What Does a Letting Agent Do? A Landlord's Guide

For many landlords, letting out a property can be rewarding, but it also comes with significant responsibilities. From finding reliable tenants to ensuring legal compliance and dealing with maintenance issues, there is much more involved than simply collecting rent. While the legal responsibility for a rental property always remains with the landlord, a professional letting agent can help manage many aspects of the lettings process and provide valuable expertise.

Understanding Letting Agent Services

Letting agents typically offer a range of services designed to suit different landlords' needs and levels of involvement. Whether you prefer a hands-on approach or want complete peace of mind, there is usually a service package available to match your requirements. Letting agents are also legally required to display their fees both in branch and on their website, allowing landlords to compare costs and services before making a decision. 

Tenant Find Service

A tenant find service is often the most basic level of support. This option is ideal for landlords who are happy to manage the tenancy themselves but need help sourcing suitable tenants.

A letting agent may:

• Arrange professional photography and floorplans
• Advertise the property to attract prospective tenants
• Conduct property viewings
• Carry out tenant referencing and Right to Rent checks
• Prepare tenancy agreements
• Create property inventories

Once a tenant has been secured and moved into the property, the ongoing management is generally handled by the landlord. 

Rent Collection Services

For landlords who would rather avoid chasing late payments, rent collection services can be an attractive option.

As part of this service, a letting agent may:

• Collect monthly rent payments
• Protect the tenant's deposit in accordance with legislation
• Monitor rental payments
• Chase rent arrears
• Serve appropriate notices when necessary
• Provide guidance if rental arrears become more serious

Some agents may also offer rent guarantee insurance to help protect landlords' income. 

Fully Managed Lettings

A fully managed service provides comprehensive support throughout the tenancy and is often favoured by landlords who live far from their property, have multiple investments, or simply want a hands-off experience.

Under a fully managed arrangement, a letting agent can:

• Handle all communication with tenants
• Arrange repairs and maintenance
• Conduct regular property inspections
• Manage check-ins and check-outs
• Deal with deposit disputes
• Oversee tenancy renewals and tenancy issues

This service enables landlords to benefit from professional management while reducing the day-to-day demands of property ownership. 

Ensuring Compliance and Protecting Your Investment

The private rented sector is governed by extensive legislation, and landlords must ensure their properties meet legal requirements. According to Propertymark, there are around 145 pieces of legislation affecting landlords, making compliance a significant responsibility. A knowledgeable letting agent can help landlords understand and meet these obligations while keeping them informed about their property's condition. 

Regular inspections and safety checks can help identify issues early, maintain standards, and protect both landlord and tenant interests. 

Choosing the Right Letting Agent

Not all letting agents are the same, so it's important to ask the right questions before appointing one. Consider asking:

• What type of tenants do you typically place?
• How do you reference prospective tenants?
• How long does it usually take to find a tenant?
• What documentation do you provide at the start of a tenancy?
• How do you handle rent arrears?
• What safety checks and inspections do you carry out?
• Are you a member of a Government-approved redress scheme and Client Money Protection scheme?

Propertymark advises that letting agents should belong to a Government-approved redress scheme and have Client Money Protection (CMP) in place, offering landlords additional reassurance and protection. 

Final Thoughts

A good letting agent does far more than advertise a property. They can help find suitable tenants, manage rent collection, oversee maintenance, ensure compliance with regulations, and provide expert guidance throughout the tenancy.

Whether you choose a simple tenant find service or a fully managed package, working with an experienced letting agent can save time, reduce stress, and help protect your investment. The key is finding an agent who understands your needs, communicates effectively, and provides a professional service you can trust.