Should I Prewarn My Tenant of a Rent Rise?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Should I Prewarn My Tenant of a Rent Rise?

    Hi,

    I have had a pleasant tenant living in one of my properties for nearly 4 years.
    During all that time I have not put her rent up.
    Her current AST end in October of this year.
    I am thinking of putting her rent up by £25 per month - she currently pays me £625 per month which is the bottom end
    of rents in that particular area.
    My question is should I - out of politeness - tell her now that at renewal her rent will be going up, or should I
    leave it more towards the end date?
    If I tell her now, could that cause me problems?

    Any help from members would be much appreciated.



    #2
    Does it say anything in your tenancy agreement about increasing the rent?

    Comment


      #3
      Friendly email/letter stating rent is going up from dd/mm. If she starts paying that's it, no need for formal notice etc
      I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

      Comment


        #4
        Hi, thanks for the replies above. The rental increase will be in the next AST she signs which will start in October when the current one finishes - assuming that she still wants to remain in the property. I am just not sure whether I should tell her now that I will be increasing the rent at the next AST renewal.

        Comment


          #5
          Why are you renewing, when the normal advice here would be to let it go periodic?

          Comment


            #6
            She has absolute legal right to remain regardless of any renewal
            I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

            Comment


              #7
              Originally posted by ssingh View Post
              Hi,

              I have had a pleasant tenant living in one of my properties for nearly 4 years.
              During all that time I have not put her rent up.
              Her current AST end in October of this year.
              I am thinking of putting her rent up by £25 per month - she currently pays me £625 per month which is the bottom end
              of rents in that particular area.
              My question is should I - out of politeness - tell her now that at renewal her rent will be going up, or should I
              leave it more towards the end date?
              If I tell her now, could that cause me problems?

              Any help from members would be much appreciated.

              Why would you not tell her? Firstly, it just courteous. Secondly, she doesn't have to sign your new AST, in which case you'd need to issue a Section 13 notice about her rent increase if she doesn't agree to it.

              Comment


                #8
                Originally posted by leaseholder64 View Post
                Why are you renewing, when the normal advice here would be to let it go periodic?
                Hi,

                Silly question but what are the advantages of letting the tenancy go periodic?
                On all my properties, I have always agreed a years AST at a time.
                I think the reason why I started this way was because my mortgage provider (Virgin Money)
                insisted that there was an AST in place.

                Comment


                  #9
                  Originally posted by Berlingogirl View Post
                  Does it say anything in your tenancy agreement about increasing the rent?
                  Hi, your post made me think.
                  I went through the AST that was signed and it contains the following paragraph (it is a standard NLA AST):

                  3.0 Rent Increases
                  3.1 We shall have the option on the anniversary of this agreement to increase the Rent by a reasonable percentage
                  provided we have given you at least one month’s notice of our intention to exercise this option.


                  The rent increase I am proposing is 4% and it would have been the first time in 4 to 5 years that I have increased the rent.

                  Comment


                    #10
                    Originally posted by ssingh View Post
                    Silly question but what are the advantages of letting the tenancy go periodic?
                    one is:
                    • If tenant goes 'bad' you can issue S21 notice immediately and act on it after 2 months
                    and if you write the contract so that it becomes contractual periodic at the end of the fixed term, then additional benefits (because it is one continuing tenancy, not 2 separate tenancies):
                    • There are no deposit protection actions required when it goes periodic
                    • Tenant is responsible for paying council tax to the council until the tenancy is properly ended (with a spt, if tenant vacates before tenancy is properly ended, then LL is responsible to pay the council tax and reclaim from tenant).
                    Originally posted by ssingh View Post
                    On all my properties, I have always agreed a years AST at a time.
                    I think the reason why I started this way was because my mortgage provider (Virgin Money)
                    insisted that there was an AST in place.
                    A periodic tenancy IS an AST, unless you have specifically said in the original agreement that it is not.

                    Comment


                      #11
                      What's your relationship like with the tenant? Do they pay on time are they now have to deal with of a respectful and polite towards you

                      Comment


                        #12
                        Originally posted by blinko View Post
                        What's your relationship like with the tenant? Do they pay on time are they now have to deal with of a respectful and polite towards you
                        Hi, yes the tenant is fine with me and pays on time. I think I need to increase the rent as I there has been no increase since she moved in - which was 4 to 5 years ago. When she first moved in, I was charging the average rental for the area. Now, I think I am charging below market rates.

