Early Termination Fee

Tenant Discussion
1

Hi,

Hoping to get some clarity on this.

We had to leave 5 months into a 12 month tenancy, which the landlord agreed to. The letting agents found new tenants immediately. 3 viewings were conducted, all done by us.
We paid rent and utilities until the new tenants moved in. The landlord was not out of pocket and no rent was missed.

The issue is with the Early Termination Fee that we were charged by the letting agent.
As I understand it, according to the Tenant Fees Act 2019, early termination charges must not exceed actual, proven costs incurred by the letting agent in re-letting the property.
We were charged a flat fee of 1 month’s rent + VAT = £1,020.
I have asked for a breakdown of costs but they have not provided one. They say that we agreed to it and it’s just their fee, end of story.

My question is, is any amount charged, which is in excess of their actual, proven costs (ie remarketing, referencing etc) a prohibited payment? Can they charge a flat fee without breaking down costs?

Many thanks in advance

2

outrageous Stand your ground .I am a landlord

1 Like
3

Hi

It is the landlord that can recover reasonable costs. If the letting agents standard commission/fee is 1 months rent for organising a new tenancy and they made this clear to you then I do not think there is much you can do. Letting agents dont need to provide a breakdown of costs if they are charging the landlord their normal rates to start a tenancy.