Letting Agent myth busting
Letting agent myth busting
Following our articles on PRT myths and press myths, our attention turns to misconceptions commonly held by letting agents.
1. We need to join a redress scheme
In Scotland there is no legal requirement for letting agents to join an external redress scheme unless the business also deals with property sales. Agents must apply to the letting agent register and their landlords and tenants can apply for redress through the First-tier Tribunal for Scotland (Housing and Property Chamber) if the agent breaches the letting agent code of practice.
2. We don’t need to take any action if the tenants don’t sign and return the inventory to us
The letting agent code of practice requires agents to take reasonable steps to remind the tenant to sign and return the inventory. If the tenant does not, the agent must inform them, in writing, that they will nevertheless regard it as correct. A CLA template email which can be used to fulfil this duty can be found here.
3. We need to draw up a new tenancy agreement if we take over management of a let property
The tenancy agreement can be left to continue but it is best practice to try to get a new one signed if the current one has been poorly drafted by the landlord or previous agent.
4. We need to put the landlord’s home address on the Private Residential Tenancy
You can put the landlord’s address as c/o the agent’s office address. Most landlords would prefer that you don’t disclose their contact details to their tenants, but you must provide their name and address within 21 days if the tenants put in a written request for this.
5. We still need to register with landlord registration
Agents who’ve applied to the letting agent register no longer need to be registered with landlord registration. The landlord registration website allows landlords to link their registration application to agents who’ve been allocated an Letting Agent Registration Number (LARN). Where agents don’t yet have a LARN the landlord will need to contact the local authority to provide them with the agent’s letting agent registration application code instead.
Concerned you are wasting time and money operating with other myths in your business?
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