My landlord wants ro raise the rent

Tenant_2

Hi there,

I have been living in a private rented flat for 1 and half years. After my first year's tenancy agreement ended, I and landlord VERBALLY agreed to extent the contract. Considering my first Tenancy agreement was for 1-year, I took it for granted (as agreed verbally with landlord) that the following verbal agreement would still cover 1 year. So if my INITIAL tenancy agreement was from 20 May 07 - 20 May 08 (written and signed) then the following should be from 20 May 08 - 20 May 09 (verbally agreed). NOW, 20 OCT 08, the landlord sent me a letter where he requires more money for the RENT. What shall I do?
Am i entitled to say NO to the increase of rent considering that my unwritten tenancy agreement should expire on 20th May 09?

Many thanks in advance
Ben

BridgetJones_2

Verbal agreements aren't worth the paper their printed on.

Yes you can decline but he could serve you with notice. Get something written down!!

monkeymaster

Tenant wrote: »

Hi there,

I have been living in a private rented flat for 1 and half years. After my first year's tenancy agreement ended, I and landlord VERBALLY agreed to extent the contract. Considering my first Tenancy agreement was for 1-year, I took it for granted (as agreed verbally with landlord) that the following verbal agreement would still cover 1 year. So if my INITIAL tenancy agreement was from 20 May 07 - 20 May 08 (written and signed) then the following should be from 20 May 08 - 20 May 09 (verbally agreed). NOW, 20 OCT 08, the landlord sent me a letter where he requires more money for the RENT. What shall I do?
Am i entitled to say NO to the increase of rent considering that my unwritten tenancy agreement should expire on 20th May 09?

Many thanks in advance
Ben

How long did you agree to extend the term by? After a tenency agreement ends it automatically goes onto a rolling contract whereby the landlord is obliged to give you two months notice and you are required to give a months notice to move out. How much is you rent and how much are similar properties available for? A few months ago when my landlord tried to put the rent up I said I wasn't prepared to pay any more and put the ball back in his court, he backed down. If you're a decent tenant and pay the rent on time etc I'm sure he'd rather keep you then risk a void and getting a dodgy tenant and so is just trying it on. I'd say you can't afford to pay any more and be prepared to move - I doubt it'll come to that.

teeni

that depends on when the last rise was, did the rent go up at the end of the first 12 months because if it did he can not raise the rent until the 1 year anniversary of the last raise.

also the rise should be notified on a s13 housing act 1988 give one months notice and advise of the right to have the increase assessed by the rent assessment committee and their decision is biding on both parties whether it goes up or down..

However here is the down fall if you refuse to pay the rise, or challenge the way he has issued the notice of increase he can simply issue a s21 notice requiring possession and you will have to move. its your call how open to negotiations do you think he is.

monkeymaster

teeni wrote: »

However here is the down fall if you refuse to pay the rise, or challenge the way he has issued the notice of increase he can simply issue a s21 notice requiring possession and you will have to move. its your call how open to negotiations do you think he is.

He'd have to be a complete moron.

teeni

monkeymaster wrote: »

He'd have to be a complete moron.

I have to agree but you would be surprised how many clients i see who insist on challenging the landlord over because they have the right to. somehow believng they will have the upper hand in the end.

Unfortunately as in much of the law relating to housing any challenge whether to rent increases or disrepair is answered with a s21 notice. so much for tenants protection.

franklee

teeni wrote: »

I have to agree but you would be surprised how many clients i see who insist on challenging the landlord over because they have the right to. somehow believng they will have the upper hand in the end.

Unfortunately as in much of the law relating to housing any challenge whether to rent increases or disrepair is answered with a s21 notice. so much for tenants protection.

Well maybe your tenants don't say no in the right way. If a refusal of a rent rise is backed up with sound reasoning then I doubt it would result in a S21. Sound reasoning: other comparable properties on the market, a word about how long they've been empty and how much a void costs, a word about losing a good tenant for an unknown new tenant, offering to sign up for x months to give the landlord security of income, etc. Ain't rocket science. Helps if the tenant has another place in mind so they can feel confident in negotiating. After several refusals to drop a rent increase my landlord eventually backed down when I started asking him for a reminder if he wanted my notice to end on a rent day or not Yes I did have somewhere else in mind and yes I was prepared to move if necessary. Following year no rent rise was mentioned.

franklee

Hi Ben, Golden rule - get everything in writing. If the landlord won't do it then you do it after the conversation write a letter to him confirming what was agreed. Without it in writing how will you prove what was agreed? I'd suggest you can't

LydiaJ

Hi Ben

Use Propertybee and Rightmove to see what rents are like in your area for comparable properties, and whether they're coming down. I've just been really surprised by what rents are doing here. (Before I noticed your post I'd just started a new thread about it at http://forums.moneysavingexpert.com/showthread.html?t=1237877 )

Lydia

ETA Cross-posted with franklee

Mutton_Geoff

Verbal agreements are binding in law which is why loads of companies tell you they are "recording the call for training purposes". Rubbish, they are recording it to uphold any verbal agreement. The problem lies in the proof.

I would simply now put in writing your recollection of the agreement and state, "no rent increment" was agreed, however your original contract may contain a clause allowing for rental increments, so check that first.

chewmylegoff

monkeymaster wrote: »

He'd have to be a complete moron.

or desperate perhaps. maybe the rent doesn't cover his mortgage anymore.