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Home Property

Let Agreed Meaning For Newbie Landlords

David Prior by David Prior
March 7, 2022
Reading Time: 4 mins read
Let Agreed Meaning For Newbie Landlords
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If you are new to the real estate industry, you’re definitely in for a ride as it can be a thrilling experience. 

After months or even years of planning and everything that was put into honing your property investment, you can now finally look forward to getting a return on your investment in a slow but steady manner. 

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However, renting as it is can be pretty overwhelming on its own as there are a lot of processes and technical terms involved. 

Terms can either be straightforward or confusing and amongst the tags, you may see one particular label that you may not be familiar with: let agreed. 

It is natural to want answers and to know what the let agreed meaning is especially since it is a common stage in the renting process. 

It is also highly recommended that you consult with an expert property letting company like Oasis Living to get your property renting journey started. 

Defining Let Agreed

Let agreed, by definition, is the verbal agreement of two consenting parties (the landlord and the possible tenant) who are in active discussions about renting the former’s property. 

Process of let agreed:

  • A prospective tenant inquires and serves an offer to the landlord. 
  • The landlord either agrees or disagrees with the offer. 
  • If the landlord agrees, then rent discussions will take place. 
  • During this time, the landlord or property manager can assert for tenancy check wherein the tenant will be assessed in terms of capability to rent and other renting concerns. 
  • Once the two parties have come up with the final agreement, a contract is made. 
  • Payments are given to the landlord or property manager and the contract is signed. The tenant can move in once all the steps are accomplished. 

Is It Safe To Enter A Let Agreed Transaction? 

Even though a let agreed set up is not binding as it is without any formal contract, it is a safe agreement and one that is highly regarded by both parties. 

As the landlord, you can request for a holding deposit to serve as a guarantee or security while the discussions are ongoing.  

Don’t hesitate as this is a common practice. 

You are required to refund the holding deposit to the inquiring party in case the agreement does not proceed. 

Only the final contract, which is to be signed by both parties, will make the rental agreement final and legally binding. 

Are Let Agreed Properties Considered Sold? 

Technically, a property that is let agreed is still available in the market. 

It is just tagged as such to let other interested individuals know that it may soon be rented out to the person currently inquiring. 

As a landlord, don’t think that this will limit you in terms of entertaining other prospective tenants. 

While it is understandable that you will not be showing the property to other interested parties while the current discussion is still ongoing, you may schedule viewings for other prospective clients for a later date. 

Usually, the date is when you are sure that a final decision will be made and the property is either officially rented or released from the let agreed tag. 

Final Thoughts

Maximize your investment opportunities by understanding all the terminologies and processes involved in renting. Now that we have established what the let agreed meaning is, you have become more knowledgeable about this stage of the renting process. 

A reputable firm like Oasis Living can guide you all throughout the process of letting properties. With expertise like theirs, you will surely transition into becoming an expert yourself. 

David Prior

David Prior is the editor of Today News, responsible for the overall editorial strategy. He is an NCTJ-qualified journalist with over 20 years’ experience, and is also editor of the award-winning hyperlocal news title Altrincham Today. His LinkedIn profile is here.

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