Fully managed lettings in Guildford generally costs between 10% and 15% plus VAT of the rent collected, with let-only typically charged as a one-off fee equivalent to somewhere between two and four weeks’ rent. That is the headline. The reason landlords end up paying wildly different amounts for nominally the same service is almost never the headline percentage — it is what sits underneath it.
For the avoidance of doubt about where we stand: our fully managed fee is 12% inclusive of VAT (10% + VAT), with a setup fee of £360 inclusive of VAT (£300 + VAT). It is published in full on our website, which is the standard every agent should be held to.
The three service levels
Let only. The agent markets the property, conducts viewings, references applicants and sets up the tenancy. Then they hand you the keys and you run everything after that — rent, repairs, compliance, notices, deposit return. Charged as a one-off.
Rent collection. Let only, plus collecting rent and chasing arrears. You still handle maintenance and compliance. Usually a couple of percentage points below fully managed.
Fully managed. Everything: rent, arrears, contractors, inspections, certificate renewals, notices, deposit disputes, and the compliance obligations that carry civil penalties. This is what most landlords who do not live locally, or who have a day job, actually need.
Where the real cost hides
The percentage is the part agents compete on, so it is the part they discount. The add-ons are where the margin goes back. Ask about every one of these in writing:
Setup or tenancy agreement fee. A one-off at the start. Ours is £360 inclusive of VAT. Some agents charge considerably more and describe it differently.
Renewal fees. Historically charged every time a tenancy was renewed. Worth asking about specifically, because fixed terms no longer exist since 1 May 2026 — tenancies now roll periodically. An agent still charging a renewal fee on a tenancy that does not renew is charging you for nothing.
Inspection fees. Some include two a year; some charge per visit.
Contractor mark-ups. The big one, and the least visible. An agent taking a commission on every repair has an incentive that runs against yours. Ask directly whether they add a percentage to contractor invoices, and ask to see an invoice.
Certificate arrangement fees. A charge for booking your gas safety check, on top of the engineer’s fee.
Deposit and check-out fees. Inventory, check-in, check-out, and handling a deposit dispute.
Notice service and possession admin. Increasingly relevant now that every possession route runs through Section 8 and the paperwork is less forgiving.
Exit fees. What it costs to leave. Read this one before you sign, not when you want out — how to end an agency agreement cleanly.
Working out what you are really paying
Take the annual rent, apply the percentage, then add every fixed charge you would realistically incur in a year. On a Guildford property at the borough average of £1,728 a month, that is £20,736 a year in rent. A 12% inclusive fee is £2,488. Add a setup fee in year one, two inspections, a check-in and check-out, and a certificate arrangement charge or two, and a “10%” agent with an aggressive add-on schedule can land above a 12% agent with none.
Compare total annual cost, not headline percentage. Any agent unwilling to give you that number in writing has told you something useful.
What you should get for a management fee in 2026
The job got harder this year, and the fee should reflect real work rather than rent collection. Since the Renters’ Rights Act took effect, a managing agent should be tracking certificate expiry dates rather than relying on a whiteboard, serving rent increases on the correct prescribed form with two months’ notice once a year, responding to pet requests inside the 28-day window, and holding the written statement of terms for every tenancy.
They should also be ready for the PRS Database when registration opens from late 2026, because your entry will need current compliance documents attached. An agent who cannot produce your EICR within an hour is not managing your compliance risk. Those penalties reach £7,000 for breaches and £40,000 for offences, and they fall on you as the landlord, not on the agent.
Five questions that get straight answers
What is your total annual cost on a property at this rent, including every add-on? One number.
Do you mark up contractor invoices? Yes or no.
What does it cost me to leave, and how much notice do I give?
Who actually manages my property day to day, and what happens when they are on holiday? Worth asking because the honest answer is often revealing.
How do you track certificate expiry? If the answer is a spreadsheet or a wall chart, that is your compliance risk, not theirs.
We have written a longer list — ten questions to ask any agent — and a guide to reading a fee schedule properly. Neither is written to steer you towards us.
Is an agent worth it at all?
For some landlords, no. One property, close by, a stable long-term tenant, and time to deal with a boiler failure on a Friday afternoon — self-managing can make sense, and we have set out honestly when it does.
It stops making sense when you are further away than you can drive at short notice, when you have more than one property, or when the compliance load exceeds what you can reliably track. That last one moved considerably in 2026, and it will move again when the database and the Ombudsman arrive.
If you decide to move agent, do it properly. You can switch and keep your tenant, there’s one question worth asking any new agent, and if you’d rather go it alone, here’s how to take management back in-house.
General information, not legal advice. Property Lounge, Guildford.
Need a second opinion?
We’re Property Lounge, an ARLA Propertymark accredited lettings agency in Guildford. If anything above raised a question about your own property, we’re happy to talk it through — whether or not you’re a client, and whether or not you ever become one. No charge, no obligation, and we won’t chase you afterwards.
You can see how our fully managed lettings service works, what it costs, or book a free rental valuation.
Call 01483 369209 or email lettings@propertylounge.co.uk.
