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Original poster

Legal? Getting property back.

21 replies

xmyboys · 13/04/2012 12:03

We have a management agreement with a real estate agent.
They pay x amt per month and take responsibility for locating tenants, management etc. We pay less rental value for what was supposed to be less hassle.
Fast forward and real estate behind in our payments.
We are broke and can't afford for this to continue.
I have given agent two months notice as this is what he said he needed to give tenants.
I am now concerned as I can't contact to confirm the notice has been served.
Do I go and talk to the people in the property and let them know what is going on?
I can't serve section 8 or 21 etc as I do not have the arrangement with the tenants, mine is with the agent.

But I need them out, any idea what I can do?
Thanks in advance!

OP posts:
LIZS · 13/04/2012 12:08

Not clear what your arrangement is - do you mean they take a larger % for managing the property before passing the rent on but they haven't been paying you at all ? Even so the tenancy should be between you and tenant not the agency and tenant. Has the tenant been paying the agent?

Original poster
xmyboys · 13/04/2012 12:19

The agent manage the whole process.
As far as I know we are not even listed as Ll on the lease but I have not seen any documents.
The agent pays us x amount per month and is meant to receive the difference the property is let out at.
Tenants are all up to date as far as I know he has just not been paying us x per month.

OP posts:
Original poster
xmyboys · 13/04/2012 12:20

Its meant to be an all included property management.

OP posts:
LIZS · 13/04/2012 12:26

Are agents members of ARLA or NAEA ? When we used a management agent our names were still on the tenancy. They received the rent and passed on what was due to us net. Can you notify tenants that you will be managing things direct form now on and if needs be have a new agreement drawn up. I'm not sure whether they really need notice from the agent as well when does the agreement expire ?

Original poster
xmyboys · 13/04/2012 12:30

That's probably not a bad idea about drawing up new arrangements BUT what about bonds etc?
As I have not dealt with any of this.
(I fear Angry bonds may not have been deposed in the right scheme but I could be wrong???)

I believe he has three individuals renting rooms individually ? We had to enter the property to deal with a repair and discovered locks on individual rooms, including what was the reception room.

OP posts:
LIZS · 13/04/2012 12:46

Hmm so have you actually rented the property to the agent and he then sublet it as a HMO ? Sounds like a rather unusual arrangement if so.

Original poster
xmyboys · 13/04/2012 13:00

Yes we have the agreement with him. He called is rent guarantee scheme.
What us HMO?

OP posts:
stoppingat3 · 13/04/2012 13:00

I am a L&T lawyer and havent come across a case where the agents are the landlords??

Somewhere along the line there must be a letting agreement - either with the agent? (which as I say would be very odd) or from the agent to the tenants which should include your name.

If you have signed it over to the agents then this should be clear in your agreement with them and it shoul also contain what is required to end the agreement. Even in the unlikely event that you have no right to seek possession from the actual tenants you should be able to make a money claim for the contract with the agent.

The two months part is misleading as although the section 21 is two months, the time to actually remove them is more than this (likely to take around 4 months).

If I were you I would demand to speak to the manager of the agents and take further action depending on that conversation,.

Good luck

stoppingat3 · 13/04/2012 13:01

Just seen your post - a rent guarantee scheme does not usually involve the agent becoming the landlord.

Are they members of ARLA? Seek help there if so.

LIZS · 13/04/2012 13:13

HMO is a house of multiple occupancy, where it is rented out to individuals rather than a family, company or group of sharers. Different regulations can apply.

Original poster
xmyboys · 13/04/2012 13:18

Can't locate them on arla
Our agreement is with them the agents. They rent to their clients.
I can try and contact the occupants and find out what they have in writing.
It's all a horrible mess and nightmare.

OP posts:
Original poster
xmyboys · 13/04/2012 13:21

If it's HMO without our knowledge what can we do?
I just need them out!

OP posts:
LIZS · 13/04/2012 14:36

Do you need the property back then , or just the agent out of the equation. What membership does the agent quote on its paperwork if any ? Regardless hte deposist should be held securely and the tenants should have been told where . Have you tried CAB or a Landlord forum for advice

pootlebug · 13/04/2012 16:50

From personal (bitter) experience I would go and kick off in their offices. e.g. refusing to leave until you are paid what you are owed and making a scene about how unacceptable it is loudly whenever another customer comes in.

This happened to me when I rented my flat out when I lived abroad. Agent finally went bankrupt still owing me in excess of £1,000. They set up again under a new company name weeks later but as the original business was bankrupt there was stuff all I could do about it, especially when i was halfway around the world at the time.

Original poster
xmyboys · 13/04/2012 19:06

No local office anymore.

OP posts:
LIZS · 14/04/2012 10:03

Are they actually registered as a company ? Maybe Trading Standards could advise what your next approach should be (they may even have had other complaints).

Original poster
xmyboys · 14/04/2012 12:08

Yes company is registered.
Have spoken to occupants.
They know he has been given notice by us to return the property.
He has not been in contact with them to give them notice.
We are meeting to discuss options.
Wonder if
A) they give one months notice to him and hopefully he returns their bond.
B) they don't pay next months rent and keep as bond ? Stay until end of next month

C)???

OP posts:
Original poster
xmyboys · 14/04/2012 12:14

Plus found out each 'room' has a assured shorthold tenancy'.
RE name is listed.
So is that illegal?
Can the property only have one tenancy agreement otherwise becomes multiple occupancy.

OP posts:
LIZS · 14/04/2012 13:49

Sorry don't know the legalities. Effectively it soudns as though the agent has let the premises on a HMO basis but presumably your agreement with them may allow this. As they are named ll they may be subletting rather than acting as your agent but that sounds complicated. Not sure if http://www.direct.gov.uk/en/HomeAndCommunity/Privaterenting/Repairsandstandards/DG_189200 this or this may help clarify it or at elast give you some other ideas as to where to go for advice , maybe the local council. I'm not sure the tenants could forfeit their deposits in lieu of rent though, assuming it has been placed in a protection scheme.

LINDAHOAD · 02/03/2024 16:30

yes it is a guaranteed rent scheme owner lets to managing agents who rent in my case to the council. guaranteed rent - however when it comes to the expiry of the lease and you want the property back the council have to find the tenants somewhere to live which in my case took 2 years - no rent increases to their advantage. happens all the time - will never do it again - took all my properties away from the agent and rent them myself now.

VeniVidiWeeWee · 02/03/2024 20:11

@LINDAHOAD

My word, the greatest resurrection since Lazarus.

12 years old.

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