fees – branch manager at our Sleaford office, Jamie Aspland reacts. The Queen’s speech has announced a big change for the property industry in the scrapping of agents’ lettings fees – branch manager at our Sleaford office, Jamie Aspland reacts.

The Queen’s speech has announced a big change for the property industry in the scrapping of agents’ lettings fees – branch manager at our Sleaford office, Jamie Aspland reacts.

Lettings fees are scrapped in historic announcement| Published in Lettings on 22 June 2017 by our Marketing Team

Agents are currently paid lettings fees by tenants – an average of £223, according to government figures – to cover references, credit checks and potentially investigating an immigration status. It was initially proposed in the Autumn Statement, but the Queen’s speech yesterday (21 June) confirmed, that the Tenants’ Fee Bill will come into force later in the year, meaning that agents are no longer able to charge for these services.

As an MNAEA and ARLA Propertymark representative I do support what these bodies have already said – that, as a result of this new Bill, rent will increase; there’s no doubt about it.

The announcement is obviously good news for tenants – who are now being encouraged to carry out their own intendent references. Landlords will, however, lose out as they will now need to absorb this cost. This presents a barrier to entry and will make the purchasing of buy-to-let properties less attractive.

With fewer buy-to-let properties on the market – created through this barrier to entry – it’s inevitable to push rent prices up.

Agent lettings fees have already been abolished in Scotland, so it’s likely that we’ll see a similar property market structure filter down; it will be interesting to see how this progresses but the bottom line is that with demand set to further outweigh supply rent will go up.

Our branches are specialists in handling rented properties so if you do have any questions do visit one of our offices or contact via our website.

For more company news and insights from Pygott & Crone, click here

Members of the Relocation Agent Network

Part of a network of agents

We work with other trusted estate agents across the nation

Latest news

Help us make a difference to those in need this Christmas
Campaigns | 21 November 2022

Help us make a difference to those in need this Christmas

Donations for our local food banks are being gratefully received at your local Pygott & Crone branch

Is home staging worth it?
Magazine | 1 November 2022

Is home staging worth it?

Home staging is a specialised skill which involves creating the perfect atmosphere in your home using furniture and accessories, plants and lighting, to garner buyer interest for your property and sell it faster, for the best price.

Winterproof your home with these tips
Magazine | 1 November 2022

Winterproof your home with these tips

As autumn leaves us and dark evenings approach, now is the best time to start preparing your home for the cold months ahead.

One in three properties receive an offer one hour after viewing
Magazine | 1 November 2022

One in three properties receive an offer one hour after viewing

The housing market once again exceeds expectations after a poor reception from the chancellor’s mini-budget and regular talk of a possible slowdown, as current research suggests that in 2022, almost a third (31%) of properties are now receiving offers within an hour, compared to a mere 7% in 2018.

Chat live

Chat live with a member of staff

Please provide your name and email address to continue.

Cookies

We use some essential cookies to make our website work; and we use some other cookies to help us improve our website without identifying you. You can accept all cookies or change your settings below.

For an explanation of cookies and how we use them, see our cookie policy here (opens in new tab). Below you can choose to enable non-essential cookies.

These are anonymous and help us understand how our website is used.