Possible tenant may want a flatmate - How to deal with it?

HugoSP

One of my proerties is let like this.

The husband came back to the UK and needed to sign up to the Tenancy Agreement and secure the place. The wife was still abroad.

Hence the husband is the only signatory on the agreement.

If the husband moved out and the wife didn't, Unless she signed up to the agreement, she could become a squatter I suppose.....

It's unlikely with these two anyway, and I'm not likely to lose any sleep over it.

olly300

ejones999 wrote:

What if second tenant could provide proof that they were paying part rent?

Legally the landlord has a right to state the second tenant is not a tenant of theirs if they can prove that the tenant didn't pay the landlord money directly as rent.

According to the tenancy contract the only tenant who is responsible for paying the rent and all associated bills to the owner of the property, the landlord, is the one who signed or agreed to the contract.

The second person is a subtenant who gains their rights from the tenant who signed/agreed the contract.

So if you evict the tenant who signed/agreed the contract, which has to be done legally, the tenant has to give notice to the subtenant. The subtenant has less legal rights if the landlord of the property can prove that they never received any money as rent from them, and never made any form of contract with them directly as a tenant.

The main problem about subtenants is that all tenants on AST in private properties have a right to have quiet enjoyment of their home which means they are allowed to have guests stay over of as long as they like during their tenancy as long as the place isn't overcrowded. If the guest gives the tenant money for staying in the property i.e. to help pay their costs for rent and bills and the guest uses the spare room, then it could be argued that the guest is now a subtenant. The landlord won't know unless they ask questions .

I've lived in rented properties where people have been effectively subtenants i.e. friends, girlfriends and boyfriends from overseas and this hasn't been a problem. The landlord knew they were staying there, heard no complaints from the other occupants of the property and as they got their rent in the normal way, so they didn't ask any questions. Most of the private landlords I've had have only ever asked to go into communal areas to inspect the property unless there was a repair that needed doing in a specific room. The thing that was always made clear was that guests couldn't "live" in the lounge.

I also have had a work colleague who was a subtenant. She was not allowed to contact the landlord directly to sort out repairs or request things, and wasn't given his details by the tenant. When the tenant decided to move she was given notice by the tenant. The property had 3 spare bedrooms and the tenant was only one single person so it would be obvious to the landlord that this person would very likely sublet one or two of the other bedrooms especially as the place was in London.

One major problem is that the landlord of the property has to give any tenants and subtenants reasonable notice if they wish to enter the property so if you know someone else is living in the property and they refuse to let you into "their" living space because they claim they "rent" it, then you could have problems especially as the tenant asked if she could have a "flatmate". So I would just draw up a new contract.

prudryden

Lot of BS on this board. Just do it the right way and put the new tenant on the lease. Everyone is happy and covered.

clutton_2

i never allow anyone to be a "guest" in my props - they are very casual visitors or they are on the AST

silvercar

clutton wrote:

i never allow anyone to be a "guest" in my props - they are very casual visitors or they are on the AST

Without installing CCTV how do you draw the line between a casual visitor and someone moving in?

Also there is the protection of the original tenant to consider. If the AST becomes a joint one, the original tenant will lose the right to be the one that remains in the property should the relationship flounder.

What would you do if the new tenant failed a credit check or if the guarantor of the first tenant was not happy to act as guarantor of the joint tenancy?

silvercar

prudryden wrote:

Eh??? Why would any LL rent to anyone with bad credit? Since the parties are jointly and severably liable, any guarantor can be held responsible for the whole rent.

That's my point. First tenant has been credit checked and has credit checked guarantor. If second tenant fails credit check and/or guarantor is not prepared to guarantee rent for a joint tenancy, I would have little option but to refuse to agree to a joint tenancy.

So what do I then do? End tenancy next Summer? Culdn't do anything before then as first tenant has a year's contract. Tell tenant that others can't stay over? or can only occasionally? But that's not "quiet enjoyment" is it if I interfere?

Why would I want to stir up a hornet's nest, when I have one happy tenant who pays rent on time? Its also a question of timing. By next Summer this partner could be gone, so no point stiring up trouble now.

I think on balance the time to consider will be when the tenancy comes up for renewal.

scrummy_mummy_2

Anyone who permanently lives in a rented property alongside the person named on the tenancy agreement who is over the age of 18 COULD have legal rights relating to a tenancy that has been signed by the 'prime tenant'.
This means, wives, husbands, children, partners, friends etc.

Another way around the problem is to write to the tenant whose name is on the AST naming the proposed sub letter as a permitted occupier. This says that the Landlord knows the additional individual is living at the property (by living it is usually deemed as the address you are registered at to vote, where you spend the majority of you time and where you receive post).
From the LL perspective it means that the LL has conferred no tenancy rights to that party. The rights remain solely with the prime tenant.
If the prime tenant then wants to take money from the permitted occupier (which might be called rent!) that is up to them, but NO LEGAL RIGHTS HAVE BEEN GIVEN/CONFERRED by the LL OR the prime tenant. Thus, if the LL needs to regain possession, he can lawfully ask the prime tenant to leave (within the confines of what he is legally allowed to do) and the permitted occupier cannot claim any tenancy rights. They will also be required to leave.
If you draw up separtate legal agreements you will confer tenancy rights to the sub letter and it is a legal nightmare.
If I have tenants who are partners or who have children/friends over the age of 18 who want to rent a house on one salary, I will always name the partner/wife as permitted occupiers so (if they split up and separate!) the second party has no rights to continue the tenancy and I can evict/repossess as necessary cleanly/quickly.

Summary:
DO NOT ALLOW SUB LETTING in a legal form!!!!!
Allow your tenant to let another party stay as a permitted occupier at the property with your named,written consent...if they (the prime tenant) then decide to ask the permitted occupier for money towards the rent...that's their issue and a 'casual' rather than formal arrangement.
If they need a second person to contribute to the rent to make the numbers work...you shouldn't be giving the prime tenant the tenancy in the first place as they can't afford it themselves!