Rent Increase. Any Advice???

[k23d26]

Hi, I have been a private tennant for the past 13 years. I was never issused with a contract so don't know what I'm legally classed as.
With propery prices rising dramatically over the past several years, my landlany has now decided decided to issue me with yet another rent increase to be in line with other property prices in the area. The last increase was 2 years ago and now she's asked for double the usual amount to make up for those 2 years! Is this legal? If she missed a year can she ask for double? I was told that if I didn't like it that I could also look for other accomodation, but to be honest the house was a right state when I moved in and I've spent a small fortune over the years doing the house up. Even had a new fitted kitchen at my expence! I'm now in the middle of decorating every room in the house and apart from her putting central heating and double glazing in 3 years ago (not for my benefit but because the windows were rotton and basically falling out and the house was so damp because there was only a gas fire in the living room) she has done little else - not even a service on the boiler which keeps packing in.
I know it's her property but she owns it outright and I have been a good tennant for 13 years. The house has been done up lovely so no doubt she could get a good price if I left. She's always saying that she would be able to charge much more than what she charges me but don't Landlords feel any kind of loyalty to their tennants? I'm just so annoyed that she comes to look at the property, sees I've done more work and then increases the rent as it looks so good! Surely there has to be a saturation point where rents can only go up so high otherwise these greedy landlords will be charging hundreds a week given the chance!
Does anyone know legally how much notice I have to be given before the increase comes into effect.
Any advice would be greatly appreciated.
Thank you!
Tracie X

[mutzi]

The shelter site (Shelter: Renting and leasehold) should help you figure out what type of tenacy you have (thats the England site, change at the top if neccessary.)

My guess would be an assured tenacy. The following is from the shelter site (Shelter: Assured tenancies

Your right to challenge rent increases

You pay the rent that you agreed with your landlord. If you do not pay your rent your landlord can take court action to evict you. If you pay rent weekly your landlord has to provide a rent book.
If you are a fixed term tenant your landlord cannot increase the rent unless you agree to it.
If you are a periodic tenant your landlord can increase the rent if:

• you agree to the increase
• there is a procedure for increasing rent written in your tenancy agreement
• your landlord gives you written notice of the proposed rent increase
• your landlord gives you written notice to change the terms of your tenancy

If your landlord tries to increase the rent when it is not possible to do so and you don't agree to it, you cannot be evicted as long as you continue to pay the rent you did agree to. But if you start paying the increased rent the law assumes that you have agreed to the increase and you will have to continue paying it.
If your landlord gives you a notice to increase the rent and you don't agree to the rent increase you may be able to challenge it. It is sometimes possible to get the rent assessment committee to decide the amount of rent you should be charged.

Your landlord cannot decide last years rent was too little and ask for more now.

Hope this helps

[Alison82]

Bloody cheek of her!!!

By why would you spend your money on her property I know you have to live their but surely you would be better of moving onto somewhere in a better state? If she continues take her to court! I'm sure they will award you compensation considering the amount of money you have spent on the place.


(BTW this is only my opinion)

[blacksheep1979]

any work that you have carried out on the property that 'HAD' to be done ie fixing boiler etc etc can be taken as rent. I would tot up the amount you have spent including labour by yourself (and don't sell yourself short, decorators aren't cheap) and present her with this figure. Explain that whilst she may be getting less rent from you she has had £x in fixtures/fittings and labour which (hopefully) more than exceeds the difference in rent. Also ask her if she would prefer a tennant that looks after the house/flat or new ones whom she doesn't know and will probably in the long run damage it.

Also the house isn't legally rentable without a valid gas safety certificate issued by a CORGI reg'd plumber/gas person. (and this has to be issued yearly)

Hope thats of some help

[curlylocks505]

Hello all,
i am so happy to have found this site.I moved in to Private Rented accomodation in Feb of this year 2007.When we moved in there was no working central heating.We had a new combi boiler fitted and 3 trendy radiators.I have decorated and carpeted 3 Bedrooms.The bathroom is disgusting but I have decorated and made the best of what we have.My bath panel has a huge hole in it, but I have not complained.My landlord has continued to use the garage with us, no problem, I thought.We have a short hld tenancy for 12 months at £550 per calender month.Always paid on time by direct debit.All house hold bills and insurance up to date.
Tonight by TEX, my landlord has informed me that they have a new Tenancy for me to sign.Increased to £600 a month from immediate effect!!!!! I haVE ONLY BEEN HERE 7 mONTHS!!! I could cry.

