When renting a property, there are various costs that you will need to take into consideration when making an offer.
Below, we have outlined the applicable charges payable when renting a home from Knights Property Services. We believe in being completely upfront regarding our fees – so you can manage the cost effectively and don’t have to worry about any hidden charges along the way.
As a tenant you will need to factor the following:
Reservation fee: £500 per property, which is then deducted from the balance of money payable (e.g. Rent) 72 hours prior to the tenancy commencing.
Security deposit: In most cases, this is equal to one and a half months rent.
Administration fee: Your administration fees can be easily calculated. The fee is the equivalent of 15 days rent of the property’s PCM rental value
Rent PCM x Days in the Month x 15
An example based on a property rental of £800pcm is as follows:
If rented in the month of May
£800 ÷ 31(days) = £25.80
£25.80 x 15(days) = £387.00
Sub Total non-optional fees = £387.00
VAT@ 20% = £77.40
Grand Total = £464.40
Room Administration fee: £300 Including VAT for sole occupancy.
Check out fee: The tenant is also responsible for the check-out fee when using Knights Property Services independent inventory supplier and the cost is based on the size of the property and whether it is furnished or unfurnished. These range from £75-£375 plus VAT. There may be occasions when this is not applicable but you will be made aware of this upfront.
Tenancy Renewal Fee – At the end of the agreed contract term, your tenancy agreement will need to be renewed. This renewal fee is charged at £120.00 Including VAT.
Loss of Deposit
If you fail referencing you will lose your deposit, however if you fail the referencing due a CCJ or Bankruptcy which hasn’t been declared by yourself your deposit will be forfeit due to the cost incurred for references. A guarantor will be required if the Landlord decides to proceed with the tenancy and this is at the landlord discretion , alternatively the rent will need to be paid up front.
As a landlord you will need to factor the following:
We believe in being completely upfront regarding our fees – so you can manage the cost effectively and don’t have to worry about any hidden charges along the way
The percentages below are applied in each case to the monthly rent payable by the tenant under the tenancy agreement, and are all inclusive of VAT.
1. Sole Agency
Rent Collection Service – 14.4%
Fully Managed Service – 18%
2. Joint Agency
Rent Collection Service – 16.8%
Fully Managed Service – 20.4%
3. Let Only Service
10.8% for sole agency for initial 12 month and then 5.4% for any extension whether a fixed term or on a periodic basis
13.2% for joint agency for initial 12 month and then 6.6% for any extension whether a fixed term or on a periodic basis
A set up fee is payable of £432 Inc. Vat to cover initial administration costs.
Set Up Fee ( Landlords Share ) – This charge covers the following; Photographs and Marketing, Negotiating of tenancy offer, Accompany viewings, Arranging of tenant referencing, Advise of Landlord compliance and letting consents required, Drawing up of Tenancy Agreements and exchanging the same.
4. Services relating to any Court or Tribunal proceedings or any protracted correspondence between Romans and the Tenant where Romans is instructed to act on the Landlords behalf – £300 Inc. VAT for up to a half day’s work or £600 Inc. VAT for a whole days work.
Knights Property Services are members of the Property Ombudsman being the largest lettings redress scheme in the UK.