Buy to let advertising has been under a lot of scrutiny in recent months
following numerous complaints from consumer watchdogs that many tenants were
being ripped off by unfair upfront fees.
Ruling by ASA
Six months ago, the Advertising Standards Commission (ASA) decided that many of
the advertisements being placed for buy to let properties were not transparent
in quoting various fees. As a result, tenants were being hit by ‘hidden’ fees
for all kinds of things, often cloaked under the ambiguous umbrella of ‘admin
charges’. Obviously it is not unreasonable for letting agents and landlords to
charge extra for the cost of producing itineraries and conducting credit
checks, but unless the upfront fees are clear, many tenants are unable to
budget for their move and end up suffering financial difficulties when faced
with an unexpected bill.
Transparent Fees
The ASA has now ruled that all advertisements for buy to let properties must
carry a clear notification of any up front fees being charged. This will help
tenants understand exactly what they are expected to pay before they move into
a property.
A ‘Move In’ Price
In an attempt to make the costs of moving into a rental property completely
transparent, the ASA says landlords and letting agents must give tenants a
‘move in’ price, or in other words state clearly what any extra fees will be
on top of the monthly rent.
Online Advertising
Since it is a lot more difficult to include details in an online
advertisement, landlords can offer fee information via an extra link to an
external page or state it clearly on their website.
