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Property management fees and charges

Commission

Your agent can charge you commission on the rent you receive. This can be from residential tenants or holiday stays. Normally, your agent will withhold their commission from the tenant’s rent payments and forward you the balance.

You should compare agents based on the services they offer, as well as their pricing structure. If you aren’t happy with the commission that your agent charges, you can shop around for another agent as soon as their appointment period has ended.

Letting commission

A letting commission (sometimes called a letting fee) is a one-off payment that you make to your agent at the start of a new tenancy agreement. This will usually come out of the tenant’s first rent payment.

It covers the agent’s costs for advertising your property and setting up the tenancy agreement with your new tenant.

Commission on rent

An agent can charge commission on the regular rent payments from your tenant. This is in payment for handling the property and rent on your behalf. Many agents charge this as a percentage of the rent payment from the tenant.

Holiday accommodation

You may choose to let out a property to be used as holiday accommodation. The agent (who might be the on-site property manager) can charge commission on holiday rent.

Other charges

Your agent may charge further payments if you want them to supervise any repairs or replacements at your property. You must agree in writing in advance before they do this.

Last updated
17 January 2018
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