Property Management Fees, Explained
Most landlords do not overpay on the headline rate — they overpay on the add-ons underneath it. This page sets out how UK management fees are actually structured, what should be included, and the questions to ask before you sign anything.
We quote a fixed written fee per instruction, with contractor invoices passed through at cost.
Get your fee in writing
Send us the property or block details and we'll return a written fee within one working day.
The two pricing models
| Model | Used for | How it is charged |
|---|---|---|
| Percentage of rent | Single lets, HMOs, small portfolios | A percentage of rent collected each month, plus VAT |
| Per unit per year | Blocks of flats, RMC and RTM companies, estates | An annual fee per unit, recovered through the service charge |
What should be included
- Rent collection, arrears chasing and monthly statements
- Routine inspections and a written condition report
- Repairs coordination and out-of-hours emergency handling
- Compliance diary: gas safety, EICR, EPC, smoke and CO alarms, licensing
- Deposit protection and end-of-tenancy handling
- For blocks: budgeting, demands, client accounting and section 20 consultation
The add-ons to ask about
A low headline percentage often hides these. Ask any agent to confirm each one in writing before you compare quotes:
- Tenancy set-up, referencing and renewal fees
- Commission or mark-up on contractor and maintenance invoices
- Insurance commission on the buildings policy
- Inventory, check-in and check-out charges
- Section 21 or possession notice preparation and court attendance
- Charges for producing year-end statements or accountant packs
- Exit and handover fees when you leave
How to compare two quotes fairly
Take the annual rent, apply the percentage, then add every fixed add-on the agent has disclosed for a normal year — one renewal, one inspection cycle, one gas safety certificate, and an allowance for repairs mark-up. Compare those totals, not the percentages. On a typical single let the ranking often flips once the add-ons are included.
Fee FAQs
How much do property management companies charge in the UK?
For single residential lettings, full management is typically quoted as a percentage of rent collected plus VAT, with tenant-find charged separately. For blocks, fees are usually quoted per unit per year. Rates vary by location, unit count and the condition of the property, which is why we quote each instruction in writing rather than publishing a single rate.
Are management fees charged on rent collected or rent due?
Ours are charged on rent actually collected. If the rent does not arrive, we do not take a fee on it.
Do you mark up contractor invoices?
No. Contractor invoices are passed through at cost. Our income is the management fee, so we have no incentive to inflate works.
Are property management fees tax deductible?
For most UK landlords, management fees are an allowable expense against rental income. Confirm your own position with your accountant.
Is there a minimum contract term?
We work on clear notice periods rather than long lock-ins. The exact term is set out in the management agreement before you sign.