Landlord wants to increase rent by 35%!!

blunt_crayon

Hi all,

Hoping for some advice as have just received the horrendous news that our landlord wants to increase our rent by 35%.

I moved into the property midway through the tenancy only 2 months ago and betweeen 3 tenants we are paying £300 a week for the property. The landlord now says because he hasn't increased the rent in 10 years he has had the property valued and has received advice from estate agents that it would fetch £465-500 a week. He therefore proposes to increase the rent to £400 a week if we want to renew the tenancy in January which is an increase of a third and equates to £140 a month extra per tenant! Which he claims is at a discount of 20% off the market rate..!

The rent is cheap for the area (South Hampstead) but the flat is in a run-down block that backs onto train lines, is very noisy with thin walls, etc. All the other flats on our side of the street are council flats and therefore there aren't many comparable rents on the open markets. We feel the flat has been ridiculously over-valued and Zoopla agrees:

http://www.zoopla.co.uk/property/flat-4/hampton-house/109-belsize-road/london/nw6-4ah/17248038

But I don't think we'll have much luck convincing him that if he's convinced he could get £500 a week for it. I don't expect there's much we can do but if there's any advice anyone can offer on negotiating the rent down that would be much appreciated.

Ironically I just moved out of a really nice house into this much less nice flat as felt that was too expensive at £450 a week and they wanted to up the rent by 5%... little did I know that this guy would do this - surely he should have warned me before I moved in?? Gutted

RAS

When did the tenancy begin? When does it end? Assume it is a AST?

HappyMJ

I'd take zoopla figures with a big pinch of salt. They are worthless. If he wants to increase the rent outside of your fixed term then he can do so. You can then choose to pay it or not. He'll most probably evict you if you don't pay it.

G_M

blunt_crayon wrote: »

I moved into the property midway through the tenancy only 2 months ago .....

The rent is cheap for the area (South Hampstead) but the flat is in a run-down block that backs onto train lines, do this - surely he should have warned me before I moved in?? Gutted

So I take it
a) you are not on the tenancy agreement? As you cannot be the tenant who signed the agreement originally?
b) you are a sub-tenant (or more likely a lodger) of the actual tenant? - Does the tenancy allow for sub-leting?

Did you pay a deposit? To who? The landlord? The actual tenant? What is the set up here?
When you say 'midway through the tenancy' how long is the tenancy? Start date? End date?

Much more info needed.

If you moved, could you find somewhere else at the current rent? If you moved, could the landlord find someone else to pay the increased rent?

blunt_crayon

G_M wrote: »

So I take it
a) you are not on the tenancy agreement? As you cannot be the tenant who signed the agreement originally?
b) you are a sub-tenant (or more likely a lodger) of the actual tenant? - Does the tenancy allow for sub-leting?

Did you pay a deposit? To who? The landlord? The actual tenant? What is the set up here?
When you say 'midway through the tenancy' how long is the tenancy? Start date? End date?

Much more info needed.

If you moved, could you find somewhere else at the current rent? If you moved, could the landlord find someone else to pay the increased rent?

Sorry, appreciate my post was a bit garbled, blame the shock.

I replaced a tenant who left in September and signed a new contract along with the 2 incumbent tenants, scheduled to end on the renewal date on 17 January. So I think/hope my name is on the tenancy agreement, but understand things are a bit complicated, as one tenant has been here 5 years, the other has been here since January, and I replaced the third tenant, who had been here for 4 years, 2 months ago.

I paid the balance of the deposit to the tenant who left. The landlord has proof of payment and holds the actual deposit. Again I *hope* this is as it should be. /panic

The AST tenancy ends on 17 January.

I could find somewhere for the same price or a bit more, but it would be hard. The rental market in London is insane, so maybe the landlord could find someone who would pay the rent he's proposing just to live in this area - although I do think many people would backtrack when they felt their teeth rattle when a train goes past, or heard the neighbours banging overhead (this is not a property for light sleepers).

