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  • FIRST POST
    • msrt5mp2
    • By msrt5mp2 7th Aug 18, 9:24 AM
    • 16Posts
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    msrt5mp2
    New landlord - 25% rent increase!
    • #1
    • 7th Aug 18, 9:24 AM
    New landlord - 25% rent increase! 7th Aug 18 at 9:24 AM
    Good Morning All,

    I have a huge dilemma that is causing massive strain and hope you can help fill me in on what my rights are and how I can proceed. I have looked at some very useful articles on the forum and site as well as others but as far as I can see most are not applicable to my situation.

    My rented property house has just been sold with me as a sitting tenant and this went through last week. I met with representatives of the new landlord yesterday who tried to get me to sign up to a new tenancy agreement with an increase in rent from £295pcm to £368pcm. This proposed increase of 24.75% comes as quite a shock and is completely unaffordable from my point of view as I am unable to work due to severe mental health issues and rely on limited benefits which are already stretched (I get £265pcm towards my housing benefit and other benefits that barely cover basic living costs).

    Given the poor state of the building both inside and out and the long list of recommendations noted by the Councilís Selective Licencing Representative last month I find this appalling; (such as double glazed windows, front door replacement, kitchen and living room improvements, roofing work and more). This is especially so as this accommodation is vastly inferior to comparable properties in the area that have been available recently for much less than the £365pcm that is being proposed. For instance, one on my street was let last month at my current rent of £295pcm and is in far better condition than mine at present.

    I have been a good tenant for 4 years and I would prefer not to have the emotional disturbance to my mental well-being that a stressful move would cause, however, I simply cannot afford anywhere near what was proposed today. Ideally I would move to somewhere nicer but money is a problem as even if I got one of the comparably priced properties (of which none are available right now, the cheapest currently is around £350pcm) there is still the added costs of moving such as referencing fees, admin charges, van hire etc which again I would struggle to afford. If the improvements suggested by the council were made then perhaps they could justify increasing the rent to this amount in the future but as things stand this is far too much in line with other properties and they claim to have no knowledge of this work report so that is not a factor in this increase according to them.

    I am just very troubled and have had a sleepless night with worry and this is not helping my mental health condition. If you can help in any way or point me in the direction of someone who can offer some advice in this matter it would be greatly appreciated as I do not know how I am going to cope with this situation.

    Thanks and Regards
Page 1
    • m0bov
    • By m0bov 7th Aug 18, 9:31 AM
    • 1,396 Posts
    • 971 Thanks
    m0bov
    • #2
    • 7th Aug 18, 9:31 AM
    • #2
    • 7th Aug 18, 9:31 AM
    If you are on a rolling contract there is'nt much you can do other than to find somewhere else to live. Is your deposit protected? Gas inspections up to date?

    If there are better properties around, then suggest you move anyway.
    • deannatrois
    • By deannatrois 7th Aug 18, 10:19 AM
    • 5,728 Posts
    • 8,034 Thanks
    deannatrois
    • #3
    • 7th Aug 18, 10:19 AM
    • #3
    • 7th Aug 18, 10:19 AM
    It does sound like for every other reason than finances, you should be looking to move anyway.

    Phone Shelter, see if they can find any sources of financial help and to offer suggestions re the repairs. I moved out of a similar situation, and although the stress had me pulling out my hair, I cheered when I closed the door to the old place.
    • Comms69
    • By Comms69 7th Aug 18, 10:22 AM
    • 5,899 Posts
    • 6,187 Thanks
    Comms69
    • #4
    • 7th Aug 18, 10:22 AM
    • #4
    • 7th Aug 18, 10:22 AM
    It seems he!!!8217;s just matching market rent- you!!!8217;ve had it cheap.
    • msrt5mp2
    • By msrt5mp2 7th Aug 18, 10:28 AM
    • 16 Posts
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    msrt5mp2
    • #5
    • 7th Aug 18, 10:28 AM
    • #5
    • 7th Aug 18, 10:28 AM
    It does sound like for every other reason than finances, you should be looking to move anyway.

