How does the Welsh Government ensure that information is available to landlords and tenants about the previous performance of letting agents?
Rent Smart Wales is currently in the process of auditing all commercial letting agents, with a view to undertaking an audit at least once in every 5-year period of licence. Agents are assessed against their licence conditions, the Code of Practice and other legislative requirements. At the end of an audit, agents are assigned one of four grades, ranging from Urgent Action Needed to Best Practice.
An Urgent Action Needed grade is followed by an interim report and action plan, as well as a proposal to revoke the agent’s licence. This is a legal document. The agent has 21 days to provide any representations, which will be considered when a decision regarding the revocation is made.
Agents are provided with a certificate from Rent Smart Wales which displays their grade, and it is currently a matter for the agent as to whether they display or advertise their rating, with many agents choose to do so. Welsh Government will consider the potential for mandating the display of ratings from Rent Smart Wales once all agents have been audited.