Apart from anything I'm annoyed that I went to all the trouble and expense of moving house, specifically to save money, and from a house I loved (and caused my former housemates to decide to move on as well), only for my new landlord to increase the rent to the same value, more or less, and without any indication that he might do so when I was investigating the property!

All we can do, I think, is try to negotiate, and move, if not.

Do not pass go, do not collect £200

G_M

blunt_crayon wrote: »

Sorry, appreciate my post was a bit garbled, blame the shock.

I replaced a tenant who left in September and signed a new contract along with the 2 incumbent tenants, scheduled to end on the renewal date on 17 January. So I think/hope my name is on the tenancy agreement, but understand things are a bit complicated, as one tenant has been here 5 years, the other has been here since January, and I replaced the third tenant, who had been here for 4 years, 2 months ago.
It does not matter who has lived there for how long, what matters is the current tenancy. What did YOU sign? What date did the agreement you signed with the 2 incumbants start/end?

If it ends on 17 Jan, then the rent cannot be changed until then at the earliest.



I paid the balance of the deposit to the tenant who left. The landlord has proof of payment and holds the actual deposit. Again I *hope* this is as it should be. /panic No. You paid a deposit to some stranger who has gone. You will never see him again. As for the LL: you have not paid him a deposot. Never mind what proof the landlord has - what proof do you have?! If the LL refuses to refund your deposit you do not have a leg to stand on as you never paid him.

The AST tenancy ends on 17 January.As said above - you cannot be asked to leave, or to pay any increase in rent, till then.

If you signed the tenancy 2 months ago (August) you have an additional protection as no tenant can be evicted within 6 months. That's Feb aprox?

Though you posts are confusing. In one post you said "I moved into the property midway through the tenancy" but now you say "signed a new contract " which would of course superceed the previous tenancy. Which is it?

blunt_crayon

G_M wrote: »

If you signed the tenancy 2 months ago (August) you have an additional protection as no tenant can be evicted within 6 months. That's Feb aprox?

Though you posts are confusing. In one post you said "I moved into the property midway through the tenancy" but now you say "signed a new contract " which would of course superceed the previous tenancy. Which is it?

I signed a doc that the landlord provided when I moved in which states:

"The T&Cs of the amendment to this tenancy have been agreed between the landlord and the tenants, subject to any variations set out below, and are in accordance with the T&Cs of the original tenancy agreement.

Date 01/09/11 until 17/01/12

rent £1,300

deposit £1,300 being held by the landlord from the previous tenancy

other conditions - 1 month notice to terminate, with no minimum period

All other T&Cs of the original tenancy agreement remain unchanged."

Is that valid?

silvercar

How is the landlord intending to force the increase?

If by way of a new contract, then you either sign, refuse to sign and move or refuse to sign and wait for eviction.

If the increase is coming by way of a section 13 notice and the existing tenancy is becoming a periodic tenancy then the landlord cannot increase the rent until 12 months after the last increase or start of the tenancy. I'm not sure whether you joining the existing tenancy allows your 12 months to start from when you joined or not.

nollag2006

Rents are rising rapidly right across London, especially in a premium area like South Hampstead. £400 a week for a 3 bed ex-LA flat still sounds like a bit of a bargain. Think carefully before you engage in any of the more combative options that some have suggested above.

jjlandlord

blunt_crayon wrote: »

other conditions - 1 month notice to terminate, with no minimum period

If we assume this is a break clause, the LL may terminate the fixed term at any time with just a month notice.

silvercar wrote: »

If the increase is coming by way of a section 13 notice and the existing tenancy is becoming a periodic tenancy then the landlord cannot increase the rent until 12 months after the last increase or start of the tenancy.

I think the 52 week period from the start of the tenancy does not apply to statutory periodic tenancies. c.f. HA1988 s.13(2)(b).

blunt_crayon

Thanks for all the responses. I think it's pretty much as we thought, that we can't do much as once the AST comes to an end on 17 Jan, he can charge whatever he wants, assuming he can find someone to pay it. So we either pay what he dictates or vacate the property.

We'll try and negotiate with him but if he won't budge, then looks like I'm moving again