What type of Tenancy is this? How do i increase Rent

barnaby-bear

AWOL wrote: »

Firstly thanks for the current replies.
I guess it is safe to assume based on the fact that we do not have the tenancy agreenment to hand anymore that the tenants would be classed as assured tenancy.

In the first instance I only want to increase rent therefore I will give the tenants the above form 4b. If they pay rent then fine, however I am concerned that they will not be able to pay the current market rate and therefore what would I need to do next to evict.

I guess when they default on rent I will have grounds under point 8 - rent arrears - how much rent arrears should there be and how long would i have to wait before taking it to the next step and what are the next steps.

Your help so far has been really helpfull. No matter how much you research these points its always reasurring to know that your on the right path.

Woah! Assured tenant - you can't just increase the rent to your definition of market value, they can go to rent tribunal who determine a fair rent - this is much lower....

barnaby-bear

AWOL wrote: »

Firstly thanks for the current replies.
I guess it is safe to assume based on the fact that we do not have the tenancy agreenment to hand anymore that the tenants would be classed as assured tenancy.

You do realise if one dies they can pass it on - in fact they can move anyone else in and they'll inherit it too..... in fact you could have tenants forever....

AWOL_2

Just to set the record straight - My father gave me the property to manage, and provide an income. The rent is off-set against loan repayments therefore its not all money in our pockets as all BTL landlords know. Ongoing repairs/maintanence/insurance etc.

Anyway back to the discussion.
He has had the property for a number of years and has been meaning to raise the rent for awhile but has been too busy to sort it out. Hence giving it to me to resolve. I knew I would get some of the reactions above, but was after some helpful advice and I am thankful to you all.
Unless we/the landlord increase the rent I don't think that the council and or tennant will opt for paying extra by themselves therefore its a process that has to be done each year and my father due to his own personal circumstances has let it slip by for a number of years.

neverdespairgirl

AWOL wrote: »

Just to set the record straight - My father gave me the property to manage, and provide an income. The rent is off-set against loan repayments therefore its not all money in our pockets as all BTL landlords know. Ongoing repairs/maintanence/insurance etc.

Yes, but the place was bought pre 1995, you said? So there can't be much of a loan.

Hestia

If you get the proposed rent increase sorted out, and if the tenant can't afford the increase, you run the risk of having an empty property with no rental yield - you seem to be a bit short sighted, IMHO. Surely a property with a good tenant who pays on time is better than an empty property?

mlz1413

AWOL just before you getting going on your first managed property and increasing the rent / evicting the current tenants.

Constantly receiving rent and good tenants far out way voids and bad tenants. If the only thing the current tenants have 'done wrong' is not pay extra every year I would get your calculator out and decided how much in money and time new tenants will cost you. If you can't work it out because you have no experience then maybe you should spend a year being a manager first.

tbs624

barnaby-bear wrote: »

You do realise if one dies they can pass it on - in fact they can move anyone else in and they'll inherit it too..... in fact you could have tenants forever....

Agree with B Bear -

tbs624 wrote: »

It sounds as if you are getting too far ahead of yourself. Anyone taking on ownership of a property with an assured tenancy in place should get themselves qualified f2f legal advice: it will be cheaper in the long run than making a hash of things, and let’s remember that this is a long-standing tenant’s home that you are talking about. ................ It’s also worth remembering that Assured tenants have a right to succession and assignment under the Housing Act 1988.

but just for clarification:

AWOL has not said whether this is a joint tenancy, and without the original paperwork it may be hard for him/her to prove one way or the other.

So - if a joint tenancy, and ones tenant dies the remaining j/tenant (s) have the right to remain.

If, however, it can be shown that there is a sole tenancy the rules around succession depend on whether the tenancy is a Fixed Term or a Periodic: if within a FT then it passes on to whoever the tenant has left it to in their will, IIRC.

If it’s a Periodic then a husband/wife (or partner living with the tenant as a h/w) has the right of succession if they were sharing the home at the time of the tenants death.

There can only be one succession though, and it may be that the current tenant has him/herself succeeded the tenancy

Fishingtime

I am also a landlord only 1 property, you say that you want to increase the rent.
If they cannot afford the fair market value,you might evict them?
Unless you are asking alot more rent than it is now, you might be better off with the tennant that has been good.
My tennant has been very good but since I increased the rent she has struggled to pay her part, the council pays most of it.
My letting agents are saying get rid of her, but she keeps the house in an imaculate state

AWOL_2

I understand your comments and take on board what has been mentioned.

In the first instance we hope that the council will up the rent payments - then hopefully the difference bewteen market rent and rent that is paid is marginal and wont require any further action. We still need to do this proceedure to try and get more money from the council. They are hardly going to decide that they are not paying enough are they. ha

adouglasmhor

The council will pay up to a certain amount depending on size of property no of residents etc. They will also refer your tenants to a rent tribunal if you try and up it over what is considered fair. This will cost you money, why not speak to a housing officer at the council and find out what they will pay, they are not going to want to have to rehouse a tenant especialy after all this time. But maybe read "how to win friends and influence people" before you put your foot in it because you seem to rub people up the wrong way here.