RLA reports that the Office of Fair Trading (OFT) has reportedly followed up on concerns raised last year regarding unfair commissions that some letting agents charged landlords by sending firms written warnings. Concerns over unfairly high commissions that thousands of residential landlords had to pay to letting agents made headlines last summer, when the OFT determined that Foxtons, one of the largest of these agencies, could not justify charging its clients 11 percent for lease renewals. Additionally, there were concerns that Foxtons had expected some landlords to pay a 2.5 percent fee, even if they sold the given rental unit to the tenant. A High Court ruling issued earlier today confirmed that OFT’s concerns over these commissions were entirely justified.
This ruling may have a substantial impact on the buy-to-let sector, as a large number of residential landlords might be able to claim a refund for the commissions they paid. Many London landlords, for example, paid as much as 16 percent whenever their tenant renewed their lease. A report in The Times estimates that landlords across the UK may be eligible to claim as much as £26 million in refunds, following the High Court ruling and the OFT’s letter.
The OFT’s action against unfair commissions has already led to important changes at Foxtons. The firm has agreed to lower its fees, it has limited the collection of commissions to two lease renewals and also aims to ensure that the firm gathers these payments from landlords in a more transparent manner.
Categories: Buy to Let, Foxtons, Landlord and tenant, Landlord Association, landlords, Landlords Annual License Fee, landlords insurance, Landlords licences, London Landlords, London Property Investments
Tags: letting agents, London, Property management, Residential Property Management, West London
London Redevelopment Property For Sale
Highgate
Cholmeley Lodge,Cholmeley Park
London
N6
Existing: 771 sq/ft £ 425,000
Cholmeley Lodge sits on the crest of Highgate Hill, opposite Waterlow Park and is a short walk from the shops and restaurants of Highgate High Street and is within half a mile of either Archway or Highgate tube Stations.
Two double bedroom ground floor flat within a highly regarded Grade II listed Art-Deco purpose built apartment block in need of some cosmetic refurbishment
Further benefits include porter, non-allocated off-street parking and use of a communal roof terrace with stunning London views.
ERV 320pw (£16,640pa)
Highgate Redevelopment Flat For Sale
Property Investments in Woodside London CR0
Woodside has its own small high street just to the west of the leafy Woodside Green, which is overlooked by a number of larger Victorian houses converted into flats. Norwood Junction station, which is a few minutes walk from the busy Portland Road, is the first stop from East Croydon and serves mainline London stations with a regular service.
Property Investments in West Ham London E13 , E15
Ethnically diverse, multicultural ambience. Interesting shops
Property Investments in Wembley London HA0
Large diverse northwest suburb, good sized housing, gardens. Convenient for M1 giving access to North and M40 giving access to the West
Property Investments in Welling London DA16
Welling is a large town centre situated in the west of Bexley Borough. It is home to over 300 shops and businesses and offers you the traditional shopping experience along one of the longest High Streets in London.
Property Investments in Waterloo London SE1
Dominated by Waterloo Station itself and dull 1960′s office blocks, only during the past few years have developers created flats and apartments to satisfy the growing demand for inner city living. The largest developments sit either side of the Hungerford Bridge.
Property Investments in Tower Bridge London SE1
A forgotten area after the docks declined in the 1970′s, now rejuvenated with riverside flats and apartments and the arrival of the Jubilee Line. Trendy bars, restaurants and shops lie east of Tower Bridge in Shad Thames. Rotherhithe remains the focus for much of the riverside development. Plush apartments and converted warehouses draw the attentions of the city set, whilst Bermondsey still retains a reminder of its past with several scruffy council estates. Some Victorian cottages and terraces remain further inland.
Property Investments in Totteridge London N20
Northern suburb, large houses – many with gardens. Good access to M1 and North
Property Investments in Tooting London SW17
Good connections to West End and City. Bustling High St market, shops and restaurants. Nearest parks: Wandsworth Common and Tooting Bec Common. Tooting Bec Common with its open air lido, tennis courts, horse riding and running track, is a popular local attraction
