Fairly hefty rent increase from june

spike2012

Hi all

My partner and I live with our baby daughter in a private rented house, at £625 a month. Our LA have just been terrible from the start and after 3 months of emails the LL still didnt know about the repairs that needed doing, so when we contacted him directly he couldnt be more helpful. Came out within a few days (luckily as hes always away at sea)

We we've just received a letter saying that as we know, our tennancy runs out on the 20th of June this year, and they are "pleased" to offer a further 12 months, at £660 a month. Just sign everything on the page theyve included and send a payment of £125 to cover the costs of extending the contract. (:eek:)

When the LL was here, I spoke of wanting to decorate our DD room, fix up lots of repairs to the garden to save him the hassle which he was suprised about and said "only if we dont mind" etc. He seems like such a genuine nice person that I am unsure as to whether the LL even knows of the LA's offer to us. He and I discussed him dropping the LA when he was here last, which would save him £75 approx a month. He said we could discuss this nearer the time but seemed like he would love for us to stay for an extra 1/2/3 years.

Could this be something the LA is trying - could the LL have agreed to this 12 months ago? The REALLY doesnt seem like something he would do, he is genuinely nice and said forget ringing them (the LA) in the future and any repairs to try and get hold of him..

Any advice is greatly appreciated. a nearly 6% increase is massive (to us), my pay offer is 0% increase (we should get 0.5% if the union gets their bums in gear) and we've lost £40 a month housing benefit. This would be so tight its unreal.
This is pretty devastating, as the DD is only 15 months but we live near the school we wish her to go to :(
Spike

Gwhiz

You know the answer to this. Ignore the LA and phone the LL directly.

spike2012

Gwhiz wrote: »

You know the answer to this. Ignore the LA and phone the LL directly.

Yep, we tried last night and his phone was off, will try today. If not would a polite hand delivered letter to them be sensible? I obviously not going to knock on door (really dont want to harass anyone) but missus is stressed a lot as am I, so a genuine letter addressed to both should be okay shouldn't it? Hate this LA. Never had trouble with any other LA like this before.

LittleMrsThrifty

What is the demand like for rental properties in your area? Would it be snapped up quickly at £660/month or might it be empty for a month or two? Chances are the landlord wouldn't want it empty (it's a bit early for maths but even one month empty is equal to several months of your rent increase) plus changing tenants is time consuming and costly and there's a chance he would get a bad tenant who didn't pay on time etc (I'm assuming that you do?)

If I were you I'd contact the landlord directly and appeal to his better nature. He may not have been party to it anyway. Say that you really enjoy living in the house but unfortunately the rent increase would stretch your finances too much and you'll have to consider moving elsewhere. Say that if you could go onto a rolling contract at the same rent cost you'd be delighted to stay but unfortunately you just can't afford an increase right now.

You are very much calling his bluff so I'd do it by phone so that if he says no (perhaps his mortgage has increased for example) you can think hard about what you want to do and have the option of saying you'll cut corners elsewhere so you can afford the house - So nothing official is in writing. The problem will come if the landlord is away and you can't get hold of him by phone. Of this happens perhaps try the same with the agent however it doesn't really matter to them if you stay or not and they are likely to receive another fee for getting someone else in etc - so it really is the landlord you want to speak to.

My rent is at the top of my budget and this is what I plan to do if the rent increases - or perhaps split the difference.

poppysarah

Yeah look at demand.

a local LL is asking 700 and 600 a month for his properties on rightmove ... way above what is average for the area.
He has tenants in and I assume they are being pressured to have a rent increase if they want to stay

spike2012

LittleMrsThrifty wrote: »

What is the demand like for rental properties in your area? Would it be snapped up quickly at £660/month or might it be empty for a month or two? Chances are the landlord wouldn't want it empty (it's a bit early for maths but even one month empty is equal to several months of your rent increase) plus changing tenants is time consuming and costly and there's a chance he would get a bad tenant who didn't pay on time etc (I'm assuming that you do?)

If I were you I'd contact the landlord directly and appeal to his better nature. He may not have been party to it anyway. Say that you really enjoy living in the house but unfortunately the rent increase would stretch your finances too much and you'll have to consider moving elsewhere. Say that if you could go onto a rolling contract at the same rent cost you'd be delighted to stay but unfortunately you just can't afford an increase right now.

You are very much calling his bluff so I'd do it by phone so that if he says no (perhaps his mortgage has increased for example) you can think hard about what you want to do and have the option of saying you'll cut corners elsewhere so you can afford the house - So nothing official is in writing. The problem will come if the landlord is away and you can't get hold of him by phone. Of this happens perhaps try the same with the agent however it doesn't really matter to them if you stay or not and they are likely to receive another fee for getting someone else in etc - so it really is the landlord you want to speak to.

My rent is at the top of my budget and this is what I plan to do if the rent increases - or perhaps split the difference.

