Do estate agents get you to sign a 12 month tenancy once your first 12 months is done?

kmb500

I'm renting a house with my mate. This is our first house away from our parents. I am concerned about rent increases - I have heard quite a few people over the past few months say their landleeches are increasing their rent.

My tenancy agreement says:

Commencement Date: 13th of May 2022
Expiry Date: 12th of May 2023 and thereafter from month to month.

I understood this to mean that my tenancy will continue rolling monthly, like a phone contract after you finish the first 12/24 months, so I wouldn't be obliged to stay, and I can keep renting the house from month to month. But, I have heard that letting agents can tell you to sign another 12 month tenancy. Is this correct? Or does my tenancy agreement mean they won't do this?

I don't know whether I want to keep living here as the rent is half my income and particularly if the rent goes up, I'm thinking I may move out in the summer, so don't want to be tied to another 12 month tenancy.

secla

You will move onto a rolling monthly contract but the landlord/agent may ask you if you wish to sign on for another 12 months. both rolling and fixed have there pros and cons. Ultimately though its your choice

Stubod

..you do not have to sign anything,and your tenancy will continue on a rolling tenancy. I am sure your "leech" of a landlord will be happy to reduce your rent as they probably have no costs and are completely immune to the current rates of inflation..??

MikeJXE

It is a rolling month to month and the estate agent might ask if you want to sign for another year. They can't force you to.  Expect the rent to go up in April or whenever it says on the contract

Grumpy_chap

If you do nothing, you will move to the rolling contract.  It is still worth letting the Agent know this is what you will do.

You can choose to sign up for another year and that is something that some people like.

kmb500

MikeJXE said:

It is a rolling month to month and the estate agent might ask if you want to sign for another year. They can't force you to.  Expect the rent to go up in April or whenever it says on the contract

It should be expected then? Do you know if rent increases happening to the majority of tenants at the moment?

Grumpy_chap said:

If you do nothing, you will move to the rolling contract.  It is still worth letting the Agent know this is what you will do.

You can choose to sign up for another year and that is something that some people like.

Thank you. What would be the advantage of signing for a year? Since I assume the rent would be the same regardless of which one you opted for?

Stubod said:

..you do not have to sign anything,and your tenancy will continue on a rolling tenancy. I am sure your "leech" of a landlord will be happy to reduce your rent as they probably have no costs and are completely immune to the current rates of inflation..??

Dunno know why you are suggesting that I should be sympathetic to my landleech? No youre right they dont have any costs since they dont maintain the property and they earn £17k/year from doing nothing

Jbyese

Stubod said:

..you do not have to sign anything,and your tenancy will continue on a rolling tenancy. I am sure your "leech" of a landlord will be happy to reduce your rent as they probably have no costs and are completely immune to the current rates of inflation..??

LOL "Leech" i thought id read that wrong. As a landlord i can 100% confirm we have a mortgage, landlord insurance,boiler cover insurance, estate agent fees monthly, so we are nearly £400 down before we even see a penny in profit .... seriously OP there's always two sides.  

Our tenants can sign 6 , 12 or monthly rolling , its your decision. Do whats best for you X Good luck 

elsien

If they’re not maintaining the property  why do you want to stay there?

MikeJXE

Inflation is around 10% i have no doubt rents will go up. The upside of an another 12 months contract might be a more agreeable rent and fixed for a year. One of the reasons I'm moving from a 2 bed flat after 2 years, I expect my rent to go up £60 a month, the property I am moving to in February is a 1 bed. Better EPC lower council tax and  less than what I will be paying here and fixed for a year. 

Hedgepigs

What would be the advantage of signing for a year? Since I assume the rent would be the same regardless of which one you opted for?

Security mostly. Whilst you can't end the tenancy early (without some sort of mutual agreement), the landlord also can't issue a s21 to end during a fixed term either.

Stubod

Dunno know why you are suggesting that I should be sympathetic to my landleech? No youre right they dont have any costs since they dont maintain the property and they earn £17k/year from doing nothing

..simple solution for you, as property owners are immune to inflation and any costs why don't you just buy your own house and then you don't need to pay any rent to a leech landlord ...??