Rent increase

xiox

Hi - I just received a note from my landlord's agent telling me that they would like to renew my tenancy for 6 months with a 30 pound rent increase. This is an increase of 6% on my 500 pound rent. I think it's a pretty steep increase, but maybe the government's idea of inflation is rather unrealistic. This is for a studio flat - if only I lived somewhere cheap. The place isn't exactly in good condition either.

It's an assured shorthold tenancy. They sent me a form to sign saying "Variation of contract assured shorthold tenancy". The text says "The parties hereto being in full agreement and accord, it is hereby agreed by the parties that the above dated tenancy be extended for a further six months from the date 16th March 2008 hereof until 15th September 2008 on the same terms and condition of the said original tenancy agreement."

I take it that this means if I sign it that the contract is "reset" and I cannot leave within the first six months (unless my landlord agrees). Is this a correct interpretation?

Also, if I choose not to sign it, I get to stay two months (the period specified for termination in the original contract) at the existing rent before I have to move out?

I also get the privilege of giving my landlord's agent 35 pounds to get a new contract. This practice should be outlawed...

Thanks

Doozergirl

Yes, if you sign, you have to stay for six months. If you don't sign, the agreement stays on a rolling basis where either you or the landlord can give notice to each other and the agent gets nothing. The LL will still want their rent increase though! Check what your agreement says regarding increases and how long before they can implement them.

Why not just tell them you're not happy with the increase, find some comparables at your existing level and see what they say. They might back down. As soon as the place is empty, they've lost way more than the rent increase in voids and more agents finders fees. They'd be stupid to kick you out for saying no to it (not that there aren't stupid LL's out there who would still think they were better off after an empty month).