    Phone Shelter, see if they can find any sources of financial help and to offer suggestions re the repairs. I moved out of a similar situation, and although the stress had me pulling out my hair, I cheered when I closed the door to the old place.
    Originally posted by deannatrois
    Thanks,

    Yeah I am pretty sure I will have to move, I'm mainly concerned about what my rights will be short term. As there is nowhere currently available within my budget can they kick me out for example after the 1 month notice if I have nowhere to go?

    I have also read about the Section 13 rent increase notice and 'notice to quit!!!8217; for evictions but given I do not have a tenancy agreement with the new incoming landlord I am wondering how this will affect me and my rights until I can find somewhere.

    My feeling is that they are intentionally forcing me out, will do the work the Council have advised and then try and get someone in with a high rent. I have been wanting to move for a long time as the house is in a very poor condition through no fault of my own but it was all I could afford at the time and I've been struggling to afford the deposits etc to move to other affordable properties that came up since - I will definitely cheer to get out of there it's just going to be tricky getting something sorted and worried about being turfed out before I can arrange something.
    • Pixie5740
    • By Pixie5740 7th Aug 18, 10:37 AM
    • 13,371 Posts
    • 19,261 Thanks
    Pixie5740
    • #6
    • 7th Aug 18, 10:37 AM
    • #6
    • 7th Aug 18, 10:37 AM
    No you cannot be kicked out after a month.

    Read both G_M's Ending/Renewing an AST: what happens when a fixed term ends? How can a LL or tenant end a tenancy? What is a periodic tenancy? and Rent Increases: when & how can rent be increased?
    • Mardle
    • By Mardle 7th Aug 18, 10:42 AM
    • 390 Posts
    • 815 Thanks
    Mardle
    • #7
    • 7th Aug 18, 10:42 AM
    • #7
    • 7th Aug 18, 10:42 AM
    We were in a similar situation years ago. We'd been living in the house for 4 years and weren't aware the house was even up for sale until it appeared on an agency advert as sold. The agent for the new owner came to see us with a new contract he wanted us to sign with a higher rent. We asked if they would be doing the work the house needed but he wasn't very forthcoming.

    We immediately found somewhere else and moved out.
    • G_M
    • By G_M 7th Aug 18, 12:25 PM
    • 46,190 Posts
    • 55,923 Thanks
    G_M
    • #8
    • 7th Aug 18, 12:25 PM
    • #8
    • 7th Aug 18, 12:25 PM
    No you cannot be kicked out after a month.

    Read both G_M's Ending/Renewing an AST: what happens when a fixed term ends? How can a LL or tenant end a tenancy? What is a periodic tenancy? and Rent Increases: when & how can rent be increased?
    Originally posted by Pixie5740
    Indeed.

    You have a perfectly valid tenancy agreement with the new landlord at present.

    However, as it is periodic, it provides you with minimal security, as described in the link above.

    The LL can either evict you (following the correct process), or increase the rent (again, by following the process described in the 2nd link)
    • msrt5mp2
    • By msrt5mp2 7th Aug 18, 12:27 PM
    • 16 Posts
    • 0 Thanks
    msrt5mp2
    • #9
    • 7th Aug 18, 12:27 PM
    • #9
    • 7th Aug 18, 12:27 PM
    It seems he!!!8217;s just matching market rent- you!!!8217;ve had it cheap.
    Originally posted by Comms69
    It's not matching market rent, the price they are now asking is way above comparable properties in the area, especially considering the condition it is in.

    I'm not sure where you are from but this is a small Lancashire town where rent is a LOT cheaper and the house was only bought for £30,000 last week, a 2 bedroom terrace.
    • Comms69
    • By Comms69 7th Aug 18, 12:33 PM
    • 5,899 Posts
    • 6,187 Thanks
    Comms69
    It's not matching market rent, the price they are now asking is way above comparable properties in the area, especially considering the condition it is in.

    I'm not sure where you are from but this is a small Lancashire town where rent is a LOT cheaper and the house was only bought for £30,000 last week, a 2 bedroom terrace.
    Originally posted by msrt5mp2


    <--- small Lancashire city


    I'm only making my point based upon your opening statement:


    Ideally I would move to somewhere nicer but money is a problem as even if I got one of the comparably priced properties (of which none are available right now, the cheapest currently is around £350pcm)
    • macman
    • By macman 7th Aug 18, 1:09 PM
    • 42,800 Posts
    • 18,043 Thanks
    macman
    When was the rent last increased, over your 4 years as a tenant?
    No free lunch, and no free laptop
    • Cakeguts
    • By Cakeguts 7th Aug 18, 1:35 PM
    • 5,331 Posts
    • 8,134 Thanks
    Cakeguts
    295pcm sounds extremely cheap for any part of the country. When you think about it if the house needs a lot of repair they aren't going to be able to do very much with a rent of less than £3600 per year so I can see why they think they need to raise the rent.



