Changing the rental amount

Rachbb

Hi,

Myself and partner are first time renters and unfortunately we are having a problem with the estate/letting agent.

This is the scenario:

We have recently signed a tenancy agreement (01/10/09) for £495pcm for a period of 12 months. This agreement was signed at the estate agents, with the agent countersigning the document & the landlord signing the documents.

The situation we are currently finding ourselves in, is that the landlord has now returned to the estate agent querying why our tenancy agreement is £495pcm, when he instructed the estate agent that he wanted the property let at £525pcm.

The estate agent marketed the property online and within their shop at £495pcm, and have now (10/10/09) stated that they mistakenly did this, as they had previously marketed the property at this rate (the previous year), and are now attempting to get us to sign a new tenancy agreement for £525pcm.

We acknowledge that we were shown an example of a standing order for £525pcm by the landlord (who has other rental properties), however we directly queried the rental amount with the estate agent after seeing this document and they confirmed that the actual amount would be £495pcm (this was done in person prior to signing the agreement on the 01/10/09), the estate agent arranged for the standing order to come out of our account for £495 (which again led us to believe that the standing order form the landlord had shown us of £525pcm was just and example, and at no point was it confirmed that they actual property amount was supposed to be £525pcm)

Surely as the error had been made by the estate agent they are liable to make amends, and we should not be penalised for their error?

What would be our position in this as we have a legal document showing our tenancy agreement to be £495pcm, signed by all parties.

(I'm aware that £30 difference may not seem alot, however that money could be used on the utilities etc)

Any help or advise would be appreciated.

neas

DO NOT SIGN THE NEW ONE.

Just tell the landlord letting agency, that it was advertised as 495... and the contract is legally binding at that price.

You cant just go willy nilly raising the rent after a contract has been signed. I think they trying to have you on lol. I'd tell them to take you to court if they think they have a leg to stand on..

For example do you think they'd be nice if you tried to not take the house after you had signed a contact? If its clearly in contract just tell them 495 is what you've legally agreed with them and the landlord... and thats the price... if they want to take it further ask them to take it to the courts which will side with you.... afterall its plainly in contract for all to see.

Fire_Fox

If you have a copy of the tenancy agreement signed by both parties then you can rent the property at that price. My letting agents did this and I honoured the agreement, the letting agents lost out as they still had to pay me (the landlady) the full price minus the pre-agreed percentage. Think they walked away with £5 a month, no wonder they went bust ... :rotfl:

G_M

the agent countersigning the document & the landlord signing the documents.

The LL hasn't got a leg to stand on. Frankly, if he signed it he can't even claim against the agents for making a mistake. It was his mistake to sign.

pinkshoes

Do not sign anything else!

You can rent at £495 for the next 12 months, although now you know the LL wanted £525, you can expect at least a £30 increase after the 12 months are up, or perhaps even a £60 increase so they make up for the loss this year.

Perhaps best to look for somewhere else at the end of the 12 months, just incase.

Rachbb

Thank you all for your replies.

Its a delicate situation to be in, and one that we could've done without. I'm expecting the estate agent to probably try and push for us to sign the documents (which we wont).

chappers

You have a legaly binding contract and thats all you have to pay, its up to the LL to sue/negotiate with the LA if he thinks/can prove they have messed up.
Your landlord cannot put the rent up until the end of the contract and then he can do one of four things.

Mutually agree a new rent with you.

Issue you with a notice of rent increase under section 13 of the housing act, which you can challenge trough the rents tribunal.

Increase the rent according to any clause contained within the AST, if there is a clause in the AST then this overides the point above.

Give you notice to quit under section 21, he must give you two months notice before the end of your fixed term if he wishes you to leave at the end of the current tenancy or two months notice if the tenancy reverts to a periodic tenancy

glitterycloud

This happened to us we viewed a rental property advertised at £495, signed contracts then was told that the agency hadn't added on their fees to the rental price. We signed for 6 months at the original £495 but after 6 months it went up to £525.