Landlord changed mind

may_fair

Jameson20 wrote: »

Hey

The terms of the holding deposit were sent to us via email by the Estate agent, so that proof we have. It's not about the holding deposit at all though, this the Estate agent will refund us. It's more about the LL going back on what they agreed on. We have a email covering this and confirming all the terms.
We didnt, as you say, part with large sums of money without insisting or reading the written contract. This was yet to be drawn up!

You either did or didn't enter into a contract to rent the property - and I don't mean signing the tenancy contract itself. If you offered and the LL accepted, then you might have entered into a contract, (and note that contracts can be orally agreed). If a contract was created, then you can sue for breach of contract. You would need to seek legal advice, however, to establish whether, firstly, you have a case, and, secondly, whether you have enough evidence to support your case.

Jameson20

Latest update, the LL now says that if we can move in on the 9th July instead of 31 July, and pay 1075 per month, we can have it!! The advertised price was 1050 and we offered 1025 which they accepted! Can they suddenly raise it like this after agreeing with us?!

They are clearly new to this game and have figured that the rent minus expenses etc wont cover their mortgage....clever....

taxsaver

Yes, he can ask you to pay more and you can offer to pay less, any time up until the contract is actually made. It's exactly the same with buying and selling property, prices can be raised and lowered up until the contracts are exchanged. Some people feel that it's honourable to respect verbal agreements and others feel that it's just business.... largely depends on which side of the change that you're on!

The LL is in the fortunate position that there is excess demand for his property and he therefore wants to obtain the best deal that he can... it's really no different to holiday prices going up at times when schools are out or fuel surcharges being levied on flights, etc., etc..

Ninjawombat

may_fair wrote: »

You either did or didn't enter into a contract to rent the property - and I don't mean signing the tenancy contract itself. If you offered and the LL accepted, then you might have entered into a contract, (and note that contracts can be orally agreed). If a contract was created, then you can sue for breach of contract. You would need to seek legal advice, however, to establish whether, firstly, you have a case, and, secondly, whether you have enough evidence to support your case.

He paid a holding deposit. This isn't any kind of contract. It's basically a promise from the letting agent to take the property off the market until the actual tenancy agreement is signed. It's not a promise (or an oral contract) from the landlord to let him the property.

The landlord is well within his rights to make any changes to the rent or, in fact, who he wants to rent the property to up until the point that the tenant signs the agreement.

If the tenancy agreement has not been signed (which in this case, it hasn't) there is no case whatsoever.

There's no point getting legal advice, as there is nothing to sue for.

The long and short of it is - until you sign the tenancy agreement, the landlord can do what he likes.

Jameson20

taxsaver wrote: »

Yes, he can ask you to pay more and you can offer to pay less, any time up until the contract is actually made. It's exactly the same with buying and selling property, prices can be raised and lowered up until the contracts are exchanged. Some people feel that it's honourable to respect verbal agreements and others feel that it's just business.... largely depends on which side of the change that you're on!

The LL is in the fortunate position that there is excess demand for his property and he therefore wants to obtain the best deal that he can... it's really no different to holiday prices going up at times when schools are out or fuel surcharges being levied on flights, etc., etc..

So they can even raise the price higher than what was quoted on the official advertisement? That's like going to the shop, seeing some jeans you like advertised at a certain price, and then when you get to the checkout, told that it is actually higher!

princeofpounds

Personally unless it was still a really good deal at 1075 I'd tell him to get lost, he had his chance and that he can enjoy the void period whilst reflecting on how he treats people.

You do not want to get involved with someone who behaves this badly if you have any reasonable alternatives.

Jameson20

Ninjawombat wrote: »

He paid a holding deposit. This isn't any kind of contract. It's basically a promise from the letting agent to take the property off the market until the actual tenancy agreement is signed. It's not a promise (or an oral contract) from the landlord to let him the property.

The landlord is well within his rights to make any changes to the rent or, in fact, who he wants to rent the property to up until the point that the tenant signs the agreement.

If the tenancy agreement has not been signed (which in this case, it hasn't) there is no case whatsoever.

There's no point getting legal advice, as there is nothing to sue for.

The long and short of it is - until you sign the tenancy agreement, the landlord can do what he likes.

We never once thought of sueing. That would be daft. All we want is to be able to move into a home we really like on reasonable terms which were verbally agreed upon. Simple.

Ninjawombat

Jameson20 wrote: »

So they can even raise the price higher than what was quoted on the official advertisement? That's like going to the shop, seeing some jeans you like advertised at a certain price, and then when you get to the checkout, told that it is actually higher!

As I said before, yes - until you sign the tenancy agreement, the landlord can do what he likes. Verbal agreements don't hold weight in this case.

Agree with the last post. Looks like you're the lucky one to be honest!

taxsaver

Jameson20 wrote: »

So they can even raise the price higher than what was quoted on the official advertisement? That's like going to the shop, seeing some jeans you like advertised at a certain price, and then when you get to the checkout, told that it is actually higher!

Actually that is a good example as the legal position in shops is EXACTLY that.... they can label or advertise one price and charge another at the till. When a shop displays its wares it's called an 'offer to treat' and the customer then makes an 'offer to buy' which the shop then has the option of whether or not to accept. Obviously it doesn't do a shop's reputation any good to go down that road, but they are perfectly entitled to legally.

Jameson20

taxsaver wrote: »

Actually that is a good example as the legal position in shops is EXACTLY that.... they can label or advertise one price and charge another at the till. When a shop displays its wares it's called an 'offer to treat' and the customer then makes an 'offer to buy' which the shop then has the option of whether or not to accept. Obviously it doesn't do a shop's reputation any good to go down that road, but they are perfectly entitled to legally.

Wow! Well there you go, learn something new every day! The moral is that it ruins reputations, that's for sure but in this case reputation doesnt matter as we would never do business with them again so they are clearly not bothered. Business is business.

Our final offer (as we really like the house) is to accept the 1075, but only commencing at the end of July as initially agreed upon. We cant afford to move any earlier as we would be effectively paying two rents for one month. Who in their right mind would do that?