    In the North West even £350pcm is cheaper than usual.
    • msrt5mp2
    • By msrt5mp2 7th Aug 18, 6:23 PM
    • 16 Posts
    • 0 Thanks
    msrt5mp2
    <--- small Lancashire city


    I'm only making my point based upon your opening statement:


    Ideally I would move to somewhere nicer but money is a problem as even if I got one of the comparably priced properties (of which none are available right now, the cheapest currently is around £350pcm)
    Originally posted by Comms69
    Yeah I worded that badly, lack of sleep! I was referring back to the previous paragraph. Basically there are always properties much better than mine at the £350 mark, more expensive than I am paying but less than they want so to have my property in the same bracket as them is ludicrous as it really is very run down. But there are also a lot of properties of varying standards, most better than mine, regularly available between £280 and £350 - including one directly across the road on my street that went 2 weeks ago and is the same price as mine £295 and has just been fully renovated and is beautiful.
    • Cakeguts
    • By Cakeguts 7th Aug 18, 6:30 PM
    • 5,331 Posts
    • 8,134 Thanks
    Cakeguts
    It's not matching market rent, the price they are now asking is way above comparable properties in the area, especially considering the condition it is in.

    I'm not sure where you are from but this is a small Lancashire town where rent is a LOT cheaper and the house was only bought for £30,000 last week, a 2 bedroom terrace.
    Originally posted by msrt5mp2

    How could you possibly know how much it sold for? It won't have been registered at the land registry yet so the sold prices will not be available. Was it in an auction where the guide price was £30,000. Guide prices are not sold prices it could have sold for a lot more than that.
    • msrt5mp2
    • By msrt5mp2 7th Aug 18, 6:32 PM
    • 16 Posts
    • 0 Thanks
    msrt5mp2
    295pcm sounds extremely cheap for any part of the country. When you think about it if the house needs a lot of repair they aren't going to be able to do very much with a rent of less than £3600 per year so I can see why they think they need to raise the rent.



    In the North West even £350pcm is cheaper than usual.
    Originally posted by Cakeguts
    I get that but they weren't aware of the repairs needed, the council came round after they had bought it, they didn't view the property or survey it, they just bought it on the cheap as it is in a very deprived area with lots of boarded up and empty houses, drugs and anti-social behaviour etc and is one of a number of similar areas in our town has been given funding to improve things and some opportunists like these guys are trying to make money on the back of it at the expense of people in situations like me.

    Luckily I have spoken to the person today in charge of this project and the licensing and she will be putting a stop to it as when I explained she got it straight away and informed me that a lot of others had been trying to do similar.

    It is cheaper than usual, for somewhere of a decent standard in a slightly better area the minimum you are looking at is £350-£400 even in this town, but there are many areas such as mine that are pretty horrible and you can get for £250-£300. But when you only get £265 in Housing Benefit beggars can't be choosers, it's not nice but such is life! Hopefully this initiative will help with that and if not at the very least make some of these homes nicer for those of us who have little choice to live in!
    • msrt5mp2
    • By msrt5mp2 7th Aug 18, 6:35 PM
    • 16 Posts
    • 0 Thanks
    msrt5mp2
    How could you possibly know how much it sold for? It won't have been registered at the land registry yet so the sold prices will not be available. Was it in an auction where the guide price was £30,000. Guide prices are not sold prices it could have sold for a lot more than that.
    Originally posted by Cakeguts
    No it wasn't an auction it was a standard estate agent listing and sale. The price was initially put up at £35,000 but the landlord took £30k due to lack of interest.
    • msrt5mp2
    • By msrt5mp2 7th Aug 18, 6:45 PM
    • 16 Posts
    • 0 Thanks
    msrt5mp2
    Indeed.

