The Advertising Standards Authority has upheld complaints against a brace of property management services, in both cases for advertising guaranteed rental income.
In the first case, the website for Victoria Knight boasted that a fixed monthly rental income was assured, which was challenged as being misleading because it “suggested rent would be guaranteed in all circumstances”, and that the advertisement did not make clear each “significant limitation” that applied to said guaranteed rent.
The authority decided that people viewing the advertisement would not understand that rent was only guaranteed if based on an agreement in which Victoria Knight became the tenant and then sub-let the property, and because a copy of the full terms was not made available to view on the company’s website, the advertising code had been breached.
Victoria Knight has amended the claims on its website.
The second ruling concerns Reliance Property Management Specialists, an advert for which claimed that rental income was guaranteed ‘365 days a year.’
Two challenges were made, both exactly the same as the Victoria Knight case detailed above: that the advertisement suggested rent guaranteed in all circumstances, and that it did not make significant limitations clear.
In this case too, rent is only guaranteed when Reliance becomes the tenant and sub-lets the property to other tenants, and material information concerning this had been omitted from the advertisement.
Reliance Property Management Specialists has also amended the claims on its website.