I would appreciate some advice on an issue I am having with the rental of my property.
My property has been managed by the same letting agents on my behalf according to a property management agreement signed with them in November 2016, and I have been living seasonally overseas in India since that time.
The current tenants have been in the property since February 2021. The rent for my property as stated on the current Assured Shorthold Tenancy agreement which was sent to me by the letting agents is £1400 per month, and the letting agent’s fee for managing my property is 10% (£140 per month) — so the monthly rent I have been receiving from the letting agents since February 2021 has been £1260.
I recently returned to the UK from India in September 2021. One of my main reasons for returning was to make an appointment to see the letting agents to find out why I had had to chase them for each of the last four months from May 2021 for payment of my rent which was due on the 17th of each month but which had been paid increasingly late each month to the point that the payments had fallen one month into arrears. I had been informed by the letting agents that the tenants had been withholding their rent owing to outstanding repair works within the property that had not been carried out. However, this did not strike me as a satisfactory explanation so I was keen to meet with the letting agents and the tenants to resolve the matter.
During a scheduled visit to the property a few weeks ago with a representative of the letting agents, the tenants confirmed that they had been withholding the rent owing to the fact that the letting agents had not seen to any of the maintenance issues that they had raised with them. However, I was more concerned to discover from the tenants that they had in fact been paying a monthly rent, apparently from the beginning of the tenancy, of £1650 in cash to a third party, instead of directly to the letting agents. The tenants also appeared to give indication that this had involved a significant upfront payment to the said third party of at least six months’ rent in advance, although I was unable to confirm this with them at the time owing to the fact that I spoke to the main tenant via a video call and his level of spoken English was not very good.
On taking this up with the letting agents, they explained to me that the third party concerned was an individual who had a working association with them which involved him sourcing prospective tenants for the properties that they managed. However, this arrangement had not been notified to me or agreed by me previously, and was certainly not indicated anywhere on the AST agreement that the tenants had signed with the letting agents and which had been provided to me, which stated that the amount of rent to be paid by the tenants was £1400 per month. Moreover, this arrangement seemed to me to be underhand, unfair (both to myself as Landlord and to the tenants) and very likely illegal as it was not in accordance with either the AST agreement that the tenants had signed, which includes terms and conditions for the protection of both Landlord and tenants, or the property management agreement that I had originally signed with the letting agents in November 2016.
Suspecting dodgy dealings which might serve amongst other things to invalidate my Landlords Insurance that I had taken out previously against the property, and in light of the fact that the six-month AST agreement with the current tenants had ended on 16 August 2021 and was now continuing on a rolling monthly, I resolved to give the required two months’ notice to the letting agents to end my property management agreement with them with a view to taking back possession of my property. This notice was formally served to the letting agents on 5 October 2021 so that they could see to all matters in connection with ending their management of the property, and I instructed them at the same time to give the required two months’ notice to the tenants to vacate the property. However, this notice has not yet to my knowledge been served to the tenants, and I am currently still owed one month’s rent for September 2021 by the letting agent, despite numerous assurances from them that this had been collected from the tenants and would be paid into my account.
My main objective at this stage is to end the current property management agreement with my letting agents, who I believe have acted unscrupulously and illegally not only in this matter but in several matters previously, and to regain possession of my property as soon as possible -- either with a view to putting it on the market or re-letting it with different and more reputable agents who will act in accordance with the Law and not seek to rip me or my tenants off. I also want to be paid the rent I am owed (including any arrears) until the time that the tenants vacate the property. However, I am concerned that the letting agents are not going to play ball and facilitate or expedite this, and that they will continue fobbing me off for the next 2 months and not do anything to evict the current tenants.
I would therefore greatly appreciate some advice on my best next steps to ensure that I get my property back and that I am paid the rent that I am owed, as this situation has caused me a great deal of stress. I am aware of the option of taking this down the formal compliant route with the letting agents, with ultimate referral to the Property Ombudsman. However, I am concerned that this process could take many months while the situation with my current tenants remains resolved.
Very many thanks.