We already pay a premium at £625 due to the area. Other properties in the area at £650 have an extra bedroom, so I really think the LA is taking the biscuit. They're pushing for more, as theyre on a % (of which he revealed to me) out of £625 I calculated he gets £550 in rent. Id like to suggest a rental of £600 directly to him, with existing deposit transfered to another scheme etc etc nothing changes except who the money goes to to start with. He and his wife were appalled at how we had been treated by LA and actually as I'm typing this is seems like LA has done this without his knowledge.

With what you said about doing it by phone, if theres no luck with that today a hand written letter would be next option (i know LA will not budge on anything and lied to us in the first place to get us to give them a holding deposit on the property) but yeah I could word it carefully, reiterating our conversation that we had when he was last round, suggesting he cut out the LA and explaining how it would mean to an increase in income for him/them. And that we would like to discuss it directly asap. ?

TIA again
Spike

jjlandlord

spike2012 wrote: »

We we've just received a letter saying that as we know, our tennancy runs out on the 20th of June this year, and they are "pleased" to offer a further 12 months, at £660 a month. Just sign everything on the page theyve included and send a payment of £125 to cover the costs of extending the contract. (:eek:)

Irrespective of the proposed rent increase the LA is fishing for a fee. I would try indeed to contact the LL direct as other have suggested.

Regarding the proposed rent increase you should compare with similar properties in the area to see if it would be a market rate. You should also factor in the cost to the LL to evict you and find a new tenant.
Keep in mind that until you sign a new tenancy agreement with an increased rent, or until a s13 notice takes effect once the tenancy has become periodic, the rent will remain as is.


Regarding the proposed new TA: This is not an obligation, could tell them that you're happy to let the tenancy become periodic.
The LA will surely counter that the LL does not want that... You're obvious reply should then be that he should then pay any fee.
If you intend to stay, you can also negotiate a longer term.
In any case, I would not agree to pay such fee, especially at that level.

Tiddlywinks

Why is your LL 'always away at sea'? Is he in the forces, work on cruises or what? He may need an agent to be a tax representative if he is mostly overseas. He may prefer to use an agent because he will be away more that he is there.

It would be difficult for him to 'sack' the agent without proof of poor service as he could breach his contract with them (depending on the wording) - also, he may just not like confrontation and so told you what you wanted to hear and would prefer to keep an agent as a middle man.

When you originally saw the place was the rent comparable with other properties, higher or lower? Did you negotiate over it? This will give you a hint about how receptive your LL might be to change. How does the higher rent compare to other properties available now?

In reality though, it is a business relationship and if he can get another tenant in to pay more then he probably will (unless the costs to get a new tenant exceed the costs of letting you extend at a lower rent).

What does your contract say about fees to extend? They usually have a paragraph included that shows these fees.

How much will moving cost you? You'll need to pay fees and removal costs anyway - add it up and divide it by 12 and then see if it might be around the same to stay as it would be to move on.

BitterAndTwisted

OP: for the moment I would ignore this entreaty to enter into a new contract with the higher rent. All you have to do is sit tight and do nothing until the 21st of June and then your tenancy will automatically become a rolling periodic one at the existing rent. Do not acknowledge receipt of the agent's letter and if they remind you of it say they will have to send another for your consideration. The second one must have got lost in the post: you are giving it your attention and will get back to them etcetera, etcetera until the 21st.

Meanwhile you will have plenty of time to communicate with the LL and discuss with them their intentions.

spike2012

BitterAndTwisted wrote: »

OP: for the moment I would ignore this entreaty to enter into a new contract with the higher rent. All you have to do is sit tight and do nothing until the 21st of June and then your tenancy will automatically become a rolling periodic one at the existing rent. Do not acknowledge receipt of the agent's letter and if they remind you of it say they will have to send another for your consideration. The second one must have got lost in the post: you are giving it your attention and will get back to them etcetera, etcetera until the 21st.

Meanwhile you will have plenty of time to communicate with the LL and discuss with them their intentions.

*sigh of relief* Thank you so much for this and everyone else too, I have re-read the letter and their wording has been done very carefully "your LL would like to offer you" and "could you kindly"

argh this angers me for someone such as my mum or brother in this situation would have felt forced to sign and accept:mad:

spike2012

Tiddlywinks wrote: »

Why is your LL 'always away at sea'? Is he in the forces, work on cruises or what? He may need an agent to be a tax representative if he is mostly overseas. He may prefer to use an agent because he will be away more that he is there.

It would be difficult for him to 'sack' the agent without proof of poor service as he could breach his contract with them (depending on the wording) - also, he may just not like confrontation and so told you what you wanted to hear and would prefer to keep an agent as a middle man.
.

He is in the Navy but is planning on leaving as he has done enough years for (large?) pension etc.

The agent has lied to both of us. He asked them to repair the property as he was going away again and they didnt bother. Our phone calls to them led to a reply of "the LL wants to do his own repairs we will contact him" I also have copies of emails that were sent to LA and never replied to. He asked for copies of these and took them away with him last visit - hmm.