Tenant and Licencees

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    Tenant and Licencees

    I have a 3 bed flat in England and the 3 sharers are now leaving. One sharer wants to stay on and find a couple of flatmates. My relationship with all is good and they are trusted people. I have proposed to the staying sharer that he signs a new AST with me and then sublets the other 2 rooms to licencees. To me this simplifies things as if person A leaves and person B joins and I had an AST with them I would have to draw up another AST plus TDS etc. What are the pitfalls of this arrangement and is there a good online licence agreement that my staying tenant can use for his future flatsharers.Any advice welcome. Thanks.

    #2
    Rather than simplifying I would say it complicates things. For a start you would have to make the tenant responsible for the full rent. The sublettings would probably be just that and not licences. If there are any good online agreements I have yet to see one.

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      #3
      I agree with Lawcruncher (it's usually best to). Why not just grant a new joint AST to all the new tenants?
      'Pause you who read this, and think for a moment of the long chain of iron or gold, of thorns or flowers, that would never have bound you, but for the formation fo the first link on one memorable day'. Charles Dickens, Great Expectations

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        #4
        Yes the tenant has agreed to be liable for the whole rent.
        So do you draft a new contract and a new TDS every time one person changes in a flat share ?
        If my tenant sublets or has flatmates what are their legal status if they were to create problems ?

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          #5
          Originally posted by geester24 View Post
          Yes the tenant has agreed to be liable for the whole rent.
          So do you draft a new contract and a new TDS every time one person changes in a flat share ?
          If my tenant sublets or has flatmates what are their legal status if they were to create problems ?
          Flatmates/lodgers have minimal rights (google "excluded occupiers"), but they also have minimal responsibilities. Before granting a tenancy to this person, be sure that they can afford to pay the rent even if there are no flat-sharers, because that isn't a guaranteed source of income for the tenant.

          What you could do is issue individual ASTs to each sharer for one room only, with shared facilities. They would then have tenancies (ie more rights) but this arrangement usually generates more revenue.

          This would be a 'HMO' (well it probably was before anyway) so you need to know the slightly different requirements for HMOs.

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            #6
            Thanks for the prompt and useful reply.
            How would I stand re eviction pf a 'lodger' of my tenant should the need arise ?

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              #7
              Originally posted by geester24 View Post
              Yes the tenant has agreed to be liable for the whole rent.
              Does the tenant realise what he is taking on?

              There is the potential for all sorts of complications to arise.

              The Golden Rule is: Keep It Simple.

              If you are not going to keep it simple get the documentation drawn up by a lawyer who knows what he is doing.

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                #8
                Originally posted by geester24 View Post
                Thanks for the prompt and useful reply.
                How would I stand re eviction pf a 'lodger' of my tenant should the need arise ?
                If ou evict the tenant, the bailiffs would remove the lodgers too.

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