    You have a perfectly valid tenancy agreement with the new landlord at present.

    However, as it is periodic, it provides you with minimal security, as described in the link above.

    The LL can either evict you (following the correct process), or increase the rent (again, by following the process described in the 2nd link)
    Originally posted by G_M
    Thank you for this. I had read similar things but didn't know how it would transition with the new landlord as I did not have an agreement with them.
    • G_M
    • By G_M 7th Aug 18, 6:54 PM
    • 46,190 Posts
    • 55,923 Thanks
    G_M
    the change of landlord is simply that - a change of landlord.


    the tenancy agreement continues unchanged unless either


    * it is ended by you or a court
    * a replacement one is agreed by you and the landlord, or
    * a new rent is imposed according to the legal processes for doing so
    • PersianCatLady
    • By PersianCatLady 8th Aug 18, 12:07 AM
    • 606 Posts
    • 592 Thanks
    PersianCatLady
    Yeah I worded that badly, lack of sleep! I was referring back to the previous paragraph. Basically there are always properties much better than mine at the £350 mark, more expensive than I am paying but less than they want so to have my property in the same bracket as them is ludicrous as it really is very run down. But there are also a lot of properties of varying standards, most better than mine, regularly available between £280 and £350 - including one directly across the road on my street that went 2 weeks ago and is the same price as mine £295 and has just been fully renovated and is beautiful.
    Originally posted by msrt5mp2
    Before you start panicking about affordability, have you checked with the council to see if your HB / LHA would increase if / when the rent increases??

    Your rent appears to be below market rate and if you are entitled to full HB / LHA then I would have thought that you would be entitled to the maximum amount of LHA for the type of property that is appropriate for your needs.

    Do you mind me asking, why do you only receive £265 in HB / LHA when your rent is £295??

    Does your accommodation have more bedrooms that you need?

    Do you know what the maximum LHA payment is in your area for the type of property you are entitled to??

    If I have been too nosey then please excuse me and accept my apologies.
    • msrt5mp2
    • By msrt5mp2 8th Aug 18, 8:46 AM
    • 16 Posts
    • 0 Thanks
    msrt5mp2
    Before you start panicking about affordability, have you checked with the council to see if your HB / LHA would increase if / when the rent increases??

    Your rent appears to be below market rate and if you are entitled to full HB / LHA then I would have thought that you would be entitled to the maximum amount of LHA for the type of property that is appropriate for your needs.

    Do you mind me asking, why do you only receive £265 in HB / LHA when your rent is £295??

    Does your accommodation have more bedrooms that you need?

    Do you know what the maximum LHA payment is in your area for the type of property you are entitled to??

    If I have been too nosey then please excuse me and accept my apologies.
    Originally posted by PersianCatLady
    Yeah no problem at all - any help or advice is appreciated so if you need more information to do so that is fine.

    I am in touch with the council currently and the person managing the selective licencing project has put me in touch with several senior people at the Council in relevant departments who can hopefully help me further as well as her dealing with the landlord in trying to resolve this.

    I do have more bedrooms than I need or really want as it is just me and I am in a 2 bedroom terraced, albeit a very small and run down one but somewhere smaller would be preferable as I do have more space than I need and it would likely have slightly cheaper bills etc.

    The problem is that these two bedroom properties in such areas are actually the cheapest in the town or nearby region. There are very few 1 bedroom properties that are available in my locality and those that are are mostly luxury mill conversions with rents of about £450pcm that do not accept DSS or shared accommodation which is still usually about the same as what I am paying currently and I'd get the same rate as I do now I believe.

    It would appear that I am on the shared accommodation rate of £62.40 per week due to the extra bedroom as my decision notice says weekly gross rent £68.08, £62.40 weekly benefit award. The council website lists the rates as such;

    Shared accommodation rate £62.40
    One bedroom rate £75.00
    Two bedrooms rate £85.00
    Three bedrooms rate £99.04
    Four bedrooms rate £137.31


    To be honest up until the last year or so I have been very much in a haze heavily medicated and sedated after leaving hospital so I certainly did not have all my wits about me in the past to know if this could be challenged or not but given my current rent made only a top up payment of £22.72 a month necessary this is just about manageable - obviously any more would be very difficult.
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