Fuerteventura Forum

General Chit Chat & Queries - no commercial links => Houseowner Forum - Rental tips and experience => Topic started by: jamjar on January 13, 2016, 00:53:58 AM

Title: Can a Letting Agent charge commission???
Post by: jamjar on January 13, 2016, 00:53:58 AM
Hi

I recently made enquiries about a long term rental property on the island. The letting agent advised the terms which include a 1000 euro commission payable to the agent, is this usual/legal practice??

Cheers
Steve
Title: Re: Can a Letting Agent charge commission???
Post by: Chris1965 on January 13, 2016, 08:34:27 AM
Hi Steve

Long term lets are in very limited numbers, if you look at the sites for the lettings agents you will see that all properties are "let" There's always requests on here for long term lets so why not let it yourself? I think a reasonable commission is 10% of the monthly fee.

Whereabouts is the property? I know a couple of long letting agents that have been here well over 10 years.

Chris
Title: Re: Can a Letting Agent charge commission???
Post by: jamjar on January 13, 2016, 09:14:50 AM
Hi Chris

I think you may have the wrong end of the stick   :)    I do not own the property I am looking to rent it for my wife and I and am "concerned" as to whether the 1000 euro commission the agent wants me to pay to him on top of the deposit is legal/usual practice.

Steve
Title: Re: Can a Letting Agent charge commission???
Post by: Windermeregolfer on January 13, 2016, 11:15:35 AM
Hi Steve

You raise a good point here as someone wanting to rent a property (The Lessee) as we hope in the future to be in a similar position to you.

A Q is the agent calling the charge to you commission or some other description as I would the expect the Lessor (The person renting out the property) to pay commission on a % basis of the rental income they will receive.

The lessee could pay a admin fee in relation to obtaining references and to cover legal costs and the refundable deposit subject to inspections and the actual terms of the rental agreement.

You mention the 1000 euro is on top of a deposit and therefore I think it is very excessive based on my experiences here in the UK, not sure what the case is in Fuerteventura.  It may be in your interest to check with 2 or 3 agents on their terms & conditions as it may be the agent you are currently dealing with is double dipping.

I suppose it also depends how much you want to rent the particular property you have seen.

Hope that helps

John
Title: Re: Can a Letting Agent charge commission???
Post by: Chris1965 on January 13, 2016, 15:16:04 PM
We rented off Room to breathe in Corralejo, no commission charged just a deposit of 1000 euros I would say if they are charging 1000 euros on top of that, "RUN"

Chris
Title: Re: Can a Letting Agent charge commission???
Post by: isleswing on January 15, 2016, 11:50:10 AM
1000 euro is a lot to fork out and not get back!
Chris1965 says that there are not many available lets.
In that case, it could simply be that he charges the fee through greed, simply because he can get away with it.
Equally, they may have someone else lined up for it, and they're trying to put you off.
Again, maybe it's the old trick of overpricing because they don't want to deal with you, and if you do decide to go ahead, they've got a pocket full of cash out of it. PLEASE NOTE - I don't know you, so I'm not being personal or insulting about that suggestion.
Just see what other agents are doing, I'm sure we'd all like to know.
Title: Re: Can a Letting Agent charge commission???
Post by: Chris1965 on January 16, 2016, 08:11:40 AM
Whats the name of the agent?