Landlord wants us to pay to renew tenancy after 4 years

jovichick123

Hi all,

Wondered if you could possibly offer a bit of advice We have been tenants in our current property since April 2009 and have only ever signed one agreement (the initial one when we moved in). I have had a letter this morning from our letting agent (who is also our landlord) saying we need to renew our tenancy agreement and pay £145 to do so at the end of April. I am not happy and would like to know my options before I speak to him. Do I have to sign a new agreement after so long and is £145 not a bit excessive?

Thanks in advance

Lokolo

Ignore it if you don't want to pay it. You are now most likely in statutory periodic tenancy, which means you have a months notice rather than a fixed term of 6/12 months.

They just want some extra money from you.

Werdnal

Lokolo wrote: »

Ignore it if you don't want to pay it. You are now most likely in statutory periodic tenancy, which means you have a months notice rather than a fixed term of 6/12 months.

They just want some extra money from you.

No, do not ignore it - you will likely get notice by return as an SPT allows LL to give you notice aswell! You are already on an SPT anyway, so ignoring won't make the LL's request go away, the same as ignoring a renewal at the end of the FT would allow you to gain an SPT on its expiry.

Speak to them, ask why the sudden decision to ask for a new fixed term agreement when you have both been happy to continue on SPT for so long. When was your rent last reviewed? LL may be trying to impose a new FT in a ham-fisted way of introducing a rent increase. He has no need to do this, as he can increase rent anyway through correct notice to you.

Did you pay a deposit? Has it been protected and were you given the full info from the scheme used? LL may also be trying to get you to sign a new agreement to hide the fact that he has not protected the original deposit - he is wrong, as he cannot protect it now even under a new agreement.

Until you discuss it with him you will never know, so make the call and find out his reasons.

Lokolo

Werdnal wrote: »

No, do not ignore it - you will likely get notice by return as an SPT allows LL to give you notice aswell! You are already on an SPT anyway, so ignoring won't make the LL's request go away, the same as ignoring a renewal at the end of the FT would allow you to gain an SPT on its expiry.

None of this is relevant as the OP has likely been on one for the past 3 years anyway. So if the landlord wanted the OP out they wouldn't be asking for a new fixed term contract, they'd be giving them notice!

Speak to them, ask why the sudden decision to ask for a new fixed term agreement when you have both been happy to continue on SPT for so long. When was your rent last reviewed?

The OP has already said it has never been renewed since their first contract. The sudden decision is to try and get more money out of the OP.

Did you pay a deposit? Has it been protected and were you given the full info from the scheme used? LL may also be trying to get you to sign a new agreement to hide the fact that he has not protected the original deposit - he is wrong, as he cannot protect it now even under a new agreement.

Again, nothing to do with the OP's position.

Werdnal

Lokolo wrote: »

None of this is relevant as the OP has likely been on one for the past 3 years anyway. So if the landlord wanted the OP out they wouldn't be asking for a new fixed term contract, they'd be giving them notice!



The OP has already said it has never been renewed since their first contract. The sudden decision is to try and get more money out of the OP.



Again, nothing to do with the OP's position.

LL may issue notice IF tenants ignore request to re-sign, so best to discuss it and not ignore. Yes, LL could have issued it at any time until now, but anagonising them by ignoring it may just prompt a notice in return - hiding head in sand does not solve anything!

OP will never know LL's reason for asking for renewal if they do not ask. OP discuss it, talk it over like the adults you and your LL obviously are and negotiate on the renewal fee - please do not hide, ignore, pretend you haven't received it as this will not help your LL/Tenant relationship one bit!

If LL has not protected the tenant's deposit, they may be trying to get them to sign another agreement to try to allow them to protect it now so it is relevant to the situation. Furthermore, LL cannot actually issue a valid S21 notice without deposit being protected, or returned, so this too is relevant to the OP's situation. If deposit has not been protected, OP can use this as a bargaining point for not paying the renewal.

I was merely pointing out possible reasons why this sudden decision to renew has landed on OP's doormat, and whilst I may be well off the mark, OP will never know until they ask!

thelem

Both above posters are correct - if you refuse to sign the new agreement then the landlord can choose to have you evicted. Doing so is just cutting off their nose to spite their face though - they'd lose their existing good tenant, have to pay marketing costs and potentially lose a period of rent and bring forward renovation/redecoration.

Are you sure that your letting agent is the same as your landlord - i.e. if you checked the land registry then it would show the property as being owned by your letting agent? Often letting agents ask for contract renewals, as if you renew they'll get a renewal fee from you and the landlord, and if you don't renew they'll get marketing fees from the landlord. It's win-win for the LA, but the LL often doesn't know that there is no need for the new contract.

jovichick123

Hi,

Thanks for your replies I fully intend to speak to LL, just wanted to know my position first. My LL is definitely the same as LA, he owns the LA lol it has come off the back of a gas check last week where the engineer sad we need a boiler replacement.

Will ring LL tomorrow and see what he says

G_M

Read:

Ending/Renewing an AST (what happens when the Fixed Term ends?)(What is a Periodic Tenancy?)(How can a LL remove a tenant?)(How can a tenant end a tenancy?)

Stujclark

Seriously, do not ignore it (what a stupid bit of advice that was)....If the landlord wishes to have your references checked using a referencing company and take out Rental Guarantee Insurance, then no, I wouldn't say it was excessive, especially as the cost of moving to a new home would far exceed £145.

Maybe he is being a bit greedy but, he is in business after all, and when you weigh up your options, paying the £145 is financially the better one, all I would say is try and get him to agree a resigning fee amount now for when this new one ends.

ToasterScheme

jovichick123 wrote: »

It has come off the back of a gas check last week where the engineer sad we need a boiler replacement.

Only guessing - but this is probably key.

LL has suddenly found out he is going to need to spend £000s (possibly borrowed) on a new boiler to keep the house habitable.
From his point of view, it is now suddenly very important to be sure the tenant is going to stay for another 6/12 months - hence the request to lock you in.

Of course, it is still up to you how to play it and you should talk to him. However, whereas up to now you have been the sitting tenant and "his best option" - he might now think that someone else who would sign for 12 months is more attractive than you, if you choose not to.

As I said, only guessing.