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What type of tenancy forms do you have?
Since the 1996 Housing Act, which came into force on 1 February 1997, all forms, unless they say otherwise, are now Assured Shorthold Tenancies (also known by their initials as an AST). Please click on the free assistance tab at the bottom of this website for further information.
My tenant has changed the locks, is this allowed?
If the tenant changes the locks, landlords are not entitled to a key unless it says so in the contract. However, the tenant should not unreasonably withhold access, and if he or she does, the landlord can apply to the county court for an injunction. If the tenant does change the locks they should preserve the fixtures and fittings. Any damages caused by the tenant maybe recoverable from the tenancy deposit.
I want to inspect the condition of my let property, how can I do this?
Check the terms of the tenancy agreement. Most written tenancy agreements allow the landlord to inspect the property after reasonable notice has been given to the tenant. Reasonable notice is usually no less than 24 hours and generally requires the landlord to give this in writing. What would not be acceptable is the landlord simply turning up and letting himself into the property as this could be a breach of the tenant’s rights of quiet enjoyment.
Is the annual rent payable for an assured shorthold tenancy in England subject to any financial limit?
From 1st October 2010, any new AST which is created in England after this date with a rent payable up to a maximum of £100,000 per year must have the deposit protected in accordance with the Tenancy Deposit Scheme.
I have let to three joint tenants and they will expect to receive a third of the deposit each at the end of the tenancy.
If you have let to them on a “joint and several” basis, as is usual, they cannot insist on this unless you agreed to do so in advance. If you use the custodial scheme, they will have to nominate a ‘lead tenant’ to act for them, and to whom the scheme will make one payment in respect of the deposit. It is then up to the tenants to divide up the payment as they wish.
Can I make the tenant pay two months’ rent in advance instead of taking a deposit?
It is not permissible to require rent to be paid before its due date, so this might well be regarded as a sham by the Courts, leaving you liable to the penalties for non-compliance with the regulations. In any event you would have to forgo the last month’s rent and effectively do without a deposit. I have let to three joint tenants, one of them wants to leave and has found a suitable replacement, but he wants a third of the deposit back. Technically this amounts to a surrender of the existing tenancy and the creation of a new tenancy. It may be possible for the tenants to reach agreement amongst themselves for the new tenant to reimburse the departing tenant and take over his right to some of the deposit, but if there is any doubt this should be treated as if the whole deposit is to be returned and new one paid.
Can I charge the tenant a higher rent, take no deposit, but offer to refund some of the rent at the end of the tenancy if he leaves the property in good order?
As in practice this has the same effect on the tenant as taking a deposit, the Courts might well view it as a sham, with no purpose other than to avoid the regulations. Consequently you risk the penalties for non-compliance. In addition, bear in mind that an AST tenant can, within the first six months of his tenancy, refer the rent to the Rent Assessment Committee, who may order it to be reduced if it is higher than the rents paid for similar properties in the area that are also let on ASTs. This could put you in the position of having to reduce the rent and still being obliged to refund part of it if the property is left in good condition!
What if my letting agent holds the deposit but goes out of business before the end of the tenancy – I have heard that I would be liable to repay it to the tenant?
In principle that is and always has been correct – you are responsible if your agent defaults. An advantage of the new regulations is that if your agent holds the deposit, they must belong to one of the insurance schemes, which will pay out if they don’t
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