Landlord wants rent increase of £25-£40/m, on an annual tenancy HELP! Is that wise during this time?

greatcrested

blue_max_3 said:

...... if I just pay the £1400 and they serve the S21, will there be any other implications if I move out within the 2 months?

When exactly does your current fixed term expire?

You can either move out on/before that date and end the tenancy on that date (no notice needed), or

You will have to serve notce if you move out after the tenancy goes periodic.

Will it impact my credit rating or in any other way?

No

And does that apply if I refuse and they go to court (eventually?).

Only if the court orders you to pay the LL's costs, or any arrears etc, and you still refuse to pay.

It all seems very complex and although I don't really want to pay the additional sum, I don't want to cause myself problems (other than having to move out after the notice period).

By 'notice period', do you mean the LL's S21? This is not a notice period and does not end the tenancy. If you wish to leave, see above.

macman

You pay whatever you and the LL mutually agree on-not what they suggest, and no, you can't pay £1400 if you have agreed £1450.
Where do you get 2 months from? Notice on a S21 is now 6m, but you can still remain beyond the end of the notice period until such time as the LL obtains a possession order and instructs bailiffs (at least another 6m, maybe a year). 
No, it has nothing to do with your credit history (you don't have a credit rating, or score).
You are over-complicating your options. By going periodic, you have at least a year of tenure, at the same rent, as opposed to a new 12m fixed term at a higher rent.

silvercar

Dear landlord,
Thank you for your offer of another year's tenancy.
I would be interested in the tenancy at the same rent as I am paying now, however I am not in a position to agree a tenancy at a higher rent.
Given that rents are not increasing in general at the moment, I am surprised that you are asking for a rent increase particularly as I have always paid my rent on time.
I look forward to hearing from you.
Tenant

blue_max_3

macman said:

You pay whatever you and the LL mutually agree on-not what they suggest, and no, you can't pay £1400 if you have agreed £1450.
Where do you get 2 months from? Notice on a S21 is now 6m, but you can still remain beyond the end of the notice period until such time as the LL obtains a possession order and instructs bailiffs (at least another 6m, maybe a year). 
No, it has nothing to do with your credit history (you don't have a credit rating, or score).
You are over-complicating your options. By going periodic, you have at least a year of tenure, at the same rent, as opposed to a new 12m fixed term at a higher rent.

Sorry if I'm hijacking the thread, but hope it's also helpful to anyone else pondering their options.
I only had an email from the agent. I said I was surprised that the landlord (who lives in a flat below and I had talked to recently - and was saying how terrible the agents were) had asked for the increase during a pandemic. They got back to me and said the landlord had asked for it and offered the lower amount and should they produce a further tenancy agreement for me to sign. I never replied.
So I'm going to continue to pay the original amount. I guess they will contact me if there is a disagreement or issue an S21. 
Thank you for making the implications clear. I guess I trade security for a lesser rent. But I'm trying to buy anyway, hence not wanting to sign up for another year.
Cheers.

macman

New TA equals a nice fat fee for the LA  for doing not very much work at all, that's the incentive.

Young_Turk

greatcrested said:

Not sure what difference the pandemic makes....

Many renters are furloughed, unemployed or on reduced income, so a lot will be struggling to pay rent. There are various ways renters may be able to deal with difficulties in affording rent (share with more people, return to live with parents, rent a room instead of a property) which reduce the demand for rental properties. Additionally some will be making these moves due to the pandemic but for non-financial reasons (e.g. living with parents to help look after them and avoid loneliness of living alone in the age of social distancing). As demand decreases, so do rents.
The tenant will probably not allow viewings due to the risks involved, so that guarantees a short void period. So even if the landlord finds another tenant to pay the increased rent, it will still take many months to recoup the losses of the void period.

Karen_taris

Thank you every one xx

AdrianC said:

Surely it's simple... There's three options.

1. Stick with your current tenancy, but periodic
2. Sign a new tenancy, at whatever rent you and the landlord mutually agree on.
3. Move.

Just because the landlord says "I'd like you to sign a new tenancy at higher rent" doesn't mean you have to.

If they're really going to say "No, I don't want you periodic, I'll give you notice", then that's their choice - and remember s21 is now six months. It would seem to be cutting their noses off to spite their faces over a relatively small increase, but who needs a landlord who's that petty and penny-pinching? Moving would seem wise.

I want to stay at the current rate, (don't want to increase the rent, but pay what I am paying currently, going forward.)

If the landlord and I agree for me to stay on at the same rate as I give now (with no increase)

so which of these 2 options would be more suited?

OPTION 1. Stick with your current tenancy, but periodic
OPTION 2.  Sign a new 1 year Fixed term tenancy, at the SAME RATE I pay now (as I said if  the landlord agrees first) then is there any advantages of me as the tenant, for either of the options 1, and 2?

or if the Next years fixed term tenancy is  rent is the SAME amount, then is it common/usual for a new fixed term tenancy to be created for the same amount, for the next 12 months rent?

I will be a long term tenant and have always paid my rent on time, without any missed payments, so LL likes this about me.

theartfullodger

Thank Landlord for their kind offer, explain  you didn't realize rent was adjustable and you propose reduction of £37:23 a month instead

greatcrested

Karen_taris said:

Thank you every one xx

AdrianC said:

Surely it's simple... There's three options.

1. Stick with your current tenancy, but periodic
2. Sign a new tenancy, at whatever rent you and the landlord mutually agree on.
3. Move.

Just because the landlord says "I'd like you to sign a new tenancy at higher rent" doesn't mean you have to.

If they're really going to say "No, I don't want you periodic, I'll give you notice", then that's their choice - and remember s21 is now six months. It would seem to be cutting their noses off to spite their faces over a relatively small increase, but who needs a landlord who's that petty and penny-pinching? Moving would seem wise.

OPTION 1. Stick with your current tenancy, but periodic
OPTION 2.  Sign a new 1 year Fixed term tenancy, at the SAME RATE I pay now (as I said if  the landlord agrees first) then is there any advantages of me as the tenant, for either of the options 1, and 2?

or if the Next years fixed term tenancy is  rent is the SAME amount, then is it common/usual for a new fixed term tenancy to be created for the same amount, for the next 12 months rent?

Option 1 has less security. LL can serve S21 at any time (though currently that's 6months notice) or S13 to increase rent (see previous link)

Option 2 has more security/less flexibity (both or you are tied in)

Subsequent fixed terms can be same or higher - depeands on market conditions and negotiating skills and LL/tenants' atitudes.

macman

Option 2, your LL has to agree it.
Option 1, he doesn't. 
So, ask for Option 2 (as long as you are happy to commit to a further minimum term of 12m, unless you want to negotiate a shorter 6m term).
If he declines, then you do nothing. The fixed term tenancy expires and you roll onto a periodic tenancy, at the original rent.