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Sub tenants

Hi

So I have a tenant who has been with me for several years letting part of a property, they have been great, absolutely no issues on any front. However they want to now take over the whole place and will have a new spouse and one subtenant. I am very happy with my agreement with them as is and don't really want to adjust it with regards to the new occupants. My question is can I just adjust his rent to cover the extra cost and leave the subtenants to him or do I need to form a new agreement with each of them. I have informally discussed it and they are clear nonpayment etc by any sub tenant would be his responsibility and be seen as his breach / reason for eviction. My mortgage is reasonably low so if there was an issue and I had to evict / re-rent it would not be a disaster to lose a few months rent and I am prepared to gamble on that given the track record. My only real concern is not being able to evict in a worst case scenario.

Any thoughts greatly appreciated.

Comments

  • Pixie5740
    Pixie5740 Posts: 14,515 Forumite
    10,000 Posts Eighth Anniversary Name Dropper Photogenic
    I think you mean excluded occupiers (lodgers) rather than sub-tenants. As I understand it the tenant currently only rents part of the property (a room I guess) so if he was going to be renting the whole property it would make sense to have a new tenancy agreement drafted to reflect the new situation and the change in rent. You could either have the new tenancy in his name only or jointly with his spouse, I wouldn't add the 3rd person to the tenancy agreement. That would leave the current tenant (or current tenant and his spouse if it was a joint tenancy) liable for the rent and sorting out things out with the lodger. It also means that if things don't work out with the lodger it's easy for the tenant to get rid of the lodger.
  • MoneyMoney
    MoneyMoney Posts: 42 Forumite
    Eighth Anniversary 10 Posts Combo Breaker
    That sounds best, I am redrafting for change in circumstances (flat instead of room) and rent. I will specify current tenant only and not the "lodger" or spouse. That sounds like what I wanted to happen anyway so great.
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    edited 2 May 2017 at 10:16PM
    Please clarify...
    MoneyMoney wrote: »
    Hi

    So I have a tenant who has been with me for several years letting part of a property,
    what does 'part of property mean'? Is he really a tenant, or a lodger? What 'part' does he have? Who else (if anyone) lives there? You?

    ...they want to now take over the whole place
    So they will then have exclusive use of the whole property?
    Your 'lodger' may be becoming a 'tenant'. This would have significant impact on
    * your legal responsibilities
    * your required documentation
    * your tax position
    * his rights

    and will have a new spouse and one subtenant.
    do you really mean 'subtenant', or do you mean lodger?

    I am very happy with my agreement with them as is and don't really want to adjust it with regards to the new occupants.
    Depending on answers above, you may well have to adjust it whether there is now also a spouse and/or 'other person' or not.

    My question is can I just adjust his rent to cover the extra cost and leave the subtenants to him or do I need to form a new agreement with each of them.
    there are various options but it depends on your current set up which is unclear.

    I have informally discussed it and they are clear nonpayment etc by any sub tenant would be his responsibility and be seen as his breach / reason for eviction. My mortgage is reasonably low so if there was an issue and I had to evict / re-rent it would not be a disaster to lose a few months rent and I am prepared to gamble on that given the track record. My only real concern is not being able to evict in a worst case scenario.

    Any thoughts greatly appreciated.
    Please fully describe the current living arrangement, and the current contractual arranegment.

    If as I suspect, you will from hereon have a tenant having previously had a lodger, read:

    * New landlords: advice, information & links
  • 00ec25
    00ec25 Posts: 9,123 Forumite
    1,000 Posts Combo Breaker
    MoneyMoney wrote: »
    That sounds best, I am redrafting for change in circumstances (flat instead of room) and rent. I will specify current tenant only and not the "lodger" or spouse. That sounds like what I wanted to happen anyway so great.
    the info you gave in your first post is not clear enough to mean the the answer given in post #2 is correct

    you need to answer the questions raised by GM before proper advice can be given, particularly what is the status of the current "rent payer": lodger or tenant?
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