New licence fees for letting and managing agents have been announced by Rent Smart Wales, the Welsh Government’s registration and licensing scheme which was launched in November.
Landlords and Agents who let and manage property must get a licence by making a declaration that they are ‘fit and proper’ to hold a licence and passing approved training.
Since the launch of the scheme, the City of Cardiff Council, as the single licensing authority for the whole of Wales, has been listening to the feedback and comments received from smaller agents about the £3,728 licence cost.
A review of the fees, giving consideration to the size of an agent’s business and affordability, has now been completed with input from UKALA, ARLA, RICS, NALS and others.
So from April 25 the fee is to be graduated based on the size of businesses.
Licence costs range from £1,890 to £6,600 for five years depending on number of properties. The fees also take into account whether an agent is a member of a professional body and whether an agent applies online or by paper.
The authorities behind Rent Smart Wales claim the revised fees are based on estimated costs and resources and are set to fully recover costs to enable effective delivery of the service, but not to make a profit.
Landlords and agents have until November 23 to comply with their new legal obligations as part of the Rent Smart Wales scheme, after which there is the threat of legal action.