UK Landlord Forum / Life

The AST ends 29/11/23. Using advice given on this forum I was going to allow it to become a monthly Statutory Periodic Contract, which seemed to be on course to happen until this week.

I received an email advising the tenants are separating. She wishes to remain with her young children.

I think my course of action is;

1 - to give her a new AST contract for 6 months from 30/11, and assuming all goes well allow that to become a monthly Statutory Periodic Contract at the end of it.

2 - the current deposit needs to be released and she pays a new deposit.

3 - they have been in the property since November 2019. I assume I need to work through the following list as well?

"Things the landlord must provide you with;

A copy of the guide, 'How to rent: the checklist for renting in England', either as a hard copy or, with your agreement, via email as a PDF attachment.

A gas safety certificate before you occupy the property. They must also give you a copy of the new certificate after each annual gas safety check, if there is a gas installation or appliance.

Deposit paperwork. If you have provided a deposit, the landlord must protect it in a government-approved scheme within 30 days and give you prescribed information about it. Make sure you get the official information from your landlord, and that you understand how to get your money back at the end of the tenancy. Keep this information safe as you will need it later.

The energy performance certificate, which contains the energy performance rating of the property you are renting, free of charge at the onset of your tenancy. As of April 2020, all privately rented properties must have an energy performance rating of E or above (unless a valid exemption applies) before being let out. You can also search online for the energy performance certificate and check its rating.

A report that shows the condition of the property's electrical installations. The landlord also has to give this to the local council if they ask for it. The electrical wiring, sockets, consumer units (fuse boxes) and other fixed electrical parts in rented homes must be inspected and tested every 5 years, or more often if the inspector thinks necessary. Throughout the whole time a tenant is living at the property, national electrical safety standards must be met.

Evidence that smoke and carbon monoxide alarms are in working order at the start of the tenancy. Tenants should then regularly check they are working."

I would appreciate advice on whether my thoughts are correct, or if there is an alternative route.

Someone needs to end the current tenancy.

Quote from: jpkeates on November 17, 2023, 08:57:42 AMSomeone needs to end the current tenancy.

Are you saying the tenants both need to put in writing they wish the current agreement to end on 29/11, then a new one is started on 30/11?

That would probably work in real life - then you end the current tenancy, and start a brand new one with the single tenant.

But, strictly speaking, in a a joint tenancy, neither of the tenants can serve notice during the fixed term and one of them can't serve notice for both of them until the second day of a the statutory periodic tenancy, which has to be a minimum of a month and end at the end of a tenancy period, which is going to be 29th January 2024.

Better to have a surrender on 29th November - which can be a document signed by both of them asking for the tenancy to end that day, which you agree to.

Joint tenancies are a complete joy to deal with aren't they!

Quote from: jpkeates on November 17, 2023, 12:03:23 PMThat would probably work in real life - then you end the current tenancy, and start a brand new one with the single tenant.

But, strictly speaking, in a a joint tenancy, neither of the tenants can serve notice during the fixed term and one of them can't serve notice for both of them until the second day of a the statutory periodic tenancy, which has to be a minimum of a month and end at the end of a tenancy period, which is going to be 29th January 2024.

Better to have a surrender on 29th November - which can be a document signed by both of them asking for the tenancy to end that day, which you agree to.

Joint tenancies are a complete joy to deal with aren't they!

Thank you for the advice. I assume you don't see anything that I shouldn't be doing in my initial post once the new contract is in force.

Yes, I agree about joy of joint tenants - this is the 2nd time it's happened, but on the first occasion it was handled for me by managing agents (who I paid for). This time it's my job!

You assume correctly!

Don't forget the deposit Prescribed Information.

Quote from: Forty45 on November 17, 2023, 08:33:30 AMThe tenants are separating. She wishes to remain with her young children.

Have you confirmed to your total satisfaction that she alone will be able to afford the rent on top of her normal living costs?

Will the departing partner be contributing to her continued payment of rent? If so, are you satisfied that this situation will continue in the future?

Basically, you need to treat her like any new tenant and do some form of credit checking.

Both Tenants are joint and severally liable for the first contract, this is often the way to get the departing Tenant to cooperate.

You need an inspection and inventory with both Tenants present, to compare with the one you definitely took at the beginning of the Tenancy with them both!

