PROPERTY
PERPETUITY
Log inSign up

Landlords · Originally published · Updated · 3 min read

Leaving a letting agent: settle the fees and plan the handover

Ending management involves more than sending notice. Check the agency terms, request a closing statement and agree how the tenant’s records and funds will transfer.

Property Perpetuity editorial illustration for “Leaving a letting agent: settle the fees and plan the handover” — propertyperpetuity.com
Illustrative artwork · Property Perpetuity

Sign in to save this for later →

Facebook ↗LinkedIn ↗

Changing a letting agent can involve two separate tasks: ending the agency instruction and keeping the property’s management running smoothly. A notice to the agent should start a clear handover process, particularly where the tenant will remain in the home.

This guide replaces an archived 2025 legal question. It offers a practical way to organise the change in England without assuming that a disputed fee is automatically payable or automatically invalid.

Start with the agency agreement

The Property Ombudsman’s Code of Practice for Residential Letting Agents says terms of business should clearly explain when either party can end the arrangement and flag any resulting fees or charges. The code applies to agents who are required or have agreed to comply with it; it is not a substitute for the wording and legal assessment of an individual contract.

Ask the agent to identify the clause supporting any continuing charge and provide a calculation. Keep the signed terms, any later agreed changes, your notice and the agent’s response together. This makes it easier to distinguish a disagreement over the contract from a simple accounting error.

Get the ending date and balance in writing

The code calls for written confirmation of the termination date, liabilities for fees or charges, money owed to the client and arrangements for returning keys and documents. Use that as the basis for a closing checklist.

For example, list each item to be transferred, who is responsible and the expected handover date. Reconcile the rent statement against payments received rather than relying on a single closing balance without explanation.

Keep the tenant informed

Where a managed property remains occupied, the code says tenants should be told in writing about the changed arrangements, including proposed deposit handling. Deposit transfers require particular care, including the relevant authority and notification to the scheme where applicable.

Agree who will tell the tenant about rent-payment instructions, repairs contacts and outstanding jobs. Check those details before the new arrangement begins so that a management change does not leave an urgent repair without a clear owner.

If a fee remains disputed

Explain the disputed amount and your reasons in writing, and use the agent’s complaints procedure where appropriate. Obtain advice on the actual agreement if the issue remains unresolved. A general article cannot determine whether a particular continuing commission or exit charge is enforceable.

Source checked 8 November 2026: The Property Ombudsman, Residential Letting Agents Code, section 5. https://www.tpos.co.uk/wp-content/uploads/2026/03/TPOE22-8_A5-Code-of-Practice-for-Residential-Letting-Agents-England-March-2026.pdf

Reference source ↗