Understanding ‘Let Agreed’ When Renting a Property
The process of renting a property can be complex and fast-paced. The term ‘Let Agreed‘ can cause confusion. What does it mean for landlords and tenants, and those still searching for a rental property? Let’s unpack the facts.
Defining ‘Let Agreed’
‘Let Agreed’ indicates that a landlord has accepted an offer from a prospective tenant, and the process of finalising the tenancy agreement has begun.
This stage usually follows after you’ve viewed a property, submitted an application, and negotiated the rental terms. However, it’s important to note that ‘Let Agreed’ does not mean that the rental process is complete or legally binding. Rather, it signals the beginning of the final stages of the rental agreement.
Implications of the Let Agreed stage for Landlords and tenants
For landlords and tenants, the ‘Let Agreed’ stage has several implications:
Holding deposit
As a prospective tenant, you may be asked to pay a holding deposit, to secure the property while the landlord or letting agent conducts reference checks and other due diligence.
This deposit is typically refundable, subject to the outcome of reference checks and the tenant’s decision to proceed.
Reference checks
Landlords or letting agents will usually conduct reference checks to verify the tenant’s identity, employment status, income, and rental history.
This process helps ensure that the tenant is reliable and able to meet their rental obligations.
Tenancy agreement
Once reference checks are complete and satisfactory, the landlord (or letting agent) and tenant will negotiate and sign a tenancy agreement outlining the rental terms, including the duration of the tenancy, rent, and responsibilities of both parties.
Security deposit and rent
Before the tenancy begins, the tenant will need to pay a security deposit, typically equivalent to five weeks’ rent, and the first month’s rent in advance.
The security deposit must be held in a government-approved deposit protection scheme and returned to the tenant at the end of the tenancy, subject to any deposit deductions for damages or unpaid rent. Make sure to be fully read upon rental scams and how to spot them.
Inventory and check-in
An inventory detailing the property’s condition and any existing contents or furnishings will be conducted, and the tenant will be given the keys to the property.
What ‘Let Agreed’ means if you’re looking for a rental home
For those still searching for a rental property, a ‘Let Agreed’ notice on a property listing indicates that the landlord has accepted an offer and is unlikely to consider additional applicants.
However, the ‘Let Agreed’ status is not a guarantee that the rental agreement will be finalised.
If the reference checks are unsatisfactory, or the prospective tenant decides not to proceed, the property may become available again.
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Last Updated: September 22nd, 2024
