Notice of rent increase

pineapple123

Hope someone on here can give me some advice for a friend.

Tenancy up for renewel end of this month landlord wants to increase the rent, tenants only just notified, they have a tenancy that stipulates that 2 months notice is required for vacating property by either tenant or landlord not that they want to leave but is it correct that landlord can only give a few weeks notice of rent increase.
Friend was handed a letter informing of notification of rent increase by landlord today but reading through it noticed letter was dated end of last month.

Any advice anyone, if landlord is acting correctly, should tenants have more time to adjust payments or work out affordability of staying in this property.

Landlord does not go through any letting agency, and as far as I am aware no problems from tenants or landlord In fact begining of tenancy landlord agreed lower monthly rent than originally advertised so friend doesnt want to upset landlord.

Thanks pineapple.

jjlandlord

[Assuming England or Wales]

The landlord's letter is not a notice at this point and does not mean that tenant must pay an increased rent.
It should basically be viewed as a proposal.

pineapple123

jjlandlord thanks for the info please could you explain this abit more please. do you mean it can be negotiable.

G_M

You do not make it totally clear but it appears
* the tenant has a fixed term tenancy (6? 12? months) which ends shortly?
* the LL has offered the tenant a new fixed term (another 6? 12? months) at a new rent?
* if so, the tenant can

a) agree, sign the new FT tenancy and pay the new rent
b) negotiate and sign a new fixed term at same rent as before, or somewhere in between
c) decline to sign any new fixed term, stay, and move to a periodic tenancy at same rent as now.

As for notice, th tenant can leave at the end of the current fixed term without any notice, the LL must give the tenant a S21 Notice 2 months in advance.

More detail here.

pmlindyloo

G_M wrote: »

You do not make it totally clear but it appears
* the tenant has a fixed term tenancy (6? 12? months) which ends shortly?
* the LL has offered the tenant a new fixed term (another 6? 12? months) at a new rent?
* if so, the tenant can

a) agree, sign the new FT tenancy and pay the new rent
b) negotiate and sign a new fixed term at same rent as before, or somewhere in between
c) decline to sign any new fixed term, stay, and move to a periodic tenancy at same rent as now.

As for notice, th tenant can leave at the end of the current fixed term without any notice, the LL must give the tenant a S21 Notice 2 months in advance.

More detail here.

I recognise you as a well regarded and knowledgeable poster but I would welcome your comments as regards ending a fixed term tenancy. You say you do not need to give any notice. However, I believe that Shelter say that whilst this may be true in most circumstances you should check your contract to see if it requires you to give notice. Have they got it wrong?

clangnuts

A few years back the letting agent I was renting through would suggest a rent increase every year. I refused every time, and they backed down.

It was always worded as it was a given, but I held my nerve - and they always backed down.

Suppose it depends on the local rental market. Could they find new tenants instantly?

junglejim2

What do you mean by a few weeks notice?
How much is the increase?
How does the rent line up with similar properties?
Has the rent be comparatively cheap hitherto? You mention rent was reduced out the outset.

pineapple123

Thanks guys for all the replies, friends needed to work out affordability within the timeframe given by landlord (2 weeks). Rent gone up to original asking price (from average rental price for area which landlord agreed to to now abit more expensive than simular properties), rolling 6 month contract into 2nd year so I suppose enevitable increase but its what they see as short notice of increase that they felt was unfair also with letter backdated why they were not informed sooner. Money is tight so I can understand the panic.

Thanks again everyone. Told friends to speak to landlord maybe come to another agreement meet them halfway etc.

silvercar

Rent increase by serving a correct notice called section 13. Would give you one month's notice (to end at the end of a rent period). Only one rent increase in a year. So in theory the landlord could serve notice after 11 months of a fixed 1 year tenancy to increase the rent at the end of the year's fixed term. If another fixed term is starting then the new tenancy agreement would have the new rent.

So tenant would have at least 1 month's notice of rent increase. If it coincides with the end of the fixed term, tenant could leave at end of term. If the contract is already periodic, tenant would have to give 1 month's notice (to coincide with end of rent period) to leave.

Section 13 details how to appeal to council private rent officer, so if they do this they could stay on old rent while they find new home.

jjlandlord

silvercar wrote: »

So in theory the landlord could serve notice after 11 months of a fixed 1 year tenancy to increase the rent at the end of the year's fixed term.

A s.13 notice cannot be served while the tenancy is a fixed term tenancy.

pmlindyloo wrote: »

You say you do not need to give any notice. However, I believe that Shelter say that whilst this may be true in most circumstances you should check your contract to see if it requires you to give notice. Have they got it wrong?

Whatever the contract says a fixed term tenancy by definition ends when the term expires. Then the Housing Act 1988 states that a statutory periodic tenancy will replace it only if the tenant remains in occupation.

G_M

pmlindyloo wrote: »

I recognise you as a well regarded and knowledgeable poster but I would welcome your comments as regards ending a fixed term tenancy. You say you do not need to give any notice. However, I believe that Shelter say that whilst this may be true in most circumstances you should check your contract to see if it requires you to give notice. Have they got it wrong?

Simple. 'Fixed Term' means it has a start date and.... a fixed term. So when the fixed term is over, the contract ends. That is basic contract law.

Note that a S13 Notice to increase the rent is irrelevant during the Fixed Term - it only applies during a subsequent Periodic Tenancy.