Managing Agent (the Estate Agent). dissolved leaving me with no Rent

[iahmad]

(Hopefully this is the right place for this)

 

I am a landlord. I had a managing agent (the Estate Agent).

 

I am on a Guaranteed Rent scheme if you will but that't not the matter in hand.

 

I usually get paid on the 5th of every month but I didn't this year and I thought like even they'll be a day late so I left it at that.

 

After realising on weekend I haven't received anything, I called and called but nothing. I went to the estate agent yesterday and found out that they were closed. Automatically i knew they had not done a runner if you will but just packed up and left. I rang my tenant who are pretty good with me and they said they received a letter today saying the company is dissolved and that someone else was looking after the paperwork.

 

I rang and went to the person who was looking after the paperwork. It was the old estate agents friend. I'll throw in now that the originally owner of the estate agents passed away like 3 or 4 months a go and his widow was now looking after everything. Basically this guy has his own estate agents but was just holding all the paperwork. i did have a choice to start a new contract with him or just do everything myself which I am still mulling over.

 

Going back to my tenants they had actually paid to the old estate agents account on the 4th and now not sure what to do. I was told from the friend that the old estate agents account was in negative as well. I have told my tenant to ring up their bank and tell them of situation about the estate agents being dissolved and trying to get their money back so I can basically get paid as I have not been paid out of this whole situation.

 

My query as you can sort of guess is their any way of me getting my money or is their anything else I can do to get my money? Insurance? Will the bank actually return my tenants money? Has anyone had this happened before?

 

 

Hopefully I've not left anything out and am not sure where to turn for this one. I google looking answers and also came across this group. Can anyone give me any help or insight?

 

Thanks

[AndyOrch]

Hi iahmad and Welcome to CAG

 

I have amended your thread title to make it clear this is your Managing Agent...not Landlord.

 

Did you get a copy of this letter informing the tenant that the company was dissolved and that someone else was looking after the paperwork. ?

 

Strange that you didn't get one direct being their client.

 

Regards

 

Andy

[sgtbush]

I think your first step is to get your tenants to pay you directly next month. Protect your income as much as you can

[iahmad]

Hi iahmad and Welcome to CAG

 

I have amended your thread title to make it clear this is your Managing Agent...not Landlord.

 

Did you get a copy of this letter informing the tenant that the company was dissolved and that someone else was looking after the paperwork. ?

 

Strange that you didn't get one direct being their client.

 

Regards

 

Andy

 

Hi,

 

Thanks for the edit on title.

 

I asked about this to the guy that handling all the paperwork and he said basically and it seems off ad maybe hes right I don't know but the tenants of mine are friends with someone who worked there. Now the person who worked their had another colleague. That other colleague was having an affair with the brother in law, etc. I'm guessing they didn't want to send me a letter as I'd probably tell the now owner the widow of what was going on. Soap opera; you couldn't make it up.

 

I was still more concerned with why I hadn't received a letter and I Probably won't as company now dissolved and the now widow isn't picking up her phone for the other guy helping out.

 

Thanks

[iahmad]

I think your first step is to get your tenants to pay you directly next month. Protect your income as much as you can

 

Already spoken to them and already done.

[fkofilee]

Was the rent paid by DD to the estate agents etc?

[iahmad]

Was the rent paid by DD to the estate agents etc?

 

As far i know, not direct debit obviously but it came out of the tenants account into the estate agents account but I don't think it was standing order.

[sgtbush]

Standing orders and direct debits are two different things. Find out for sure

[iahmad]

Standing orders and direct debits are two different things. Find out for sure

 

With all due respect i know the difference between both. The tenants paid it out of their own account to the estate agents.

[fkofilee]

With all due respect i know the difference between both. The tenants paid it out of their own account to the estate agents.

 

Thing is that both situations are being paid put of the account whether its SO or DD

Go find out if its DD - If so it offers an option

[king12345]

Check your contract with the managing agent.

If it doesn't say LTD or LIMITED after the company name, you can sue the person (or their next of kin).

So if the widow has any asset and your contract wasn't with a limited company you could get your money back.

[stu007]

Name the Managing Agents?

[iahmad]

Thing is that both situations are being paid put of the account whether its SO or DD

Go find out if its DD - If so it offers an option

 

It wasn't a DD nor a SO. My tenant just paid when they needed to every month.

[iahmad]

Check your contract with the managing agent.

If it doesn't say LTD or LIMITED after the company name, you can sue the person (or their next of kin).

So if the widow has any asset and your contract wasn't with a limited company you could get your money back.

 

It is a LTD company, so can't go through this route although I will try and visit the now widow and hopefully I can get some answers but I doubt I'll get any money.

[iahmad]

Name the Managing Agents?