Any advise gratefully recieved
xxx

[Aequitas]

If your tenancy started in 1994 then for it to be an assured shorthold tenancy all the following must apply:

1. It must have started as a fixed term for not less than six months.

2. There must be no provision allowing the landlord to terminate during the first six months.

3. Notice in the prescribed form had to be served before the tenancy began.

So

The absence of 1 or 3 or the presence of 2 will mean that you do not have an assured shorthold tenancy. In the absence of a written agreement it is unlikely (though theoretically possible) that a fixed term was agreed. If there was no written agreemnent then I think we can forget about 2. If there was no notice that puts the matter beyond doubt.

If you do not have an assured shorthold tenancy then you have an assured tenancy with security of tenure as set out in the Housing Act 1988 and the landlord can only increase the rent in accordance with the Act. Notice must be served in the appropriate form and you have the right to refer the matter to the Rent Asessment Committee to decide the rent.

[curlylocks505]

Thankyou for that information.We have a signed agreement which is a tenacey agreement for one year.Up until feb 2008.
We have spent loads of money on the house,it really was in a bad way.We also have an agreement that we will have 3 months rent free if we leave, because we fitted the boiler etc.The landlady has stated that it would be along let up to 10 years, but she said the Mortgage company would not accept a lease for that long.There is no inventory.
Again thankyou for replying it is really useful information,

kind regards k

[callumsgran]

Landlords can only put the rent up at the end of a fixed period, i.e 12 months, 6 months etc and by giving i believe a months notice and are only allowed to raise it by a certain percentage and not above the market rate.
So therefore they cant put it up to cover extra mortgage interest if that takes it over the market threshold
HTH

[Ed999]

Your rights are governed by the terms of the tenancy agreement.

The landlord can only increase the rent during the fixed term of 12 months if the tenancy agreement contains a provision to allow that to happen, or if you agree to the increase.

Otherwise, the landlord can only increase the rent by the statutory procedure, after the initial fixed term has ended.

For full details read the following thread: http://www.consumeractiongroup.co.uk...-increase.html

As a shorthold tenant, when your 12 month fixed term ends you can be given 2 months notice at any time, ending the tenancy. You may have no choice but to agree the rent increase if faced with that notice, but only from the 13th month.

If you have spent money on the property to effect repairs which were the landlord's responsibility, e.g. boiler repairs for space heating or water heating, you can perhaps make an equivalent deduction from the rent. But only for things which the landlord has a statutory duty to put right in order to make the property habitable, not for the cost of general improvements that you may have chosen to do voluntarily.

You have little or no real security of tenure, so you should bear that in mind in deciding what improvements to make to the property and what money to spend on it.

If the landlord is demanding a rent increase after only 7 months, I suggest you move out when your fixed term ends! This is not a good landlord, who will only cause you trouble.

[Ed999]

Originally Posted by callumsgran

Landlords can only put the rent up at the end of a fixed period, i.e 12 months, 6 months etc and by giving i believe a months notice and are only allowed to raise it by a certain percentage and not above the market rate.
So therefore they cant put it up to cover extra mortgage interest if that takes it over the market threshold
HTH

There *IS* a statutory procedure, but it is of no use to an assured shorthold tenant in England and Wales.

Such a tenant can be given 2 months notice, ending the tenancy at any time after the expiry of the initial fixed period. Faced with such a notice, the tenant must move out within the 2 months or face eviction by court order.

The landlord can then re-let at any rent he wishes, either to the original tenant or to a third party.

The statutory protection is completely illusory for such a tenant.

[Aequitas]

Originally Posted by Ed999

The statutory protection is completely illusory for such a[n assured shorthold] tenant.

I would not go quite that far. A landlord who has a good tenant may consider backtracking if he has asked for over the odds or does not want to lose the tenant.

