I have been a Landlord for over 8 years and been fully managed by a well known property management company(PMC). Due to rising mortgage costs and poor management/communication from this company I now wish to leave them and manage the property myself. I have good tenants who also are not impressed with the PMC so willing to do what they can.
The have told me when I asked what notice I need to give that until the tenancy ends I cannot leave unless I pay 2 months rent. This equates to nearly £4k!!
Surely if you are not happy with a service one can leave, giving 30/60 days notice?
Has anyone else been in a similar position? I’m sure the PMC are just trying to not lose the income they generate from me for doing practically nothing.
Thanks in advance all!
They all usually have a clause in their contracts that stipulate you have to pay a penalty to end the contract while the tenant they sourced is still in the property. I’m not sure how they go about inforcing this if you and your tenant was to mutually end the tenancy and then start a new tenancy. The other avenue you could pursue is they have to all belong to a redress scheme. You could take your issue to them and they may be able to give you advice.
they will have stitched you up when the tenant first moved in
Has anyone else been in a similar position?
Probably everyone who has a Managing Agent. As @Chris says it’ll be in the contract you signed. Have you checked?
There should also be a mechanism to have your complaints about their service looked at by an independent organisation like an ombudsman. Have you checked that?
Yeah, I think you’re right about everyone who uses a managing agent. Im looking to get proof from the Tenant about when he contacted them, but its a very long shot.
I need to wait for them to increase their rates(which won’t be long on past history) and then I believe I can legally leave without a cost.
Thanks for all the replies. Have learnt the hard way about these contracts. Amazed there is no way out…
True, have learnt the hard way. Am shocked, but live and learn eh…