                        Comment


                          #13
                          I think I read somewhere that the NLA model tenancy agreement is now contractual periodic after fixed term by default so yours may already be.

                          Comment


                            #14
                            Originally posted by DPT57 View Post
                            I think I read somewhere that the NLA model tenancy agreement is now contractual periodic after fixed term by default so yours may already be.
                            The NLA agreement is intended to be contractual periodic, but last time I looked it appeared that might not be enforceable.
                            The reason is that the Term does not state "continuing"; there is (was) a clause elsewhere that "suggested" it. So it is not obvious to T that it is a contractual periodic (it was not obvious to me either, and I have been aware of this for years).

                            Comment


                              #15
                              go with the RLA AST much tighter, whats your relationship like with tenant ?

                              Comment

                              Latest Activity

                              Collapse

                              • Reply to Deducting Cleaning Costs from Deposit
                                by Lawcruncher
                                The requirement comes from the tenancy terms. There are various reasons why a contract term may be void or unenforceable. They include: illegal; impossible; contrary to public policy; statute forbids them to be imposed; unfair. A requirement to keep a dwelling clean and leave it it clean is none of...
                                27-01-2022, 22:20 PM
                              • Deducting Cleaning Costs from Deposit
                                by Piffy
                                I use a Letting Agent. Recently the tenants vacated, prior to the tenants leaving when the letting agent did an inspection they advised the tenants that the property would need cleaning before they vacated. The tenants have now left, the place does need a good clean, the Letting Agents have said that...
                                27-01-2022, 11:30 AM
                              • Reply to Inherited a few rentals
                                by AndrewDod
                                Almost everything is telling you to sell them - far away, no experience, higher rate taxpayer, current environment
                                27-01-2022, 22:04 PM
                              • Inherited a few rentals
                                by Landlord7289
                                Hoping for some advice on this situation from people who may have been through similar...

                                I am inheriting 4 rental properties from my late father. Are there any tips or ideas people would share about this situation?

                                My situation is I am early 30s in full time employment, live...
                                25-01-2022, 15:02 PM
                              • Reply to Deducting Cleaning Costs from Deposit
                                by DoricPixie
                                Lawcruncher,

                                Why does a tenant need to leave the property in a reasonable state of cleanliness if the property wasn't in a reasonable state of cleanliness at the start of the tenancy? Where does the requirement come from? The deposit protection schemes don't appear to take that approach...
                                27-01-2022, 21:11 PM
                              • Reply to Tenant has moved partner in.
                                by Hudson01
                                Totally agree, the classic - still the best. They sound like a nightmare and i would be looking to get rid as soon as i could whilst we still have S21, removing kitchen cupboards !!! In a 2 bed flat...... why the hell would you remove part of a fitted kitchen, what are you going to do with the space....
                                27-01-2022, 20:41 PM
                              • Tenant has moved partner in.
                                by Alison Laws
                                My tenant who is 4 months into her tenancy agreement has moved her partner in without permission and Im wondering can use this to issue a new tenancy agreement with his name on it. She isn't the easiest tenant and I would also like to add an agreement break to the new tenancy because of the difficulty...
                                27-01-2022, 15:30 PM
                              • Reply to Is time more important than money?
                                by Hudson01
                                In general time of course is more important than money, but often it is the ownership of enough money that gives you free time ! The tenants i doubt were thinking in such terms though, they were simply bone idle, i grew up in a dirty house as a child, the time my parents saved with not cleaning did...
                                27-01-2022, 20:34 PM
                              • Is time more important than money?
                                by jpucng62
                                Just had tenants move out of a property after 2 years. Always paid on time, perfectly pleasant young family who have now bought their own home BUT:

                                House was grimy - looks like they didn't clean properly in 2 years rather than anything overtly unpleasant
                                Garden was left in a mess...
                                27-01-2022, 17:20 PM
                              • Reply to Is time more important than money?
                                by jpucng62
                                The property was inspected - although Covid has it effect - but the tenant is entitled to live as they wish during the tenancy. It only became a problem when they failed to bring the property back to the condition they took it in when they left.

                                I was just amazed that they could so easily...
                                27-01-2022, 19:45 PM
                              Working...
                              X