Common use of RESERVATION FEES Clause in Contracts

RESERVATION FEES. A reservation fee is generally taken from a tenant applying to rent a property. The purpose of this fee is to verify the tenant's serious intent to proceed, and to protect the Agent against any administrative expenses (Credit checks, references, conducting viewings, re-advertising) that may be incurred should the tenant decide to withdraw the application. The reservation fee does not protect the Landlord against loss of rent due to the tenant deciding to withdraw, or references proving unsuitable although early acceptance of rent from the applicant would not be advisable until satisfactory references have been received.

RESERVATION FEES. A reservation reservation/reference fee is generally taken from a tenant applying to rent a property. The purpose of this fee is to verify the tenantTenant's serious intent to proceed, and to protect the Agent against any administrative expenses (Credit checks, taking out bank references, conducting viewings, re-advertising) that may be incurred should the tenant Tenant decide to withdraw the application. The reservation fee does not protect the Landlord against loss of rent due to the tenant Tenant deciding to withdraw, or references proving unsuitable although early acceptance of rent from the applicant would not be advisable until satisfactory references have been received.