If there are any issues of damages they are both culpable, again jointly and severally.

If you did not have an inspection at the beginning you are in a good position because you can decline to give a new Tenancy to the one that wishes to remain.

You need to know if the remaining Tenant can afford it, does she work or will she be on benefits.  If the latter is your rent above the LHA level for a property of the size of property it is. 

For example you may have rented a four bed house but the Council may deem that she only needs a 3 bed house because the ages of the children mean they can share. This is a good guide to LHA albeit a bit old so some details may not be totally current.

https://www.merton.gov.uk/system/files?file=lha_a_complete_guide_merton_read_a4_april_2015.pdf

You may have heard of this as the "bedroom tax"

https://england.shelter.org.uk/housing_advice/benefits/how_to_deal_with_the_bedroom_tax

I had a client who had two kids, they grew up, went to Uni and finally left home, she had some sort of PTSD and a condition that was not diagnosed.  She ran up arrears of £82 a week and it was tolerated by her social housing provider until it hit £5000, they put her in a temporary housing facility then about 18 months later into a 1 bed flat. 

Also if the property is in the South consider the benefits cap, if the rent is high and/or she is entitled to additional benefits she may be hit by that.

You can make it a term of your Tenancy that Housing Benefit is paid directly, almost all the social housing providers do this, it is best if the request to pay her Housing Benefit to you direct comes from her, usually because she tells them she has profound issues managing money.

As a Landlord you have to consider affordability.

I would put the Tenant through Tenant Referencing just as you would anyone else, you can't avoid the current Tenancy becoming SPT with the time that is left, so at the end of the month issue her and the former partner with a S21 notice (making sure all those ducks are lined up).  She and her former partner will remain liable for the rent until the Council houses her, that will almost certainly require you to take the Court Action to evict the Tenant, but if you tell her not to defend it the costs will likely be limited to the Court fee.

It is in her interest to cooperate with you as she may eventually get social housing which has a lower rent, although that is a very tough journey these days.

Quote from: Forty45 on November 17, 2023, 08:33:30 AMThe AST ends 29/11/23. Using advice given on this forum I was going to allow it to become a monthly Statutory Periodic Contract, which seemed to be on course to happen until this week.

I received an email advising the tenants are separating. She wishes to remain with her young children.

I think my course of action is;

1 - to give her a new AST contract for 6 months from 30/11, and assuming all goes well allow that to become a monthly Statutory Periodic Contract at the end of it.

2 - the current deposit needs to be released and she pays a new deposit.

3 - they have been in the property since November 2019. I assume I need to work through the following list as well?

"Things the landlord must provide you with;

A copy of the guide, 'How to rent: the checklist for renting in England', either as a hard copy or, with your agreement, via email as a PDF attachment.

A gas safety certificate before you occupy the property. They must also give you a copy of the new certificate after each annual gas safety check, if there is a gas installation or appliance.

Deposit paperwork. If you have provided a deposit, the landlord must protect it in a government-approved scheme within 30 days and give you prescribed information about it. Make sure you get the official information from your landlord, and that you understand how to get your money back at the end of the tenancy. Keep this information safe as you will need it later.

The energy performance certificate, which contains the energy performance rating of the property you are renting, free of charge at the onset of your tenancy. As of April 2020, all privately rented properties must have an energy performance rating of E or above (unless a valid exemption applies) before being let out. You can also search online for the energy performance certificate and check its rating.

A report that shows the condition of the property's electrical installations. The landlord also has to give this to the local council if they ask for it. The electrical wiring, sockets, consumer units (fuse boxes) and other fixed electrical parts in rented homes must be inspected and tested every 5 years, or more often if the inspector thinks necessary. Throughout the whole time a tenant is living at the property, national electrical safety standards must be met.

Evidence that smoke and carbon monoxide alarms are in working order at the start of the tenancy. Tenants should then regularly check they are working."

I would appreciate advice on whether my thoughts are correct, or if there is an alternative route.

Quote from: jpkeates on November 17, 2023, 02:17:48 PMYou assume correctly!

Don't forget the deposit Prescribed Information.

Thanks for pointing that out, I would have overlooked it!

Quote from: Forty45 on November 18, 2023, 06:15:50 PMThanks for pointing that out, I would have overlooked it!

Thanks for taking the time to post that.
Makes me feel useful!