Letting Agent Increased rent without telling me

*~Zephyr~*

Miss_Samantha wrote: »

It is untenable in the long term to keep a tenant who cannot pay market rent: The landlord is missing out month after month and the shortfall will only increase over time.

You need to do your sums and move accordingly.

How long would you stay in a job that underpays you until you decide to bite the bullet and leave?

The amount that I would be "missing out" on is insignificant to me but is a not inconsiderable sum to a single mum on HB.

It's about not being short sighted and looking at the bigger picture.

david_a

Can we assume that when the agent signed up the tenant for another year they were charged for this new contract?

*~Zephyr~*

Crashy_Time wrote: »

HB is higher than market rent, why else would a landlord take HB?

Nope, HB is lower than market rent. In my experience at least.

In my case, HB is about £50 per month less than current rent. The tenant makes up that shortfall.

The new rent increase proposed by the LA was £25. Not a significant amount really, but it constitutes an increased burden of 50% to a tenant on benefits. This is much too much, in my view, and might just be enough to make her think of looking for somewhere cheaper.

£25 per month is, to me, not worth the risk of a possible void, or of a considerably worse tenant.

*~Zephyr~*

david_a wrote: »

Can we assume that when the agent signed up the tenant for another year they were charged for this new contract?

Oh almost certainly so. Last year when she 're-signed I did suggest that she just let it go to a rolling contract so she could save the fees but she was insistent that she wanted the "security of an AST".

david_a

Fair enough. If that was what she wanted.

*~Zephyr~*

david_a wrote: »

Fair enough. If that was what she wanted.

Indeed. She was previously evicted when the LL sold up and doesn't want to find herself in a similar position.

Miss_Samantha

*~Zephyr~* wrote: »

It's about not being short sighted and looking at the bigger picture.

The big picture is that it adds up year after year. One year you will notice a huge discrepancy and you will be stuck.

*~Zephyr~*

Miss_Samantha wrote: »

The big picture is that it adds up year after year. One year you will notice a huge discrepancy and you will be stuck.

I'm not sure I understand what you mean? A discrepancy between what? And how would I be stuck?

Miss_Samantha

*~Zephyr~* wrote: »

I'm not sure I understand what you mean?

Yep, I had noticed that!

FBaby

I would have been very annoyed with the LA for making that decision without consulting you, surely it is your decision whether to increase the rent or not. However, I personally think it was a big mistake to go back on the agreement which clearly she didn’t dispute. Clearly your concern is that she might not be in a position to pay because of the increase, but she agreed to it so maybe she does have more income than you are assuming. Who knows, she might have been married to a very rich man who gives her £1000 a month in child maintenance.

She might be a lovely person who will show herself to fair and not take advantage of what she is entitled to do to your detriment ie. give you notice if she intends to leave at the end of a fixed term rather than give you the keys on the day, or allow new tenants to visit the property, but my experience is that such consideration is rarely given back. Hope it is not the case for you though.