Guides · Updated 21 October 2026 · By Alex Withington, founder

What London letting agents really charge landlords living abroad

The headline percentage is only part of it. Here's what full management typically costs once VAT and the extras are added, and how to check your own statements.

The headline rate

For full management in London (finding the tenant, collecting rent, handling repairs and compliance), agents typically quote somewhere between 10% and 15% of the rent before VAT. With VAT at 20% added, that becomes roughly 12% to 18% of the rent. Agents in prime central postcodes often charge more, and some publish all-in terms above 20% including VAT.

Two things make the real number higher than the one you remember agreeing to:

• VAT is often quoted separately. "12% + VAT" is 14.4%.
• The percentage applies to the whole rent, every month, whether or not anything needed doing that month.

A worked example

The extras to look for on your statements

Many agreements add one-off or annual charges on top of the monthly percentage. When you read a year of statements, look for:

• Tenant-find or set-up fees each time a new tenant moves in, often several weeks' rent.
• Renewal or extension fees. Under the Renters' Rights Act, new tenancies in England are periodic, so check whether you're still being charged for "renewals".
• Inventory, check-in and check-out fees.
• Arranging fees or commission on repairs, sometimes a percentage of the contractor's invoice.
• Compliance admin: gas safety, electrical (EICR) and EPC certificates at more than the contractor's price.
• Inspection fees beyond the number included in the plan.
• Non-Resident Landlord Scheme admin. If you live abroad, your agent may charge to run the tax deductions (see the NRL guide).

How to work out your own all-in cost

1. Download 12 months of statements from your agent.
2. Add up every line that isn't rent received, a contractor's invoice or tax withheld.
3. Divide by the rent received for the year. That's your real management rate.
4. Check your agreement for the notice period and any exit or "introduction" fee, which some agents charge if you keep the tenant after leaving.

Why owners abroad pay more than they need to

When you live in Dubai, Singapore, Hong Kong or New York, the agent's convenience is the point, so the fee goes unchallenged. Problems reach you late, often in the middle of your night, and the statement is the only view you have of what happened. That's the gap Flatward is being built for: one planned flat fee, rent guarantee cover planned to be included, and every decision approved from your phone in your own time zone.

Sources: published London fee ranges from August and Landlord Vision, accessed October 2026. Ranges vary by agent and postcode; always ask for the VAT-inclusive figure in writing.