What to ask your managing agent before you sign

Published May 2026 · 5 minute read

Appointing a managing agent is one of the most important decisions an RTM company or RMC board will make. The right agent protects your development, supports your directors and keeps residents confident. The wrong one creates exactly the problems you were trying to solve. The questions below are the ones that separate professional agents from volume operators.

1. Who will actually manage our development day to day?

This is the most important question. Many managing agents present a senior director at the pitch — and then hand the account to a junior property manager after contracts are signed. Ask specifically: who will be our named contact? How long have they been with the company? What is their caseload? If the answer is vague, that tells you something important.

2. How do you manage compliance obligations?

Fire risk assessments, asbestos, Legionella, lift inspections, EICR — a professional managing agent should be able to describe a clear, systematic process for managing each of these. Ask to see an example compliance tracker. Ask who carries out the assessments, how often they are reviewed, and how renewal dates are monitored. If the agent cannot describe this clearly, your development's compliance is likely not being properly managed.

3. Do you have any financial arrangements with contractors?

This is a question many agents find uncomfortable — which is precisely why you should ask it. Some managing agents receive referral fees, commissions or other benefits from the contractors they instruct. This creates a conflict of interest between the agent's financial incentive and the development's interest in getting the best value. A professional agent will be able to answer clearly and unambiguously: no.

4. How do you handle Section 20 consultation?

Major works costing more than £250 per leaseholder require formal Section 20 consultation under the Landlord and Tenant Act 1985. The process must be followed correctly — failure to do so can mean the agent cannot recover costs above the statutory limit from leaseholders. Ask for a description of the agent's Section 20 process and whether they have experience managing it on developments of a similar size to yours.

5. What reporting will we receive and how often?

Directors need regular, clear information to fulfil their responsibilities. Ask what management reports the agent provides, how frequently, and what they cover. A professional agent should provide at minimum: financial position, maintenance activity log, compliance status and a summary of resident matters. If reporting is limited to year-end accounts and reactive updates, that is not sufficient.

6. Are you a member of a redress scheme?

Managing agents in England and Wales are required by law to belong to a government-approved redress scheme — either the Property Ombudsman or the Property Redress Scheme. Membership provides residents and directors with an independent route to resolve complaints. If a managing agent is not a member of an approved scheme, they are operating illegally.

7. What is in your management agreement and what are the notice provisions?

Before signing anything, read the management agreement carefully. Pay particular attention to: the notice period required to terminate the agreement, any automatic renewal provisions, what happens to funds and documentation if the agreement ends, and any clauses that limit the agent's liability. A professional agent will provide a clear, fair agreement and be willing to discuss its terms.