Landlords’ costs are likely to increase after some of the largest letting agents announced plans to raise their charges in response to a Government ban on tenant fees that comes into force next month.
Agents typically charge property owners 10% of their rental income to find occupants and deal with any problems. Tenants can often be charged £100 to £200 to cover administrative costs, but the Government said in January that these fees would be banned from June 1.
Experts have warned that agents will find ways to make up the shortfall, resulting in higher costs for landlords and potentially rent rises. And Landlords are turning their backs on their traditional ally, the Conservative Party, to punish it for a series of policy changes that have squeezed property investors like never before. Almost 70% of National Landlords Association (NLA) members voted Conservative in the 2017 general election. But only 16% would vote Tory if another election were called today, according to a new poll.