This is the case experienced by one of our landlords highlighting some of the problems of employing a letting agent and assuming that they always have your best interests at heart.
Post a comment if you have a view or any advice for our unfortunate landlord.
"I'm a fan - have been using Property Hawk for some time as a very small landlord - just 2 properties!
I wondered if you'd be interested in discussing my story - or publishing a warning - or helping me (quite desperate now!)
I have been using an agency for 2 properties. My query is linked to both of them, but predominantly property A.
The tenants at Property A had arrears of c£1000, so after (bad) advice from my agency I gave them 2 months notice (good advice would have been to go down the fast track route, but my agency advised it would be easy to get my arrears back if I took the longer route). This left me with £2,000 of arrears - and £5,000 of repairs to the property (for which I'm trying to pursue the tenants via the small claims court as a matter of principle!)
The deposit on Property A was £625. The tenants pushed a note through the agency doors, with the keys, advising that the deposit should go towards the arrears.
I've been pursuing the agent for the last 2 months to try and get the deposit returned to me. £625 is a lot of money, especially with the total loss of £7k on the property - plus I am not a large landlord - the property is the first house I bought on my own and so the emotional burden has also been huge. It is a typical case of keeping in in case of separation from my husband when we moved in together!
The second property, Property B, was an investment - not a wise one! - and one that doesn't make money. This was again let through the agent, however, after a catalogue of problems with the management of the property (including not renewing gas safety or sorting out fixing a faulty gas cooker!) I decided to work directly with the tenant and manage the property myself. They are happy with this as they have also been frustrated with the agent.
I therefore gave notice to the agent that I would start managing this property directly, via email, on 11 September. After no reply I emailed again on 19 September (as I was on holiday). I then spoke with the DPS to find out how to proceed and they advised the agent could directly transfer responsibility to me via their website. I advised the agent of this on 29 Sept and asked them to do this for both properties.
Today (7 Oct) I spoke with the agent again, having been fobbed off on many occasions. At last they've told me that they have transferred Property B, but can't transfer Property A as it is in a single claim.
Re Property B - I advised the tenants of this, in order to confirm that everything was above board. The tenants then told me they received a letter from the DPS confirming a deposit had been lodged - dated 29 September. This raised alarm bells as sounds like they haven't lodged the deposit.
Does this then mean they have done the same with Property A? I rang the DPS to try and find out if the deposit has ever been lodged and the current situation. The DPS refuse to give me any information. They also advise that they do not regulate the scheme, and ultimately are not interested in the fact that an agent is potentially behaving fraudulently.
My question therefore (and sorry for the long message!) - is there anything I can do to get my deposit back from the agency, or at very least to find out from DPS the current situation?
If nothing can be done, I would simply be grateful if you could warn other landlords and get them to ask for proof that a deposit is lodged with the relevant scheme, if relying on an agent to do this. I understand the ultimate liability is with the landlord...."
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