Managing Agent Fees (administration charges)
The fees that managing agents can charge during the conveyancing process fall outside of the lease and are another form of administration charge. These charges act under a separate contract and are usually negotiated by the managing agent and the agent of the seller. They are chargeable to the purchaser, and cover the following areas:
- Answering pre‐contract enquiries;
- Approval and supply of Letter Licence for Alterations;
- Certified copy of a Share Certificate/Membership Certificate;
- Consent to sublet;
- Deeds of covenant upon sale;
- Ensuring consent is required/granted before sale;
- Mortgage registration after a sale;
- Registration of the assignment‐the change of lessee after a sale;
- Remortgage Notice of Charge (including service charge & insurance information);
- Remortgage Notice of Charge (receipting only);
- Supply and/or administration of Deed of Covenant;
- Supplying information packs (to answer leasehold enquiries)but with no statutory guidelines on what can be charged;
- Transfer following sale (including issue of Share/Membership Certificate).
The agent is free to charge what they wish as there are no statutory guidelines but they should be reasonable.