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tenant fee ban

Hello,

I have been renting a property for the past 4 years, under fixed term contracts (12-month fixed term contracts) through an agent. Always paying rent on time, and looking after the property very well.

My current contract ends in September 2019. I have recently asked for a renewal for 12 months with a break clause as there is a very high chance I am changing jobs and city near around May2020. I landlord wants to increase the rent (which I understand and accept) but they are only looking into 12-month fixed term contract without break clause. Probably to save on costs as a result of tenant fee ban.

Even if I find a new property, most of the landlords will now be looking for 12-month fixed term contract (no break clause) to see their money go further. I feel this new law is only partially protecting tenants from excessive charges, as now we will end up paying highher rents and forced into breaking 12-month fixed term contracts,

I think I made my decision. I will sign the 12-month fixed-term contract and try to come out of the contract and pay any charges that might incur in the future. Any advice from you would be appreciated before I sign anything!

Thank you!
«1

Comments

  • anselld
    anselld Posts: 8,684 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 14 July 2019 at 6:51AM
    Do nothing, pay nothing (except the increase in rent) continue on periodic contract until you are ready to move and give one month notice.

    Agent wont like it so speak to the Landlord directly to explain.
  • Thank you. I also heard this back from my agents/landlord so periodic tenancy would not be an option either

    "As for the clause in red, it means that if we failed to serve you notice (the Section 21 notice which you’ll have received when coming up to the end of your current tenancy, before renewal was agreed) and no renewal contract had already been signed, you would automatically go onto a periodic tenancy and still be responsible for the property until notice was served by us, or by you.

    We still do not offer periodic tenancies as an option when looking to renew a contract, it is only as a fail-safe to cover you, the landlord and us if usual process was not followed for some reason."

    I feel like my options are quite limited
  • They don’t get to decide whether they offer periodic tenancies or not, it’s the law, if you don’t renew you will have one.
  • Thank you. I also heard this back from my agents/landlord so periodic tenancy would not be an option either

    "As for the clause in red, it means that if we failed to serve you notice (the Section 21 notice which you’ll have received when coming up to the end of your current tenancy, before renewal was agreed) and no renewal contract had already been signed, you would automatically go onto a periodic tenancy and still be responsible for the property until notice was served by us, or by you.

    We still do not offer periodic tenancies as an option when looking to renew a contract, it is only as a fail-safe to cover you, the landlord and us if usual process was not followed for some reason."

    I feel like my options are quite limited

    Agents lying and/or incompetent.

    As said above they can’t stop you going onto a periodic tenancy.

    Yes landlord can begin eviction proceedings but unlikely they would do so simply because you don’t sign a new fixed term.
  • diggingdude
    diggingdude Posts: 2,499 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper Photogenic
    Did they issue you a section 21 2 months ago? If not call them out on it, say you're going periodic and you are not interested in negotiating with people who lie about the law
    An answer isn't spam just because you don't like it......
  • Voyager2002
    Voyager2002 Posts: 16,349 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Did they issue you a section 21 2 months ago? If not call them out on it, say you're going periodic and you are not interested in negotiating with people who lie about the law


    Best not to remind them: allow them to make their own mistakes and find out in court.
  • they issue Section 21 notice automatically 2 months before tenancy ends.
  • they issue Section21 Notice automatically 2 months before end of tenancy agreement. I did not remind them, did not say anything
  • Also just heard this back on 15/7/19.

    "Afternoon,
    Your landlord is happy to go ahead, we would require your £90pp renewal fee and for you to pop into the office with your passport to be verified- do you know when you could get this across to me?!"

    This is illegal based on "Tenant fee ban"Act, right?
  • If the tenancy agreement was entered into before June 2019 renewal fees agreed at the time can be changed until 31st May 2020.

    Have you contacted the landlord (not the letting agent) - if you are willing to pay the increased rent I would be surprised if they would have an objection to a rolling contract and follow through with court proceedings (there is a chance they may not be aware of what is going on).

    So have they now served you a section 21?
    Just because this has been served this doesn’t stop you automatically going into a periodic tenancy when your fixed term ends.
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