Anyone know about the law regarding tenancy renewal fees?

[Redlorryellow]

Posting for traffic.. hope someone can help, either landlord, letting agent or lawyer! We have recently had to ask our landlord to extend our tenancy for 3 months (current tenancy expiring end September) and she is fine with it, but the letting agent handles all the admin eg deposit holding, tenancy agreement etc, and they will charge a tenancy renewal fee at around 12% of the months rent. Landlord is saying this cost will be on us, but from looking at the agent website it says the renewal fee is charged to the landlord. Who is liable for a renewal fee in this case? Us or landlord? Genuinely don’t know as have never been through a letting agent before, only a private landlord situation. Thanks for any help

It will automatically roll over onto a periodic tenancy, there shouldn't be any fee for this to any party. 12% is more like the management fee the agent would be paid by the landlord for managing the property.

As PP said, you don't have to renew your tenancy at all. You don't have to do any new paperwork. Literally zero work for the agency. Your tenancy will automatically become a periodic tenancy when the fixed term ends. Then you just need to make sure you give the correct notice to end the tenancy, it's one month but you need to make sure it's at least one month before the day rent is due.

Agency can't charge tenants any longer so they charge landlords. I doubt your landlord will agree to take it on, so will likely not agree to renew the contract, especially for just 3 months. It doesn't matter to you though, you can just stay on a rolling contract and give 1 month notice. Your Landlord would have to give more than 3 at the moment any way.

Or they could go ahead and pay it and then increase the rent.

england.shelter.org.uk/housing_advice/private_renting/options_when_your_fixed_term_tenancy_ends

You do nothing. Carry on paying the rent and give a clear Month notice when you plan on leaving. Don't sign anything or pay anything.

@vivainsomnia

Agency can't charge tenants any longer so they charge landlords. I doubt your landlord will agree to take it on, so will likely not agree to renew the contract, especially for just 3 months. It doesn't matter to you though, you can just stay on a rolling contract and give 1 month notice. Your Landlord would have to give more than 3 at the moment any way.

Or they could go ahead and pay it and then increase the rent.

They can't increase the rent in a periodic tenancy anyway