Increasing Rent?

charlie792

I was just wondering at what point a landlord/estate agent can increase the rent on a property, for example I assume they cannot do it during the contracted time, but as my contract is 6 months (with the idea to renew) then can they increase the rent for the new 6 month contract - if so do they have to give any notice of intention to do this? Im a bit worried because our tenancy is up in 2 months, and hopefully want to stay here but we cant really afford any rent increases and obviously we need notice to look elsewhere if this is the case.

theartfullodger

See this which I could not improve upon...
http://england.shelter.org.uk/get_advice/paying_for_a_home/rent_and_rent_increases/private_tenancies#2

Your contract btw is not for 6 months: That is just the initial fixed-term, it than carries on unless you or LL end it. It then rolls on as a "periodic" tenancy with all the previous terms the same, you can give 1 month notice, LL can give 2 months notice.

If, however, you are offered and agree to a new AST at a new rent for, say, 6-months initial fixed term then you have 6-months security of the tenancy (unless you don't pay the rent..).

Cheers!

Artful

moromir

Just to expand on Lodger's post.. should the tenancy 'roll on' to a month to month, there is a procedure that can be instigated to effect a rent increase, with a minimum of one month't notice (I think, by no means certain on the notice period) but you do retain the right to refer the matter to a rent assessment commitee if you feel the increase is extreme.

charlie792

Sorry Im a bit confused - so when my current 6 months ends am I not under obligation to renew the tenancy if I want to stay? I only ask because the estate agents want a renewal fee

G_M

charlie792 wrote: »

Sorry Im a bit confused - so when my current 6 months ends am I not under obligation to renew the tenancy if I want to stay? I only ask because the estate agents want a renewal fee

Correct. This is very common as the agent gets a fee! They may put pressure on you to sign a new one as if you don't, they don't get their renewal fee!

However if you stay ONE DAY beyond the end of the initial fixed term, AND continue to pay rent, AND do not sign a new agreement, then you automatically become a periodic tenant as described above.

To acheive this there are three options:

1) tell the agent you would prefer to move onto a periodic tenancy, and then resist the pressure you will receive, and ignore all the arguemaents they put forward
2) speak direct to the Landlord. He too is probobly charged a fee by the agent for renewal, so may be quite happy for you to go periodic
3) Do nothing. Keep quiet. Stall and delay. Until the Fixed term expires and you are ONE DAY beyond it.

charlie792

theartfullodger wrote: »

As moromir says...

The process is to issue a SECTION 13 Notice see...

http://www.tenancyagreementservice.co.uk/rent-increases.htm

and no, you do not need to renew if you are happy to just roll-on month-by-month.. The agent will probably charge you & LL for reprinting a couple of forms.. And agents wonder why LLs & tenants are not always keen on agents... Sigh!

Thanks for the replies everyone.
I do have the landlord's number, I met him the day we moved in as he had to sort the oven out - he seems a really nice bloke and from what he's said he isn't too impressed with our agency - But hes a working man with a lot of properties so I guess he find it easier to deal with the agent than lots of individuals.
Will contact him nearer the time to see what he says about it - To be honest Id rather save myself £55 and it would be better not to be tied in to the 6 months as the OH is looking for work in other areas, but likewise I want to stay here for as long as possible as long as rent stays the same - absolute bargain as it was empty for almost a year they dropped the rent, similar properties in the area are going for at least £75-£100 a month more - obviously signing up to a new tenancy I would be worried now they have us in they would whack the price up to what it should be

G_M

If you're worried the LL might increase the rent you might be better off paying £55 and getting a new Fixed term at a fixed rent. How about saying you'll sign if it's a 12 mont contract? That way you know you're safe fo 12 months, and there'll be no further renewal fee 6 months from now.

Of course that commits you too, so you need to be sure you want to stay 12 months.

charlie792

G_M wrote: »

If you're worried the LL might increase the rent you might be better off paying £55 and getting a new Fixed term at a fixed rent. How about saying you'll sign if it's a 12 mont contract? That way you know you're safe fo 12 months, and there'll be no further renewal fee 6 months from now.

Of course that commits you too, so you need to be sure you want to stay 12 months.

Another 12 months really isn't going to be any good, OH's work contract is only till August and he doesn't want to renew it so he's looking elsewhere - Im pretty much happy to move wherever he can find work even if its abroad which is a possibility...Certainly wouldnt want to be tied in for anything longer than the six months