Letting agency impatience over rent increase

Mimi123456

Hello all. Need some tips

I’m in the process of rent negotiations - fixed contract up in 2.5 months and agency approached me about renewal and said the LL demanded a rate hike of c500 or >25%.
I submit my number to them (+£100pm) and they came back with another ridiculous which is a bit lowe but still about double the inflation.

I’ve been taking time (it’s been 5days since their counteroffer) to see how to respond but they keep chasing me every single day or twice per day.

what are my rights here? Is this normal? What are their intentions? To bully me into a rushed decision?

how can I approach this situation by setting my boundaries and at the same time keeping door open for negotiations?

thank you

tacpot12

You have a right not to be harrassed, but chasing you daily does not meet the standard for harrasment as you can easily ignore them.

It's not uncommon for letting agents to try to badger tenants to accept a rent increase as it saves them some work, and it's worth money to them.  

Have a read of this: Rent increases during a fixed term | Shelter England - Shelter England

This says that you can remain paying the same rent until the the landlord issues a section 13 notice, which you can then appeal at a tribunal (where you might lose) or the landlord can start the process of evicting you. Your rent doesn't go up unless you agree to it, or the landlord issues a section 13 notice and you don't appeal in time, or do appeal and lose.  

If I were you, I would consider what rent you are prepared to stay where you are and offer that amount, and make it clear that the offer is non-negotiable. If you have already made that offer, just confirm that it's a non-negotiable offer that the landlord can accept at any time (and be clear that it relates only to the period after the fixed term ends). You might mention that you are keeping a record of their 'harrassment'. The tribunal might penalise the landlord if they hear that the letting agent has been contacting you every day. 

Mimi123456

Thank you tacpot12

SusieT

What does your contract say about raising the rent, and how does the rent in the area for a similar property compare to what you are paying?

diystarter7

Hi
How much you pay, whats the going rate for similar, how long have you been there and can you not just say to them that you need time to consider it?
LLs have their reasons to how much rent rise and I may be wrong but I gett this feeling you are paying well below the market rates hence the 25% increase requested.  Otherwise, most people would have said no chance and possibly goodbye. This is an assumption and if I am wrong I apologise but its my gut instinct. 
Thanks

LegallyLandlord

@SusieT makes a good point. 

If there is a rent review clause, the landlord has to follow that. 

If there’s no clause, the next step is to reach agreement (what your letting agent is doing). If you don’t reach agreement, they can serve a section 13 notice giving 1 month’s notice. You can challenge it in a tribunal. Here’s a link to challenging the rent. 

Average rents are going up by around 4% according to the latest ONS figures, so 25% is dreadful. It might be the agent chancing their luck. I’d put what you would accept in a letter and give your reasons for arriving at this amount, eg local rents

diystarter7

All depends on where OP lives 

from the link below

However, the site also revealed that some cities and towns have faced even bigger annual rises, piling yet more pressure on households already facing severe strain.

In Newbury in Berkshire, advertised rents have jumped by 22.2% over the past year, while in Manchester the annual increase was 20.5%. In Cardiff it was 19.6%, Edinburgh 18%, and in Birmingham the figure was 17.6% .

Rightmove said the typical advertised private rent outside London had risen to a new record of £1,162 per calendar month, while the equivalent figure in the capital was double that at £2,343.

https://www.theguardian.com/money/2022/oct/21/private-rents-britain-hit-record-high-demand-properties

Mimi123456

SusieT said:

What does your contract say about raising the rent, and how does the rent in the area for a similar property compare to what you are paying?

The contract doesn’t say anything about the rent increase. It is a 12m contract ending in a couple of months and the LL wants to renew for another term with higher rent. 

Mimi123456

diystarter7 said:

Hi
How much you pay, whats the going rate for similar, how long have you been there and can you not just say to them that you need time to consider it?
LLs have their reasons to how much rent rise and I may be wrong but I gett this feeling you are paying well below the market rates

No, I’m afraid it’s not a case Of a readjustment of a very cheap rent. Otherwise I would have understood.

Unfortunately I already pay in line with market. I acquired the lease in March 22 and at the time bid above asking (
now the agency and LL want +20% on top of that (originally was +26%)

I put a more reasonable counteroffer in a response email but somehow they came back with a number not much below their original ask

Mimi123456

LegallyLandlord said:

Average rents are going up by around 4% according to the latest ONS figures, so 25% is dreadful. It might be the agent chancing their luck. I’d put what you would accept in a letter and give your reasons for arriving at this amount, eg local rents

Yes my first thoughts were ‘nice try’ and I counter offered with a more reasonable amount showing ads with comparable flats. But they ignored my arguments. And came back with a slightly lower but still ridiculous level and since then been bombarding me with daily emails asking ‘so do you agree to XXX per month?’

Mimi123456

I’m waiting for new inflation figures to come out today by ONS. If I’m paying fair rent now, how can an increase by so much above inflation 

I also have a feeling they are pushing me so that talks can break down early and they have two whole months to find someone new and desperate enough to pay what they are asking  
I feel being bullied out of my home