Tenant bails out after 3 months of a 12 month AST

uptomyeyeballs

My tenant has bailed out 3 months into a 12 month AST. They have been obstructing work that needs doing inside the property. The tenant already has rent arrears (not huge) and says they can’t afford to continue to pay the rent until a new tenant is found, nor to pay any fees due (my change of tenancy fees). The bond is held securely as the property is managed by an agent and I have rent insurance. The tenant has just handed back the keys to the agent.

I need to inspect the property after the work is done and to ready the property for the next tenant. Am I right in thinking I can’t do this until a new tenant signs an AST, effectively releasing the old tenant? Also, if there is any shortfall in coverage of rent by the insurance, can I claim it from the bond?

Annie35

????? A new ast /tenant doesn't cancel the old ast/tenant, where on earth did you get that idea lol!

If your confident tenant has surrendered (& the agent should have had him sign a form if he saw them) then just take possession, get the work done before a new tenant moves in.

Yes deposit can be used for rent arrears.

uptomyeyeballs

Wasnt sure Anni35, thats why I asked. Thanks for your reply

Voyager2002

If your agent could not asnwer this question correctly, you need a new agent!

uptomyeyeballs

Thanks Voyager. Invaluable

G_M

Voyager2002 wrote: »

If your agent could not asnwer this question correctly, you need a new agent!

Indeed!

See

* Letting agents: how should a landlord select or sack?

G_M

You needto estalish wheher the tenancy has legally ended.

If it has, you can enter, do renovations, re-let etc.

If it has not, you cannot do any of the above witthout risk of a canny tenant accusing you of illegal eviction. Arrears (without a court order) do not end a tenancy.

When the tenant handed back the keys, what did the agent get the tenant to sign?

As an aside:

obstructing work that needs doing inside the property.

What works? Statutorily required eg a gas inspection? The tenant is entitled to Quiet Enjoyent of his tenancy, so if he does not want the kitchen painted (for example) he can refuse access.

Playing devil's advocate for a moment, he may have felt harrassed by you/your contractors demanding access and that might explain why he left. (harassment is a criminal offense.....)

uptomyeyeballs

The tenant withheld rent because the shower had packed up. They still had the use of a seperate bath. I told the agent the shower would be replaced. That was the work that was needed and scheduled. The tenant wouldnt answer calls to let him do the work. All was done through the agent, i had no personal contact at all.

ThePants999

Handing back the keys would PROBABLY be interpreted by a court as attempting to surrender the tenancy, but if you still have contact details for the tenant, ask them to put something in writing - it's in their interests to do so as technically they'll continue to owe you rent until the tenancy is over.

Once you're satisfied you're legally in the clear, get a new tenant in, then deduct any damages and unpaid rent from the deposit. If that uses all the deposit and you're still owed, then if you want the cost and hassle for a small chance of success, you can take them to court for the rest.

Strictly speaking, you could just take them to court for the entire AST's worth of unpaid rent rather than move someone else in, but they can't pay what they don't have - cut your losses and replace them.

Cakeguts

If the shower was in perfect working order when they moved in and no repairs were needed inside the property when it was let to them and they obstructed tradesmen doing repairs that they had requested then I would take them to get a court to get a CCJ for non payment of rent.

We seem to be getting an increasing number of people who feel entitled to do whatever they want. Sometimes they need a wake up call about contracts. If they have a CCJ they will have a huge problem getting any credit which means that no other company will have the problem of them just deciding out of the blue that they can't afford repayments. They will also have a problem getting another tenancy so another landlord won't get messed about on a whim.

The bit about all of this that I don't understand is how they suddenly can't afford to pay the rent only 3 months after saying that they could.

uptomyeyeballs

Something has obviously changed for them to suddenly decide they cant afford it. Circumstaces that i am not aware of. Its the manipulation i dont like. Reeds Rains will be chasing them, not me. Probably for about £1,000