let rooms in flat?

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    let rooms in flat?

    Hi all,
    I have a two bed flat i have recently furnished.. and would like to rent the rooms out independently.
    Can anyone advise what is the best way of doing this..? ie: how should I vet a prospective tenant? How do I protect my additional assets (furniture) what type of deposit is the norm? how is insurance looked upon?
    I would like to put locks on both bedrooms, however I am unsure of the legalities of this?
    Can anyone advise regarding locks and any other advice regarding this? I have no previous experience with this type of letting..?
    Thanks
    legepe

    #2
    Letting rooms separately could be problematic:
    - How do you show who caused damage in common parts?
    - No tenant in their right mind would go into such an arrangement unless they have an early get-out clause; what if the other person, over whom they have no influence, turns out to be a nightmare?
    - what if one steals from the other? You have put them together, so probably have some responsibility for the situation (unless you get the first person in and then let them help select second person; similarly when one leaves).

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      #3
      Potential to be a HMO - doesnt sound like you are up on what that means. Dont do it.

      Comment


        #4
        Many leases for flats have a clause saying "not to sub-let any part". If yours has such a clause, the freeholder could take enforcement action against you, with the theoretical possibility of forfeiting your lease.

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          #5
          Thanks for your replies...
          I own the freehold.. so there is no problems with leasehold
          Basically, I currently have one contractor that is interested to rent the flat.. however, to avoid any future disputes over subletting I would like to secure the bedrooms in the flat.
          I would rent it to him.. however for me to maximize any potential income i need to have it occupied with two contractors.
          I just need to understand if there are any legalities regarding me putting locks on bedroom doors within the property?
          I guess its maybe more of a question for HMO... please tell me if I should have posted it in a different part of the forum?
          Thanks again
          legepe

          Comment


            #6
            You will have to pay the council tax, even with only one tenant, if you don't give them access to the whole property.

            Comment


              #7
              Originally posted by leaseholder64 View Post
              You will have to pay the council tax, even with only one tenant, if you don't give them access to the whole property.
              I understand that i need to pay council tax... I am letting property with all utility costs included..

              Comment


                #8
                It won't be a HMO with just 2 people in it. If they are contractors they will have a main home elsewhere so they won't be on an ast. You would then probably be in breach of your mtg terms and your insurance.





                Comment


                  #9
                  [QUOTE=Berlingogirl;n1043577]It won't be a HMO with just 2 people in it. If they are contractors they will have a main home elsewhere so they won't be on an ast. You would then probably be in breach of your mtg terms and your insurance.


                  Ignore above. You can grant an AST that's fine. You can grant an ast either for the whole property or an ast for each individual room. Putting locks on the bedroom door is fine. Be aware that if you grant an ast for the whole property this will be terminated for all tenants by only one giving notice so you would need to reissue a new TA for the remaining tenant. Do check your local authority's HMO regulations though, just to make sure you do not fall into their definition of an HMO and therefore have to comply with the additional requirements.




                  Comment


                    #10
                    The reason it is not an AST is that ASTs only apply to a person's primary residence. The security of tenancy provisions no longer apply if it is not their main residence. Most AST agreements have fallback clauses to cover the case when they are not ASTs.

                    Comment


                      #11
                      Originally posted by Jon66 View Post
                      You can grant an AST that's fine. You can grant an ast either for the whole property or an ast for each individual room. Putting locks on the bedroom door is fine. Be aware that if you grant an ast for the whole property this will be terminated for all tenants by only one giving notice so you would need to reissue a new TA for the remaining tenant. Do check your local authority's HMO regulations though, just to make sure you do not fall into their definition of an HMO and therefore have to comply with the additional requirements.
                      You can't make it an AST if it's not the tenant's primary residence (if joint tenants, it's just one of them).

                      Joint tenants can only serve notice when the tenancy is periodic (and it would end the tenancy for all of the joint occupants).

                      A local authority can't redefine 2 people living in a property as an HMO. For the avoidance of doubt, it would be an HMO for council tax purposes.
                      When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
                      Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

                      Comment


                        #12
                        Nowhere in Ops post did he suggest the property would not be the tenant's principal residence, and even were it not, the tenancy agreement is still valid and enforceable.

                        The tenant can serve notice during the fixed term period to take effect on the last day of the fixed term, so you are incorrect.

                        Please explain your final paragraph. It doesn't quite make sense!

                        Comment


                          #13
                          A council tax HMO refers to the situation where council tax is payable by a non-resident landlord because no tenant has exclusive access to the whole property.

                          Comment


                            #14
                            Originally posted by Jon66 View Post
                            Nowhere in Ops post did he suggest the property would not be the tenant's principal residence,
                            OP refers to 'contractor' not 'person.
                            A reasonable inference is that this is therefore a residence for convenience for current contract and not a main or only residence (but that is not known from the information provided).

                            and even were it not, the tenancy agreement is still valid and enforceable.
                            Probably, but tenancy would not be an AST.
                            The mechanisms for a LL to end a tenancy differ between an AST and other tenancies.

                            The tenant can serve notice during the fixed term period to take effect on the last day of the fixed term,
                            Are you referring to "the tenant that has been granted the tenancy (which could be more than one person)" or to "one of the people in a joint tenancy".
                            In either case, could you provide reference to statute or case law that supports your claim?


                            Please explain your final paragraph. It doesn't quite make sense!
                            I believe that what jpk meant is "there are different definitions of HMO for housing law and council tax law".

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                              #15
                              Crate v Miller

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