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Rise In Letting Agent Complaints Reported

Wed, 15 Jul 2009
Complaints about letting agents have climbed 30 per cent in the last three months and now outstrip those made against estate agents, according to new figures.

The latest quarterly report from The Property Ombudsman Christopher Hamer shows that complaints against letting agents increased from 90 new cases in the first quarter of 2009 to 117 new cases in the second quarter.

It also reveals the Ombudsman service received calls from 1,446 consumers – equal to 120 inquiries a week - asking for help in disputes with letting agents during the three months to the end of June. The figure represents a 44 per cent increase on the same period in 2008.

The majority of complaints about letting agents from landlords related to agents failing to check references for tenants and not carrying out regular inspection visits on properties, while tenants’ mainly complained about not getting their deposits back.

Meanwhile, complaints related to property sales rose slightly from 102 new cases in Q1 to 104 complaints in Q2, according to the report.

Christopher Hamer said the statistics support the argument that lettings agents should be legally required to sign up to a redress scheme, a requirement that is already in place for estate agents .

He commented: "This trend is precisely what I forecast as the property market switched emphasis from sales to lettings during the current slowdown."

"Enquiries over lettings disputes now far outstrip those for sales and this is one of the principal reasons for asking the Office of Fair Trading to ratify The Property Ombudsman Lettings Code of Practice under its Consumer Codes Approval Scheme."

"We see this as the first step towards the time when all lettings agents must be legally required to sign up for a redress scheme."
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