Landlord Wants More Money

[Bob Loblaw]

Been renting for nearly a year, a new build 6 bedroom 5 bathroom, costs £900 a month but heating and council tax add another £450 a month to that. Anyway, just had letter to say LL offers us the house for another year for £945 a month. Is this normal to up the rent like this in a falling market? Any advice, not really happy to pay anymore as feel I am paying enough and I suspect LL would have difficulty renting it out again.

[Wad]

This house must be in a very cheap area of the UK. Round where I live in Oxfordshire something like that would be three times the price?

Anyway, if the house was fairly priced for rent at £900 last year then I would say a 5% increase is really not available in the market - rents are falling everywhere. I guess the clincher for you is whether there is something like it nearby that you could rent for £900. If so tell your LL about the alternative property and asking him/her to contnue matching that price. Otherwise think about moving if the additional cost of moving and the hassle is less than the rent increase the LL has asked for.

If you have a good LL that is worth paying a slight premium for as well.

.

[Now or never]

Been renting for nearly a year, a new build 6 bedroom 5 bathroom, costs £900 a month but heating and council tax add another £450 a month to that. Anyway, just had letter to say LL offers us the house for another year for £945 a month. Is this normal to up the rent like this in a falling market? Any advice, not really happy to pay anymore as feel I am paying enough and I suspect LL would have difficulty renting it out again.

Tell him what you've just told us.

[MattW]

Unless my mental arithmetic has failed me, the LL wants to increase the rent by 50%. I personally would say no to the increase. Maybe negotiate a small percentage increase perhaps if you think the house is worth it.

[Financial Hack]

Unless my mental arithmetic has failed me, the LL wants to increase the rent by 50%. I personally would say no to the increase. Maybe negotiate a small percentage increase perhaps if you think the house is worth it.

Your mental arithmetic fails you massively. A £45 increase on rent of £900 is 5%.

[MattW]

Your mental arithmetic fails you massively. A £45 increase on rent of £900 is 5%.

Oops! I read it properly now. I thought the LL wanted another £450 on top of the £900 a month (£1350/month altogether).

*goes to lie down in a dark room*

[Financial Hack]

Oops! I read it properly now. I thought the LL wanted another £450 on top of the £900 a month (£1350/month altogether).

*goes to lie down in a dark room*

Now THAT, would be extortionate.

I thought you'd done that.

[renterbob]

Been renting for nearly a year, a new build 6 bedroom 5 bathroom, costs £900 a month but heating and council tax add another £450 a month to that. Anyway, just had letter to say LL offers us the house for another year for £945 a month. Is this normal to up the rent like this in a falling market? Any advice, not really happy to pay anymore as feel I am paying enough and I suspect LL would have difficulty renting it out again.

Give him notice to quit.

[Bob Loblaw]

This house must be in a very cheap area of the UK. Round where I live in Oxfordshire something like that would be three times the price?

Anyway, if the house was fairly priced for rent at £900 last year then I would say a 5% increase is really not available in the market - rents are falling everywhere. I guess the clincher for you is whether there is something like it nearby that you could rent for £900. If so tell your LL about the alternative property and asking him/her to contnue matching that price. Otherwise think about moving if the additional cost of moving and the hassle is less than the rent increase the LL has asked for.

If you have a good LL that is worth paying a slight premium for as well.

.

House is in Darlington, County Durham and sounds grander than it is (3 story new build terrace with small gardens front and back). Anyway, have contacted the leasing agent and have expressed suprise in the LL wanting more rent, have asked them to reconsider and have also asked the LA to arrange two viewings on other properties they have.

[gilf]

House is in Darlington, County Durham and sounds grander than it is (3 story new build terrace with small gardens front and back). Anyway, have contacted the leasing agent and have expressed suprise in the LL wanting more rent, have asked them to reconsider and have also asked the LA to arrange two viewings on other properties they have.

That's the thing to do have a look at the market and see what else of a similar size and condition is available.

For example the flat next door to me, which is identical if not better as it has both front and rear access where we only have rear access is currently on the market (and has been for about 4 months) at £50 less than we currently pay. I'm sure we could get another £50 if not £100 knocked off of that. So if the landlord wants to increase the rent in April I'll just say I'll move next door.

You do of course have to be willing to go through with it, but I'll be more than happy to.

