An online lettings agency that claims to have analysed the costs of “a selection” of 12 High Street agencies has accused them of charging landlords “fat price tags.”
Herddle, which charges a flat fee to customers, says landlords pay High Street agents “£2,178.82 too much”.
The online service does not name the 12 but claims their average fee is 19.8 per cent, and extrapolates that to say on “an average monthly rent of £1,750” would trigger charges per year of £4,158.
A statement from Herddle states the fees could be dropped to "a more reasonable" level and chief executive Corey Cumins says: “We’re not saying landlords are getting ripped off. But it’s curious that many are paying over the odds for a service that may not live up to its fat price tag.
“We’re not sure how many are in this boat, but given our calculations use the average fees it’s probably fair to assume this could be the average experience.”
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An advertorial for Herddle without naming agents who charge c20%, which I just don't believe.
Hi Lyndon,
The figures are based on research of High Street agencies in London that provide a full letting and management service, which in turn are used by the 'average' landlord.
If you look at the brand names on the high street, there are significant amounts of agents charging >20% + additional costs for nothing more than admin tasks.
@Brendan Few actually put prices on their websites so I suspect you are wetting your finger and sticking it in the air unless you are prepared to name names.. Herddle charge 10% plus VAT for management according to their website which, I would suggest, is an average price for High Street agents.
I repeat this is just an advertorial.
@Lyndon It is a statutory duty for letting agents to fully publicise the fees they charge to landlords. Under the Consumer Rights Act 2015, agents must prominently display a list of their fees at each of their offices as well as on their website.
Who are these people. Let's make up some stuff, exaggerate other stuff and put out a press release based on nothing; proper sad.
A- weird place to put a marketing piece in a blog for the market you are 'attacking'. B- can easily believe these charges in London (we charge 18%) but London is not the UK market. C- if you are a national operation quote national rents not premium London ones to enhance any claimed savings. D- the 'agents are crap and overpriced' tag line is so 2010 when it comes to promoting online haven't we got past this by now? Digital offerings will appeal to a very specific demographic for particular reasons and few of them are 'I just want to save money'- as we know from umpteen surveys of Landloprds whilst fees are GIVEN as a reason this is often a long way down the list of priorities and not the key decision driver.
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