[curlylocks505]

Thankyou all for your much valued advice.I am going to the Citizens Advice tomorrow.To get clarification of my Postion.It is so gutting I have been a single Parent for 7 years, always in full time Employment.The council are not interested in Housing me, so I am caught in The Private Rental Nightmare.I have had to move 10 times in 7 years.I have had promises made time and time again, only to be let down.It seems that a long let is a thing of the past, as is loyalty.To working, Decent Tenants.I have always had a full Deposit back and have never been asked to leave because of any wrong doing.Just that " Their " situation has changed.Its cost me a fortune, and the thouht of moving again fills me with Dread.But I think the comment on my Current Landlord being a bad one is true,they will just continue to Fleece me if I allow it.
Again Many kind Regards
Kirsty

[CuriousCat?]

Is it definitely a months notice that is needed to warn tenants of a rent increase? Does anyone know for sure?
If it's a year contract and due for renewal, should the letting company not tell you in good time? A month at least!
Should it also not be in writing?
What if they don't give you that long, and then when you tell them you'll move out at the end of the contract instead of accepting the increase, 'they' want a months notice form you! Can they do that? Is it fair?

Please if anyone has any advice on such matters it would be greatly appreciated!

[clavileno]

Originally Posted by curlylocks505

It seems that a long let is a thing of the past, as is loyalty.To working, Decent Tenants.

Security of tenure is incompatible with the current housing market. Mortgage companies will only lend large amounts against property which they can take back and sell if they need to without sitting tenants.

Without the relaxation in tenant protection there would have been no explosion in private landlords. Without that explosion there would not have been the stupid property inflation we've seen over the last 10 years or so.

Conversely, without the relaxation and attendant boom, there would have been much less new building.

By the way, even the assured shorthold tenancy will not stop you getting evicted if the landlord doesn't pay his/her mortgage. The mortgage company can take posession at any time and evict you. Meanwhile the landlord CAN raise your rent to a higher amount because of the money you spend on doing up a property. Do NOT spend money on improving a rented property on an assured shorthold tenancy.

[CuriousCat?]

Originally Posted by CuriousCat?

Is it definitely a months notice that is needed to warn tenants of a rent increase? Does anyone know for sure?
If it's a year contract and due for renewal, should the letting company not tell you in good time? A month at least!
Should it also not be in writing?
What if they don't give you that long, and then when you tell them you'll move out at the end of the contract instead of accepting the increase, 'they' want a months notice form you! Can they do that? Is it fair?

Please if anyone has any advice on such matters it would be greatly appreciated!

Sorry, the last post didn't really answer my question.
I probably should be on a different post, but I can't seem to work out how to start one!

Anyone??

[Joa]

Originally Posted by CuriousCat?

Is it definitely a months notice that is needed to warn tenants of a rent increase? Does anyone know for sure?
If it's a year contract and due for renewal, should the letting company not tell you in good time? A month at least!
Should it also not be in writing?
What if they don't give you that long, and then when you tell them you'll move out at the end of the contract instead of accepting the increase, 'they' want a months notice form you! Can they do that? Is it fair?

Please if anyone has any advice on such matters it would be greatly appreciated!

CuriousCat, the following post contains the correct, up to date info: Rent Increase

As for wanting a month notice at the end of tenancy: they may want one, but you do not have to give one. End is the end; the tenancy agreement already stipulates the end, there is no need for superflous paperwork.

Check your tenancy agreement; does it have a clause about increase?
If not, the increase can only be actioned by you formally renewing tenancy.
You may be put in an inconvenient situation whereby you would like to know whether to renew or not, depending on whether the increase will be manageable. I am afraid there is no obligation on the landlord to tell you but most landlords would like to know too if the tenant will be staying on- they'd want to avoid a vacant property at all costs (well, nearly all costs).
So you really need to speak frankly with the landlord. Research first the market; is it going to be easy for the landlord to get a new tenant? Is the market saturated with empty properties or are the tenants vying for very few properties available? Then you can tell the landlord: look, you are going above the local rent market, let's cut the deal. Or you may find that your rent was below the market level and you may have to put up with the raise.