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What are this tenant’s rights regarding her tenancy and future rent increases

Here is a question to the blog clinic fast track from Angela (not her real name), who is a tenant in England.

I moved into the house in 1999, initially renting a room from the owner who kept a room there for herself, but was never there.

We both knew each other through a mutual friend, so there was no Tenancy agreement, although we always agreed things by email, and I paid no deposit.

Another woman moved into the 3-bed house and a third woman a couple of years later when the Landlord realised that she was never using the room. The landlord knew everyone personally who was living in the house. The house is furnished and some of her furniture is still here.

From 2007 the others moved out and it was agreed that I would be solely responsible for the rent and bills. The landlord has remained on the council tax and she has paid this, with my equivalent share of what it would have been for a single person, being added to the rent.

The landlord has never put up the rent since I moved in, in 1999. In 2016 during one of her visits, she said that she really needed to start putting the rent up to eventually get to market value, which today is probably double what I pay now, and suggested I think about what I might want to do eg get someone else in to help pay the rent. I said I understood and indicated that I wouldn’t be able to afford it on my own. She never did put the rent up.

The landlord has always been good about repairs, carries out gas/electrical safety and had smoke alarms installed, replaces white goods when they fail. I have probably caused some problems as I have often told her late about repairs. There has been redecorating during this period and she has offered to do more, if I would keep the house cleaner, which to be honest, I don’t.

We have a good relationship and I have always paid the rent on time.

I wonder what my rights are in this situation if she was to start putting up the rent. She is a fair person and I’m not expecting any sort of harassment, it’s just I’d like to know where I stand for the discussion that will happen one day.

Thanks.

Answer

You are in a very fortunate position to have such an understanding landlord!

The legal status of your occupation

From what you say, it sounds as if you have a sole tenancy of the house.  It will be an assured shorthold tenancy under the Housing Act 1988.  As there is no fixed term agreement, your tenancy will be a periodic tenancy, presumably running from month to month (as no doubt you pay monthly).

It seems from what you say as if initially you had a tenancy of one room with shared use of the rest of the property with other tenants, but that, from 2007, you have had a tenancy of the whole house.  This means that your landlord cannot instal new tenants into the property without your consent and can only enter the property if you agree.

As there is no written tenancy agreement, the terms of your tenancy will depend on the general law and what is agreed orally between you and your landlord.  This post (which is a bit old but still valid) sets out the main things which will apply where there is no written agreement.

So for example:

  • Your rent is due in arrears rather than in advance
  • You could keep a pet if you wished (as there is no tenancy agreement clause prohibiting this), and
  • Your landlord is bound by the statutory repairing obligations and also, with effect from 2020, the new fit for human habitation rules.

Note that we have a lot of information on tenants’ rights on my Renters Guide website.

Increasing your rent

I think, in view of the increase in the cost of living, it is only fair that in the not too distant future, you agree to a new rent with your landlord. You don’t say if your landlord has a mortgage on the property, but if she has, this will almost certainly be going up now after the recent interest rate increases.

So far as increasing the rent is concerned, with a periodic tenancy, there are two ways that rent can be increased:

  • By agreement, or
  • By the statutory notice procedure

The statutory notice procedure is where the landlord increases rent by serving the prescribed form (form 4) on you stating what the new rent is to be.

If this is higher than the normal market rent for the property, you have the right to have the rent reviewed by the First Tier Tribunal. However, this is always a bit of a risk for tenants, as if the proposed new rent is LESS than the market rent, the tribunal may increase it!

If the proposed new rent is not referred to the First Tier Tribunal the proposed new rent takes effect after one month (after which it is too late to challenge it).

Taking in a lodger

Your landlord has suggested that you get someone to help you pay the rent (ie take in a lodger), which I think, in your case, would be a good idea.

Normally landlords will not want tenants to have lodgers as this could cause the property to become a ‘House in Multiple Occupation’ (HMO), but you cannot have an HMO where there are just two occupiers. So if you take in just one lodger, this will not be a problem.

However, note that your landlord cannot insist you have a lodger or impose a lodger or a new joint tenant on you  – this is entirely down to you as you are the tenant.

I have a separate free website the Lodger Landlord, which explains what you need to do and the relevant law relating to lodgers, which you may want to read. You can also buy the necessary forms online via that site.

Future rental reform

You may have read in the press that the government is looking to change the law for rented properties and have published the Renters Reform Bill, which is currently making its way through Parliament.

This may not have a huge effect on you personally, although it will place some new obligations on your landlord, for example, to join a redress scheme.

I suggest you try to keep up to date with what is happening – we will publish further articles on this blog as and when the new Bill is amended in its progress through Parliament and becomes law (if it ever becomes law – which it may not if we have a General Election first).

And finally

As your landlord is so nice and reasonable, I think the best course of action would be to reach an agreement with her about a new rent (if you reach an agreement voluntarily it is, likely to be lower than if you wait until a new rent is imposed on you), and (with her agreement) arrange for a lodger to help you pay this. Our Lodger Landlord site has all the information you need for this.

However, in view of the HMO rules, you should not take in more than one lodger. Otherwise, this could put your landlord in difficulties.

The post What are this tenant’s rights regarding her tenancy and future rent increases appeared first on The Landlord Law Blog.


This post first appeared on The Landlord Law, please read the originial post: here

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