 

RM4u in Leytonstone, London

Not sure if I should go private or not now either?

[stu007]

Is that the ones on High Road?

[king12345]

RM4u in Leytonstone, London

 

Not sure if I should go private or not now either?

 

Just manage the property yourself.

Why are you paying someone for something you can do yourself?

If you keep on top of things you won't have to spend much time.

[stu007]

Also forgot to ask but who informed you this lot were Dissolved, was it in writing?

[iahmad]

Is that the ones on High Road?

 

Yeah that's the one.

[iahmad]

Just manage the property yourself.

Why are you paying someone for something you can do yourself?

If you keep on top of things you won't have to spend much time.

 

It was easier this way. The guy (before he passed away) was friends with my current neighbor who also used his services. That's how I knew of him.

I'm in the process of making a new contract then between myself and the tenants. Is it an easy process? Does anyone know where I should start? there's so much information.

[iahmad]

Also forgot to ask but who informed you this lot were Dissolved, was it in writing?

 

The tenant texted me a picture of the letter they were sent. It said dissolved on there.

i also visited the property on Monday and PC's and other stuff were missing and all the paperwork was in the guy that's now helping sorting out the mess of what has been left over.

[king12345]

Write a letter to the "new" estate agent telling him you don't need his services.

Don't be fooled into thinking you owe him anything as you have no contract with him.

Visit the tenants, tell them you now manage the property yourself and let them sign a letter to this effect highlighting that the terms and conditions of the tenancy remain unchanged.

First thing you need to contact the deposit protection scheme to let them know you are directly dealing with the tenancy, most likely they would need the tenants to agree to this.

Providing the deceased agent protected the deposit, otherwise you'll be in for further losses.

Then arrange a detailed inventory of the property and take plenty of pictures, plenty of templates online that you can adjust to suit your property.

Stress out with the tenants that they must inform you of any problem immediately and then act as a good landlord.

Arrange repairs as soon as you're notified, boiler service every year, electric inspection every 5 years.

That's all you need to do.

[iahmad]

Write a letter to the "new" estate agent telling him you don't need his services.

Don't be fooled into thinking you owe him anything as you have no contract with him.

Visit the tenants, tell them you now manage the property yourself and let them sign a letter to this effect highlighting that the terms and conditions of the tenancy remain unchanged.

First thing you need to contact the deposit protection scheme to let them know you are directly dealing with the tenancy, most likely they would need the tenants to agree to this.

Providing the deceased agent protected the deposit, otherwise you'll be in for further losses.

Then arrange a detailed inventory of the property and take plenty of pictures, plenty of templates online that you can adjust to suit your property.

Stress out with the tenants that they must inform you of any problem immediately and then act as a good landlord.

Arrange repairs as soon as you're notified, boiler service every year, electric inspection every 5 years.

That's all you need to do.

 

Excellent Thanks for the info.

The new estate Agent funnily enough doesn't want anything to do with this; He actually proffered it of I managed it yourself.

So I don't need a new tenancy agreement; just a letter stating the old terms and conditions of the tenancy stay the same its just me managing it now?

The person helping out at the money has told me to sign up to the DPS and once done to tell him so he can transfer over the deposit. Is it just that simple?

Do I have to do a new inventory?

 

Thanks again for your help.

[king12345]

If there's an inventory already, i would go through it with the tenants, just to make sure it's accurate.

You register to the dps, but i don't know if money can be transferred or it needs to come out and then protected again.

The dps helpline will be able to help you with that.

When the tenancy agreement is up and reverts to a rolling agreement, sweeten up the tenants (if they're good tenants) and let them sign up for another period (6months, a year or even longer).

That will be the opportunity to start a new, detailed and tailored agreement in which you can highlight rules specific to your property, for example non smoking indoors.

The estate agents agreements are all standards and most of the stuff in them are not relevant to the property.

Again, there are plenty of sample tenancy agreements online which you can adapt

[stu007]

Ok so the Tenant got a letter that said they were dissolved mmmm

 

Well according to the below this Company is still Active

 

Rm4u London Ltd

281 A

High Road

Leytonstone

London

E11 4HH

 

Company Number: 06799232

 

Director: Mrs Neelam Mubashar

 

Companies House: https://beta.companieshouse.gov.uk/company/06799232

 

Endole: https://suite.endole.co.uk/insight/company/06799232-rm4u-london-ltd

 

BizDb: http://www.bizdb.co.uk/company/rm4u-london-ltd-06799232/

 

 

Also have a wee look at this CAG Link: https://www.consumeractiongroup.co.uk/forum/showthread.php?455224-Private-Renting-Home-Owner-Shared-Owner-Leasehold-etc-Information

Edited April 11, 2018 by stu007