Rent increasing - ASSURED SHORTHOLD TENANCY AGREEMENT

Robert85

Hello folks,


I’m looking for some advice. 

I’ve moved with my other half to the 2 bedroom flat on 7th May 2021 and we were paying £750 per month from beginning the tenancy. ( The deposit as well)

After 12 months we have got an email from the ‘Agent’ which increased our rent on 7th of May 2022 up to £825 ( £750 +£75) 

Today we have got another an email after 12 months again since 7th of May 2022  that 

𝐓𝐡𝐞 𝐥𝐚𝐧𝐝𝐥𝐨𝐫𝐝 𝐡𝐚𝐬 𝐛𝐞𝐞𝐧 𝐮𝐧𝐝𝐞𝐫𝐭𝐚𝐤𝐢𝐧𝐠 𝐚 𝐫𝐞𝐧𝐭 𝐫𝐞𝐯𝐢𝐞𝐰, 𝐚𝐧𝐝 𝐡𝐚𝐬 𝐫𝐞𝐪𝐮𝐞𝐬𝐭𝐞𝐝 𝐭𝐡𝐚𝐭 𝐭𝐡𝐞 𝐫𝐞𝐧𝐭 𝐨𝐧 𝐲𝐨𝐮𝐫 𝐟𝐥𝐚𝐭 𝐛𝐞 𝐛𝐫𝐨𝐮𝐠𝐡𝐭 𝐮𝐩 𝐭𝐨 𝐭𝐡𝐞 𝐦𝐚𝐫𝐤𝐞𝐭 𝐯𝐚𝐥𝐮𝐞.

𝐇𝐞 𝐡𝐚𝐬 𝐬𝐞𝐞𝐧 𝐟𝐥𝐚𝐭𝐬 𝐨𝐟 𝐭𝐡𝐢𝐬 𝐬𝐢𝐳𝐞, 𝐢𝐧 𝐭𝐡𝐞 𝐚𝐫𝐞𝐚, 𝐚𝐧𝐝 𝐢𝐧 𝟐𝟎𝟐𝟎 𝐚𝐫𝐞 𝐥𝐞𝐭𝐭𝐢𝐧𝐠 𝐟𝐨𝐫 𝐡𝐢𝐠𝐡𝐞𝐫 𝐭𝐡𝐚𝐧 𝐲𝐨𝐮𝐫 𝐜𝐮𝐫𝐫𝐞𝐧𝐭 𝐫𝐞𝐧𝐭.

I will attachment the agreement we were signed in 7th May 2021. 

I can’t see anything that is clear saying about the market value etc. 

I’m not sure if ‘Agent’ is fairly does this such offer? 

What I found out is this:

“The Landlord can increase the rent every twelve months. The increase is to be calculated according to the Retail Price Index, being a minimum of 3% and a maximum of 8%. The Landlord must serve written notice at least two months' prior to the rent increase date.”


So even if we will charge 8% of £825 is still approximately £66 increasing but not £170. 

Please correct me if I’m wrong here.


Thank you for any response folks. 

sourpuss2021

Is that sentence in the contract about how much the landlord can put up the rent?

Generally a landlord can increase the rent by as much as he likes, unless the contract says otherwise.   

Have a look on OpenRent and Rightmove to see what properties like yours are renting for now.  The landlord could well be right that your place is now well below the average.

You could argue they should discount the price a bit versus the market if those properties available for new tenancies are obviously in a lot better condition. Though at a time of very high demand from tenants, this may not be as important a factor as you might hope.

As part of the negotiations you can also try bargaining with the landlord if there are things that you’d like improving in the flat. For instance asking him to buy you a tumble dryer or to redecorate the bathroom.

Good luck!

Robert85

sourpuss2021 said:

Is that sentence in the contract about how much the landlord can put up the rent?

Generally a landlord can increase the rent by as much as he likes, unless the contract says otherwise.   

Have a look on OpenRent and Rightmove to see what properties like yours are renting for now.  The landlord could well be right that your place is now well below the average.

You could argue they should discount the price a bit versus the market if those properties available for new tenancies are obviously in a lot better condition. Though at a time of very high demand from tenants, this may not be as important a factor as you might hope.

As part of the negotiations you can also try bargaining with the landlord if there are things that you’d like improving in the flat. For instance asking him to buy you a tumble dryer or to redecorate the bathroom.

Good luck!

This sentence I found out on internet. 

“The Landlord can increase the rent every twelve months. The increase is to be calculated according to the Retail Price Index, being a minimum of 3% and a maximum of 8%. The Landlord must serve written notice at least two months' prior to the rent increase date.”

I was thinking that is applying to everyone’s tenancy. 

sourpuss2021

Ah, then sadly it isn’t true!    They can do what they like especially at times like this with high inflation.

At least they’re giving you two months notice, which IS something they are required to do.

Robert85

sourpuss2021 said:

Ah, then sadly it isn’t true!    They can do what they like especially at times like this with high inflation.

At least they’re giving you two months notice, which IS something they are required to do.

Thank you for your time and answers. 

propertyrental

Don't take random quotes from 'the internet'.

There are several options:

1) LL can offer you a new contract tosign, with whatever new rent he wants. You can either agree ad sign it (new contract formed) or refuse to sgn i. Or negotiate.
2) LL can increase the rent in line with whatever the last contract you signed says. For this he does not need you (further ) agreement since you agreed it when you signed that contract
3) you could move to a periodic (rolling) tenancy at the same rent as before. If the last contract you signed says nothng about rent increases, he can serve a S13 Notice to increase the rent. You can challenge this at Rent Tribunal, who will compare against local rents.

For more, read:

Post 5: Rent increases: when & how can rent be increased?