For the first time, anyone who feels cheated by extortionate costs can complain to an independent property regulator with powers to force agents to hand back unfair fees.
The clampdown on unscrupulous middlemen, announced yesterday by the Government, comes as the numbers renting soars.
There are 3.84million households renting in England, up from 1.9million in 2001.
Landlords typically pay a letting agent to act as a go-between with tenants. But some greedy middlemen charge as much as £500 in non-refundable fees for basic administration tasks, such as a credit and reference check.
Other tricks include forcing the tenant to pay for an inventory check when they move in and then again when they leave the property.
Reputable agents split this half and half with the landlord.
In October, Money Mail warned how tenants are being forced to stump up £2,200 in fees and deposits before they can move in.
Then, when they move out, agents are increasingly trying to hold on to the deposit unfairly. The problem has intensified with hundreds of small-scale unregulated agencies springing up in cities such as London and Birmingham.
Four in ten letting agents operate outside of a protection scheme, so either the tenant pays up or has to take the company to court.
The new rules will force every agent to sign up to a government-approved ombudsman-style service. Agents that refuse will face fines and a ban from trading.
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