[Financial Hack]

That's the thing to do have a look at the market and see what else of a similar size and condition is available.

For example the flat next door to me, which is identical if not better as it has both front and rear access where we only have rear access is currently on the market (and has been for about 4 months) at £50 less than we currently pay. I'm sure we could get another £50 if not £100 knocked off of that. So if the landlord wants to increase the rent in April I'll just say I'll move next door.

You do of course have to be willing to go through with it, but I'll be more than happy to.

That would probably be the easiest move ever

[Sir Sidney Ruff-Diamond]

I generally find that trying to negotiate with the landlord doesn't work - if you point out similar properties at lower prices, the landlord will ignore them.

You can, however say that if that is their final asking price, you will give Notice to Quit. Go through with it if you have to, because landlords have to learn the hard way in many cases.

[Starla]

I wish property in my neck of the woods was a cheap as that!

However.... following on from advice before me here, I would tell the Landlord "no" to an increase. Bear in mind that his increase is £540 over the year, he knows that if he decides to market it again every week it's vacant is costing HIM about £220 in the rent you were paying (plus bills, plus advertising fees). It only needs to be vacant for a fortnight and he's made a loss compared to just allowing you to stay at the old rental rate.

I think you will get a positive result if you say you won't accept his rise.

It's written into my contract on my current rental that at the end of the 12 month term my rent will rise to from £295pw to £310pw. I can assure you it WON'T be!

[Damocles]

It's written into my contract on my current rental that at the end of the 12 month term my rent will rise to from £295pw to £310pw. I can assure you it WON'T be!

That may depend on how it is "written in".

If the agreement provides for a "straight" fixed term, then when it comes to an end the terms under Section 5 of the HA 1988 will kick in and the periodic tenancy will be at the rent you paid immediately before the fixed term tenancy came to an end. Any provision in the agreement as to what happens after the fixed term comes to an end is a contradiction in terms and does not apply to the statutory periodic tenancy.

However, if the agreement is for a fixed term to be followed by a periodic tenancy then you are already contractually bound to pay the increased rent.

[Starla]

That may depend on how it is "written in".

If the agreement provides for a "straight" fixed term, then when it comes to an end the terms under Section 5 of the HA 1988 will kick in and the periodic tenancy will be at the rent you paid immediately before the fixed term tenancy came to an end. Any provision in the agreement as to what happens after the fixed term comes to an end is a contradiction in terms and does not apply to the statutory periodic tenancy.

However, if the agreement is for a fixed term to be followed by a periodic tenancy then you are already contractually bound to pay the increased rent.

That reminded me of Mr Logic from Viz

Seriously thanks for the advice, although I would have been better wording it like this - I have a 12 month contract and fixed rent at £295 per week. If I wish to renew the contract at the end of the 12 months then rent will then rise to £310.

So my answer to my letting agents/landlords at the end of the 12 month contract is "no thanks, I won't be renewing my contract with you at £310pw when similar 2 bed flats in my block at being advertised at £250pw"

[gilf]

That would probably be the easiest move ever

Yeah actually fancy doing it as it will be a decent reduction for the equivalent hassle of moving the fron room furniture around.

[barelythere]

I've rented 4 different properties. Each of the contracts included a clause that the rent would rise by x% at the end of the initial term, but I've never paid increased rent.

I've found that if you pay on time and look after the place landlords are always happy to waive this clause. They would much rather continue to receive some income than risk a month or two with no income while they find a new tenant.

[Prime Realist 8]

Usually I would say no to a rise, but this property sounds so damn cheap to begin with, that a 5% rise is not unreasonable.

[renterbob]

I've rented 4 different properties. Each of the contracts included a clause that the rent would rise by x% at the end of the initial term, but I've never paid increased rent.

I've found that if you pay on time and look after the place landlords are always happy to waive this clause. They would much rather continue to receive some income than risk a year or two with no income while they find a new tenant.

[Old_Traveller]

I've rented 4 different properties. Each of the contracts included a clause that the rent would rise by x% at the end of the initial term, but I've never paid increased rent.

I've found that if you pay on time and look after the place landlords are always happy to waive this clause. They would much rather continue to receive some income than risk a year or two with no income while they find a new tenant.

Edited January 28, 2009 by Old_Traveller