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Putting up rent after signing contract? Please read

dandy-candy
dandy-candy Posts: 2,214 Forumite
Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
edited 11 August 2013 at 7:02PM in House buying, renting & selling
I hope someone can help with this.
My DS and 3 friends are due to move into a house near their uni on September 2nd. They signed a contract through a letting agency for £360 a week and also had to pay an agents fee. They all signed a contract two months ago, but on friday (9th aug) the agents emailed saying they wanted them to sign a new contract for £374 a week.
When one of the friends rang to ask whats going on, the agents said that until they move in they can change the price as often as they like?! Is this right? What is the point of signing a contract if they can change it? Please help as they can't afford it and have little time to find anywhere else.
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Comments

  • They signed the contract but did the landlord or the agent they represent?
    I wouldn't be prepared to sign a new contract as once they have done so, the agent could ask them to sign new ones increasing the rent on a weekly basis until September.

    I would consider not responding to this email at all if they believe they have a legally-binding contract. Agents often prey on the naive and inexperienced and this one sounds particularly predatory
  • grifferz
    grifferz Posts: 568 Forumite
    Part of the Furniture 500 Posts Name Dropper Combo Breaker
    the agents said that until they move in they can change the price as often as they like?! Is this right?
    Once both parties have signed the tenancy agreement the terms of it can't be changed until it's time for renewal. If the landlord hasn't signed it yet then it can still be changed.
  • dandy-candy
    dandy-candy Posts: 2,214 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    edited 11 August 2013 at 8:13PM
    I'm not sure if the landlord did sign, but the tenants signed two months ago and so did all the parents as guarantors. I will be really shocked if the landlord hasn't signed because I can't see any reason for him not to unless he was planning on messing about at the last minute.
    Does their request for them to sign a new contract make the old one void? They don't want to look elsewhere for a house and sign a new contract if the landlord then goes ahead and signs the one they signed two months ago. What do we do?
  • dimbo61
    dimbo61 Posts: 13,727 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 11 August 2013 at 9:44PM
    Have they paid a deposit and is the deposit/s registered with the DPS and the perscribed information given to them ?
    You can check online with the 3/4 schemes
    Keep all emails and any letters you have.

    From MyDeposits !!!!

    Your landlord pays a deposit protection fee to mydeposits to formally protect your deposit within 30 days of receiving it.
    Your landlord can keep hold of your deposit in their bank account for the duration of the tenancy.
    Step 3 Proof of protection issued
    myDeposits Certificate Transfer right Landlord and Agent money
    mydeposits produces a deposit protection certificate to confirm that your deposit is protected and sends it to your landlord.
    Your landlord must sign the certificate and ask you to countersign it.
    You should receive a copy of the certificate and the mydeposits Information for Tenants leaflet within 30 days
  • dimbo61
    dimbo61 Posts: 13,727 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Can you speak to the Landlord direct?
    You can check on the Land Registry who is the LL
    I find it hard to believe that a LL would lose rent for 10 months from 4 students over £14 a week
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    It all hangson what commitment the landlord/his agent have made.

    If they have signed (as well as the tenants), then a contract is formed and can not be changed.

    However contract could have been formed in other ways. If it is clear from other actions/documentation that an agreement was reached (as to property to be provided in return for rent to be paid) then that could be the basis of a mutually binding contract.

    What have they already paid? What receipts, saying exactly what, were they given?

    Have they been given, in writing, an agreed move-in date, perhaps on receipt by the agent of their signed tenancy/guarantor agreements?

    Was the property removed from the market as a result of their signing....?

    etc
  • shino
    shino Posts: 9 Forumite
    Part of the Furniture First Post Combo Breaker
    has the agent given you in writing that 'until you move in they can change contract'.because if they just said it then they are bluffing.I think by law the contract is binding on both parties. have you paid a deposit, Where has the agent kept the deposit. If in the deposit protection scheme then you should have been provided with a copy of certificate . If they kept the money in their personal account,they have broken the law. If they say that the deposit money is kept in clients account ,still i think they break the law. Which could be your negotiating point.
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    shino wrote: »
    has the agent given you in writing that 'until you move in they can change contract'.because if they just said it then they are bluffing.I think by law the contract is binding on both parties.
    Yes.... IF there is a contract... that isnot clear here.
    have you paid a deposit,
    need to clarify holding depsoit from security deposit
    Where has the agent kept the deposit. If in the deposit protection scheme then you should have been provided with a copy of certificate . If they kept the money in their personal account,they have broken the law.
    NO!
    The security deposit does NOT need to be registered until 30 days from the tenancy start date (or receipt, if later than tenancy start date).

    If they say that the deposit money is kept in clients account ,still i think they break the law.
    You think wrong
    Which could be your negotiating point.
    Too much 'thinking', not enough 'knowing'.

    We all make mistakes from time to time, but you even admit you don't really know, so why try to advise?
  • Guest101
    Guest101 Posts: 15,764 Forumite
    When does their tenancy actually start? I know you said they moving in september, but what does the tenancy say. When does it commence?
  • dandy-candy
    dandy-candy Posts: 2,214 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    They are due to move in on sept 2nd, and it is a 12 month rental. They have paid £396 in just agents fees (£99 each), and the landlord is due to take their deposit and first months rent next Monday (19th aug) by DD.
    DS was due to go into bank and arrange DD today but I don't think he should. It's all being done by e-contracts so they don't know if landlord has signed but I don't think they should pay any money unless they have proof he has.
    Agents emailed today and said there was a mistake and it should be the lower price but they still have to redo a new contract, is this because original one will now be void? Lots of things we need to ask agents but the whole thing is leaving a bad taste. They're worried they will move in and have some dodgy landlord.
    If they need the new contract signed will the one they signed two months ago be not legal now? Are they safe to look elsewhere? If they go ahead should they have a solicitor check the contract first before signing again?
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