The Best Time to Switch
The ideal time to transfer management of a rental property is while a tenant is still in place. Waiting until the end of a tenancy means that instead of focusing on finding a new tenant, the landlord must first deal with changing agents - potentially creating a longer void period. By changing agent mid-tenancy, landlords can avoid delays and ensure continuous rental income.
Most letting agents include restrictive terms in their agreements, typically requiring landlords to stay with them for a minimum period after securing a new tenant. This is often six months, but after that, landlords are free to give the required notice and move their property to a new agent. One old myth which is a common misconception is that the tenant in a property is exclusively connected to the agent who secured the tenancy. This is not the case, and all landlords are free to change management arrangements without the tenant having to move out.
What the New Agent Needs
Once a landlord has decided to make the change, the new letting agent will take the lead in gathering all necessary documents and information. These include:
• Safety Certificates – Gas Safety Certificate, Electrical Installation Condition Report (EICR), Portable Appliance Testing (PAT), and a Legionella Risk Assessment. These certificates belong to the landlord, so the current agent must provide them upon request.
• Tenancy Agreement – A copy of the existing lease between the landlord and the tenant. The important thing to note is that this agreement remains valid even when a new agent takes over. Since the contract is between the landlord and tenant, there is no need for a new lease to be issued. The new agent will simply step in to manage the tenancy on behalf of the landlord.
• Inventory/Condition Report – The report detailing the property’s condition at the start of the tenancy.
• Landlord Details – Contact information and bank details for rental payments.
• Deposit Information – Details of the tenancy deposit protection scheme holding the tenant’s deposit. The new agent will notify the scheme of the management change or transfer the funds to their chosen scheme provider.
Coordinating the Transition
A well-organised transfer ensures a seamless experience for both landlord and tenant. To simplify the transition:
• Align the transfer with the tenant’s rent payment date – This avoids the need to split a management fee between two agents, creating a clear financial handover.
• Give at least two months’ notice – This allows time for paperwork collection, regulatory updates, and clear communication with the tenant. It’s also only fair the existing agent is given the courtesy of due notice.
• Update the landlord registration – Scottish landlords must update their registration with the local council to reflect the new managing agent.
Informing the Tenant
The new letting agent will ensure tenants are well informed about the change. They should introduce themselves, confirm the date from which they will take over management, and provide updated contact details for any future queries. In Rettie’s case, tenants are assigned a dedicated Property Manager, ensuring they always have a named point of contact.
From the tenant’s perspective, very little changes - other than updating their standing order to pay rent to the new agent, and then to enjoy a better service experience from the newly appointed agent. With clear communication, the transition should be hassle-free.
A Smooth and Simple Process
Changing letting agents doesn’t have to be complex or time-consuming. With the right preparation and an experienced agent handling the process, landlords can transfer their property with minimal effort.
Beyond providing some basic details and serving notice to the current agent, landlords can largely sit back while the new agent does the work. By choosing an agent who prioritises communication and efficiency, landlords can ensure a smooth transition - improving theirs and their tenants experience through a stress-free process.