Stepping out from the rental agreement before paying deposit

Prozuzu

We signed a contract last Saturday for a self-contained flat next to the landlord's house. We found the flat from gumtree, and on the advertisement, it stated that the rent includes all bills. When we viewed the flat, the landlord told us that the rent also includes council tax, although it was not stated in our contract at all.

The flat was really nice so we rushed in and signed the contract at the same day. The only reason we didn't pay the deposit was because it was a saturday, and the landlord INSISTED that we have to pay the depoist in CASH, but we couldn't get so much cash because the bank was closed. And we promised that we are going to pay him this week.

After we came back, we started to double-think the whole thing again. What worrried us is that the landlord insisted we pay everything by CASH, even the monthly rent, and the bank transfer was not acceptable. This just didn't feel right. So we met him again today, and he eventually agreed that we can pay him by bank transfer (we really want to have some evidence of the payment). But throughout the neogitation process, his attitude made us feeling more and more uncomfortable. So we did some search on the internet tonight.

Basically we found that the flat was not registerred with the council at all, it has the same address as the landlord's house, and when we check the VOA website, there is only a single band attached to this address. But the flat is definitely self-contained, and by law, it should have its own council tax band, and by law, it should be our responsibility to pay the council tax there. Nevertheless the landlord promised us that our rent includes council tax (NOTE: it's not written in the contract at all).

We felt really uncomfortable with the whole thing and we now decide to step out from it. We haven't paid anything yet, but there is a contract there which is supposed to be legally binding (we signed a whole year of contract). My question is: whether there will be any chance that we will step into any trouble because of the signed contract? Any suggestion will be really appreciated. Thanks!

PasturesNew

Personally, if I liked it and the price I'd just move in .... and keep reporting him up my sleeve in case he turned out to be a nutter.

Maybe it was an annexe intended for a parent, or child... and he doesn't even know it should be registered separately.

If you do want out of it though, you could blackmail him over the fact it's not registered and point out to him that it makes you uneasy at what other corners he might have cut or considering cutting ... and hope that puts the wind up him enough to tear up the agreement.

How ballsy are you??

nurbz

another question: Is there a cooling off period with tenancy agreement?

Prozuzu

Thanks for your really quick reply :beer:. What worries us was we think the whole thing was delibrate. There was already a tenant there in the flat, he always rented the thing out. And in the original gumtere ad, there was no mention of the council tax at all. Also, he didn't want check or bank transfer at the beginning. Well, I guess we really don't like his attitude, and don't want to live next door with him anymore, and we are just not ballsy enough :rotfl: . But you think we won't have any problem not taking the flat then?

00ec25

I would go with your gut instict to back out, you hold a stong card in that you already have proof over his council tax evasion and you know you are right about that.

in addition, although you do not have proof, you have reasonable suspicions on other issues:
- the inital requirement to pay by rent cash suggests someone evading paying tax 9or being ultra careful about tenants bounced cheques of course to be fair to him)
- did he mention deposit proetction scheme when he required the cash deposit,
- did he mention issuing you a rent book (legal requirement where rent paid in cash)

Soot2006

Does the self contained bit have its own postal address or would you be receiving post via main residence?

Overall it doesn't sound like there's much risk of him pursuing you for breach of contract if you back out now .

Prozuzu

He didn't mention any deposit protection scheme or the rent book. We mentioned the deposit protection scheme to him and he only promised to have a look at it.

The rental property has the same address as his own house, so yes, the mails will be sent to the landlord's property, another thing we were not so comfortable with.

Soot2006

he only promised to have a look at it.

I would promise to have the council have a look at him.

And Inland Revenue ...

roses

Back out, there won't be any consequences if you do as you didn't pay a deposit. He may threaten but these are likely to be empty threats since you say he seems quite evasive.

Blackpool_Saver

Have a look at it????

Run, fast, I highly doubt he will be in any position to pursue anything against you.

I have landlord issues I am going to post later.

ZIPPYtheBUDGIE

My parents have a self contained granny flat at the back of their house and when they applied for planning permission the council made it very clear to them that it must under no circumstances be let out for a profit. I'm sure your landlord will be aware of this (if he even applied for planning permission?) and that's why he prefers cash payments. The granny flat at my parents was originally built for my Grandma to live in, since she's died my brother now lives in it but it isn't classed as a 'separate dwelling' as it is attached to the main house. It did increase the council tax banding though as there's an extra bedroom.