What Happens after a year - 'Rental'

prudryden

franklee wrote:

You haven't named the agent, if you did I may be able to help a bit if it's an agent whose contract I've seen. Your terms are unusual, whether or not it works would depend on the contract which we haven't seen. There is nothing we can really do for you to answer these questions. I suggest Kuztardd ignores your contract as it doesn't apply to him.

How do you see my terms are unusual? It's a simple AST with a 6 month break clause. The only difference is that the tenants have to give me two months notice to terminate early instead of one.

I never suggested to Kuzt that he follows my contract. He has a contract which terminates in April. The LL may give him notice before 31 January to terminate on 31st March. If it goes past the term of contract, then the landlord still must give two months notice and the tenant one month notice. Why is this getting so complicated?

The agents are Winkworths.

franklee

prudryden wrote:

How do you see my terms are unusual? It's a simple AST with a 6 month break clause. The only difference is that the tenants have to give me two months notice to terminate early instead of one.

What we have been discussing in this thread, for Kuztardd, is what happens if he goes onto a statutory periodic tenancy with a valid expired S21 in place.

Your contract I'm talking about as being unusual is what you've called the memorandum of extension which sounds like it isn't a statutory periodic tenancy. From what you've said I'm not even sure if your "extension" is a new fixed term or a contractual periodic tenancy. It seems to last for a year yet allow the tenant to give notice any month. Simply put I do not know enough about it.

prudryden wrote:

I never suggested to Kuzt that he follows my contract.

I never suggested you did. However it's clear that there is a lot for Kuztardd to take in so I mentioned for Kuztardd that your case should be ignored as it doesn't apply to him.

prudryden wrote:

He has a contract which terminates in April. The LL may give him notice before 31 January to terminate on 31st March. If it goes past the term of contract, then the landlord still must give two months notice and the tenant one month notice. Why is this getting so complicated?

You have completely missed the point we are discussing which is given the S21 has already been issued to expire after 29/03/2007 what happens to Kuztardd especially given he doesn't want to sign up to another fixed term. If he goes on to a statuary periodic tenancy then the S21, issued last March at the start of the tenancy, is still valid.

I can't emphasise enough that if you want so see how landlords use this then go to landlordzone and search the discussion forum for Sword of Damocles.

prudryden wrote:

The agents are Winkworths.

Ah right, we do have Winkworths round here but they are only recently arrived so I haven't seen their contract. They have taken over a local agent's branch that recently shut down. In fact they did take on my previous landlords property so that's very interesting. Are you using their standard contract or have you had it tailored for yourself? I'll be passing that branch in February so may blag a contract off them if I can to see what it says.

jennien

Hi guys, I notice you seem to know a lot about the periodic tenancy, so I have a question about renewal fees and periodic tenancies.

Our 12-month AST ends on 18 February (we are the tenants) - we know that we do not have to renew through the estate agent, but they seem to claim that they are owed a renewal fee (11% of a year's rent!!) even if we sign a new contract privately with the landlord.

If we did nothing i.e. let the AST roll into a periodic tenancy, do we have to give the estate agent ANYTHING? I.e. is a periodic tenancy a "renewal" of the old AST or not?

We are friendly with the landlord and we all trust each other, and from what I can tell the periodic tenancy is NOT an agreement, but basically the landlord accepting money from us and him letting us live in his house in peace (which we are all happy to do).

Can anyone tell me if either the landlord or tenant have to pay any renewal fees if the AST becomes a statutory periodic tenancy?

FYI, the agent's policy about renewals commission applies to "renewals, extensions or holdovers of the current tenancy agreement or a new agreement between the landlord and the current tenants".

Note that the agent does NOT manage the property and does NOT collect rent. All they did was show us around a house 12-months ago and now they think they can get nearly £2000 out of doing nothing?!

franklee

jennien wrote:

Our 12-month AST ends on 18 February (we are the tenants) - we know that we do not have to renew through the estate agent, but they seem to claim that they are owed a renewal fee (11% of a year's rent!!) even if we sign a new contract privately with the landlord.

If we did nothing i.e. let the AST roll into a periodic tenancy, do we have to give the estate agent ANYTHING? I.e. is a periodic tenancy a "renewal" of the old AST or not?

FYI, the agent's policy about renewals commission applies to "renewals, extensions or holdovers of the current tenancy agreement or a new agreement between the landlord and the current tenants".

Note that the agent does NOT manage the property and does NOT collect rent. All they did was show us around a house 12-months ago and now they think they can get nearly £2000 out of doing nothing?!

There's a couple of threads on landlordzone that should assist you:

http://www.landlordzone.co.uk/forums/showthread.php?t=4768

http://www.landlordzone.co.uk/forums/showthread.php?t=853

I'd be interested to hear how you get on.

prudryden

>>>b) You can up and leave at any time you like after 29/03/07 without giving notice as the S21 was the notice asking you to leave and you are simply complying. The posts saying you still need to give notice in this case are wrong! - Franklee Post<<<<
_____________________________________________________________________

Perhaps this is why my agents don't issue an S21 at the beginning of an AST. It is only issued when there is a problem and I want them to leave and will give them two months to find new accomodations.

I certainly would not want tenants just leaving without any notice on their part unless it was beneficial for me as well.

prudryden

jennien wrote:

Hi guys, I notice you seem to know a lot about the periodic tenancy, so I have a question about renewal fees and periodic tenancies.

Our 12-month AST ends on 18 February (we are the tenants) - we know that we do not have to renew through the estate agent, but they seem to claim that they are owed a renewal fee (11% of a year's rent!!) even if we sign a new contract privately with the landlord.

If we did nothing i.e. let the AST roll into a periodic tenancy, do we have to give the estate agent ANYTHING? I.e. is a periodic tenancy a "renewal" of the old AST or not?

We are friendly with the landlord and we all trust each other, and from what I can tell the periodic tenancy is NOT an agreement, but basically the landlord accepting money from us and him letting us live in his house in peace (which we are all happy to do).

Can anyone tell me if either the landlord or tenant have to pay any renewal fees if the AST becomes a statutory periodic tenancy?

FYI, the agent's policy about renewals commission applies to "renewals, extensions or holdovers of the current tenancy agreement or a new agreement between the landlord and the current tenants".

Note that the agent does NOT manage the property and does NOT collect rent. All they did was show us around a house 12-months ago and now they think they can get nearly £2000 out of doing nothing?!

What does your Landlord say about that?? Surely, he is the one who pays the agents their ongoing renewal fees, NOT you. Or is this some sort of new set up that I am unaware of?