Question about renting a flat and letting agents contract fee?

Question

We have found a flat we like, however the letting agent wants to charge us £94 for a credit/reference check on one of us and a £185 contract fee. Is this the usual amount? Or are we being taken for a ride?

Answer 1

Agency fees are pretty much standard with agents based in large cities but the actual amount charge varies a lot from agent to agent. I must admit the referencing fee appears very high, I work in London as a Lettings negotiator and we have independent referencing for security and quality of service. The referencing company charges £35 pp and we transfer this cost across. The contracting fee sounds about normal if that includes VAT but I would query why the referencing fee is so high for one person, it could be that they have a point of contact and that the fee is for multiple people but only one person is listed.

Answer 2

Unfortunately that sounds about right!

I rented a flat in London and paid about that much.

Answer 3

That does sound about right also have you paid the £250 holding deposit for the property you like. As long as it is a well know estate agents you should be ok