Charge for changing Statutory Periodic tenancy to fixed term

[grandmaknowsbest]

Have been renting my property since 2007 and am currently on a statutory fixed periodic tenancy. I've received an email from the managing agents stating the landlord wishes to put the tenancy on a more formal footing and wants a tenancy agreement in place "for term of 12 months but with no fixed period of tenancy for Landlord or Tenant upon the same terms and conditions of the signed Tenancy Agreement dated March 2007. The notice period will be two months written notice and such notice is to be served in accordance with the Tenancy Agreement".

I'm asked if I want to renew the tenancy on the requested terms of the Landlord there will be an administration fee of £55.83 +VAT and will become payable before the tenancy is extended for a further time. I'm told if |i don't want to renew the tenancy I'm required to serve notice to conclude the tenancy.

 

I do want to continue with the tenancy - but does the new tenancy requested reduce my rights? Can I be charged an admin fee by the agents? What's behind the landlord wanting to change the current arrangement?

[mariner51]

Can't see what the LL gains other than extra 1 month Notice from you.

Ask LA for draft copy of new Contract at no charge, so you can seek legal advice. Wording of Contract will be critical.

Worth pointing out to LL that if you you sign a new AST, then he must protect any deposit he holds (Mar 2007 predates dep protection requirements) and provide the 'required info'

May be worth stating in writing, that you are happy with the current SPT and hope to stay for at least another 12 months (God & LL willing)

If you sign a new Agreement offering nothing extra fee will be payable to LA. No fee should be applicable if you stay with current SPT.

[R J Dearden]

If this is an Assured Shorthold Tenancy agreement then no matter what the tenancy agreement states relating to serving notice you only need to serve a minimum one clear month to terminate the agreement once the fixed term is coming to end (ie so ends on the termination date of the agreement) or if this agreement falls into a Statutory Periodic again only one full month's notice is needed.

[Dragon66]

Ring the Shelter Advice line, it might not be in your interest to change your type of tenancy but it will certainly be in the LL's interest.

Their number is : 0808 800 4444

[mariner51]

If you / LL sign a new 12 m AST to terminte your current SPT, then both sides are effectively 'locked in' to new fixed term and liable to LA for resulting charges. If you sign a new AST then check-out/in inspection should be conducted, deposit if any repaid after any damages deducted and a new deposit required and protected. You may be required to give more than 1 month Notice during fixed term, but you remain liable for property & rent until end of fixed term unless early termination is mutually agreed & Deed of Surrender signed.

LL gets rent 'guaranteed' for fixed term, T gets security of tenure for same period in broad terms. I cannot see how LL benefits overall.

I suggest the only person to benefit will be LA.

Has OP discussed option with LL?

[Steve__M]

I suggest the only person to benefit will be LA.

Has OP discussed option with LL?

 

These were exactly my thoughts.

 

LA says to their LL "Would you object to us updating the contract?" LL says "Well I prefer the flexibility of giving notice". LA says "Well we can write in a right to give 2-months' notice". LL says "Go ahead - it's no skin off my nose" but is unaware that he is tying tenant in to paying renewal fees for this and subsequent renewals.

 

So if poss a politely worded letter to landlord saying "Can you confirm that this is what you wanted? Were you told that we are being asked to pay an additional admin fee?".

 

If this is *really* what the LL wants, he is entitled to ask for it. If so it is down to you to decide whether you negotiate the fee, refuse to sign up (in the hope or expectation that they won't evict), or move.

[R J Dearden]

Changing the tenancy to a fixed term of 12 months also ties the landlord in to this period as well as the tenant unless there is a break clause written into the agreement. If you are happy with the increased security of tenure then it is reasonable to expect a charge for drawing up the new contracts. If you are not happy with the charge and refuse to pay it, the landlord/agent can either set it up anyway without charge to you if you are willing to sign it, or leave the tenancy on the current statutory periodic and run the risk that the landlord can serve 2 months notice at anytime for you to vacate.