Landlord increasing rent

KILL_BILL

The estate agents have sent me a letter stating that the landlord is putting the rent up by £30.00 a month.

Does a new contract have to be signed by both parties to show the revised sum. I was in a 12 month contract and is now on a 2 month notice continuing by either side.

i am also claiming hb so wonder if the council will accept the letter by the estate agents informing of therquired increase or what other eivdence will they need ?

Notmyrealname

No a new contract does not have to be signed by both parties - the LL merely needs to give notice as has been done.

The council will accept the letter but it doesn't mean you'll get more money as there are limits on what they will pay.

HappyMJ

If your LHA rate is higher than your current rent then the council will require proof that the rent has increased. You do not need to sign another agreement it can just continue on a periodic tenancy. I would suggest that as you are on HB you consider signing another fixed term as it will give you more security for a period of time. However, you should try and negotiate the rent down as much as possible. If you are a good tenant the landlord might agree to only up the rent by half the amount they are asking.

rentergirl

So sorry this has happened. so Grant Shapps: another example of falling rents....

G_M

What does your original 12 month tenancy agreement say about rent increases?

If, as appears from your post, your original fixed term has ended, you have a Periodic Tenancy. The terms of this are exactly as your previous FT tenancy, except for the Notice requirements. (though you only have to give one months notice, not two - the LL has to give you two).

If the original FT agreement has a clause giving details of when, and by how much, the rent can be increased, then that must be followed. Check.

If there is nothing in your original FT tenancy about rent increase, then the LL has to issue you with a S13 Notice. Is that what you have received? This must give you a full rental period notice before it takes effect. You can, of course, negotiate with the LL for a lower )or zero) increase - he may prefer this to the risk of losing a tenant.

How does the new rent compare with rents for similar local properties?

More here.

Note that once you start paying the new rent, it will be assumed in law that you have agreed to it.

HAMISH_MCTAVISH

rentergirl wrote: »

falling rents....

:rotfl:

There's no chance of that.

https://forums.moneysavingexpert.com/discussion/3893393

Absolutely no chance at all....

littlegreenroundthings

"Landlords are facing a tougher time as rents have dipped and the cost of mortgages has risen. The average monthly rent in England and Wales was £707 in February, down 1.6 per cent from its peak of £719 in October 2011, according to LSL Property Services, owner of letting agents Your Move and Reeds Rains." Source: thisismoney.co.uk 3/4/2012

HAMISH_MCTAVISH

littlegreenroundthings wrote: »

Source: thisismoney.co.uk 3/4/2012

Yes, quoted from the LSL rental index.

Which shows rents dip in winter every year... Although remarkably they rose in Jan this year for the first time ever.

But don't confuse short term noise with long term trajectory. Rents will inevitably rise with an additional 1.1 million rental houses needed by 2016 and not a hope in hell of providing them.

G_M

Which is all very interesting but so far as the OP is concerned, all that matters is the average rent being charged as of this month for a similar property in the same locality.

littlegreenroundthings

HAMISH_MCTAVISH wrote: »

Yes, quoted from the LSL rental index.

Which shows rents dip in winter every year... Although remarkably they rose in Jan this year for the first time ever.

But don't confuse short term noise with long term trajectory. Rents will inevitably rise with an additional 1.1 million rental houses needed by 2016 and not a hope in hell of providing them.

I note that the figures you quote are from a report by Savills and Rightmove, who have a vested interest in promoting buy to let to potential purchasers. I wouldn't be crowing about a 4-7% yield with this amount of downside risk.

Even those in the trade are concerned:
At the Stratford branch of Winkworth, an agent told me: "I am going to have to employ someone else to cope with putting up all the properties that are coming in on the market. There are more landlords than tenants." There are also risks once the games are over: "After the Olympics there will be so many properties available, it might take a long time to find replacement tenants and rents might go down." Source: Guardian 7.4.2012

This would also be a concern for me if loaded up with BTLs - don't underestimate the current rental market's reliance on some form of benefit:

Changes from January 2012: The shared accommodation rate currently applies to single people under the age of 25 living in accommodation that they rent from a private landlord. This will be extended to people aged under 35. This means that single people under 35 will no longer receive Housing Benefit based on one bedroom self-contained accommodation.

Changes from April 2013: Housing Benefit will be restricted for some people who are living in a property that is larger than their household size. This will apply to working-age customers renting from a social landlord. Source: Direct.gov.uk

It's hard to find any property-based investment currently that offers any significant return with limited risk.

Notmyrealname

littlegreenroundthings wrote: »

I note that the figures you quote are from a report by Savills and Rightmove, who have a vested interest in promoting buy to let to potential purchasers. I wouldn't be crowing about a 4-7% yield with this amount of downside risk.

Even those in the trade are concerned:

Are they? Seems to be in complete contradiction to a few LL boards I'm on. Plenty of talk of rental increases.

You are cherry picking by talking about one area of one city in the UK. Meanwhile outside of East London in the rest of the country.....

And as I've stated plenty of times, I don't know what the LHA is in my area, I have no interest in what the LHA is in my area. The rent is the rent and if you can't pay it I'll find someone who can and there are plenty wanting somewhere.