Rented House rent increase ? breach tenancy UPDATE

bingy_burge

My landlord has proposed through his agent an increase from £795 to £835. From the 1st august 2012.

We have been in 7-8 months on an assured tenancy which is now a periodic. The tenancy agreement contains the following conditions on rent increases:

tenancy agreement clause 1.7 Rent, sub-section 1.7.8.1 ‘if for any reason the Tenant remains in possession of the property, or a lawful tenant for more than 12 months, then the rent will increase once each year.

subsection 1.7.8.2 ‘The first increase will be rent due date more than 365 days after the commencement date’

I would therefore suggest this proposal is in breach of our Tenancy Agreement. In order to comply with the agreement any increase would be from the 1st October 2012 and not the 1st August 2012.


Is that correct they have issued a section 13 notice on friday. I was also told by another agent that statute does not allow rental increases inside the first 12 months but can not find such a law.

Can anyone help?

marliepanda

bingy_burge wrote: »

My landlord has proposed through his agent an increase from £795 to £835. From the 1st august 2012.

We have been in 7-8 months on an assured tenancy which is now a periodic. The tenancy agreement contains the following conditions on rent increases:

tenancy agreement clause 1.7 Rent, sub-section 1.7.8.1 ‘if for any reason the Tenant remains in possession of the property, or a lawful tenant for more than 12 months, then the rent will increase once each year.

subsection 1.7.8.2 ‘The first increase will be rent due date more than 365 days after the commencement date’

I would therefore suggest this proposal is in breach of our Tenancy Agreement. In order to comply with the agreement any increase would be from the 1st October 2012 and not the 1st August 2012.


Is that correct they have issued a section 13 notice on friday. I was also told by another agent that statute does not allow rental increases inside the first 12 months but can not find such a law.

Can anyone help?

I assume your tenancy is 12 months yes? I don't believe he can raise the rent within your initial fixed term, you've signed up to 12 months at that rate.

You can refuse the rent increase if you want, even at the end of your fixed term. He could then of course issue a s21, but you do not have to agree to the increase.

Also, yep, according to your agreement it hasnt been 365 since you commenced your tenancy. I would send a copy of this page back to him with that highlighted :P Do you go through an agent?

bingy_burge

no tenancy was 6 months from 14th sept 2011, hence it is now periodic.

marliepanda

bingy_burge wrote: »

no tenancy was 6 months from 14th sept 2011, hence it is now periodic.

Sorry read 'now' as 'not' :eek:

I will still highlight to him that subsection about 365 days. Not sure if that can be overridden with a s13... either way you can always refuse.

A decent landlord (in my opinion) would rather have a good tenant that an extra £40 a month... One void period of a month would take 20 months to recoup at the new rate...

G_M

You say the tenancy is now periodic.

Please tell us:
* date fixed term started
* length of fixed term or end date of fixed term.

However I suspect you had a 6 month FT, and are now periodic.

Since the tenancy allows for a rent increase after a year (365 days) the rent cannot be increased util the anniversary of the start of your inititial FT.

Either simply ignore and continue to pay the original rent, or write back explaining you will be happy to pay the increased rent from XX date (1 year from strat).

HOWEVER - be aware that if the LL is not happy with this, and since your tenancy is periodic, you could be given 2months notice via a S21 instead!

Has this come from the agent or the LL?

theartfullodger

Landlord (or tenant..) can propose the rent changes at any time: The other party (tenant or landlord) could agree in which case the rent change happens (rent up OR DOWN!!).


However, as stated, LL can't enforce a change before 12 months is up, but can enforce an eviction through section 21 (a present from Thatcher...) before 12 months is up.

bingy_burge

G_M wrote: »

You say the tenancy is now periodic.

Please tell us:
* date fixed term started
* length of fixed term or end date of fixed term.

However I suspect you had a 6 month FT, and are now periodic.

Since the tenancy allows for a rent increase after a year (365 days) the rent cannot be increased util the anniversary of the start of your inititial FT.

Either simply ignore and continue to pay the original rent, or write back explaining you will be happy to pay the increased rent from XX date (1 year from strat).

HOWEVER - be aware that if the LL is not happy with this, and since your tenancy is periodic, you could be given 2months notice via a S21 instead!

Has this come from the agent or the LL?

so called proffessional letting agent as they manage it. They have stopped doing inspections as well which the landlord pays for. I have alsom been waiting 6 months for drains to be repaired as they are blown pitchfibre and have blocked 8 times!

They are member of ARLA surely the have a code that you cant breach the tenancy. The period was fixed for 6 months so they can terminate in 2months I know but seems futile. I seriously cannot see them getting £835 on open market here as that is 4 bed territory and this is detached 3 bed in need of some modernising.


No one can tell me if a section 13 notice can override a tennacy then?

It_can_get_better

I think this one will come down to interpretation. Is there anything else in the agreement about rent?

Rent can be increased within the first 12 months. Even in the fixed term it can be increased if the tenant agrees to it.

Just to clarify, did you have an assured shorthold or an assured tenancy?

bingy_burge

It_can_get_better wrote: »

I think this one will come down to interpretation. Is there anything else in the agreement about rent?

Rent can be increased within the first 12 months. Even in the fixed term it can be increased if the tenant agrees to it.

Just to clarify, did you have an assured shorthold or an assured tenancy?

assured shorthold,
6 months

No it just says that and states the rent as £795, it doesnt make mention to the fixed period in the rent section. Just says it will be reviewed as per the above clauses and if its not increased after the 1st payment due after 365 days the landlord retains the righ to increase.

It_can_get_better

It appears that once a tenancy becomes statutory periodic any rent increase clause is overridden by s13, so i'm afraid it looks like they can increase the rent after the fixed term when they choose.

http://www.bailii.org/ew/cases/EWHC/Admin/2009/1367.html

bingy_burge

It_can_get_better wrote: »

It appears that once a tenancy becomes statutory periodic any rent increase clause is overridden by s13, so i'm afraid it looks like they can increase the rent after the fixed term when they choose.

http://www.bailii.org/ew/cases/EWHC/Admin/2009/1367.html

So its as good as toilet paper!:mad:

Its shouldnt be so, I have stated in my letter that i am willing to negotiate on increase from the 1st Oct 2012 and higlighted that page. I will let peeps know how I get one.