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asherpat

How To Push My Landlord Down At Renewal Negot-s?

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Hi all, this is my first post here.

I am renting since 2006 when i sold my semi and went renting cos it was (and still is) much cheaper (even if the missus whines that she wants "our own" home). BTW, all the proceeds of sale are in inlfation linked gilts to protect against the highly likely massive (when I say massive, i mean double digits, and not "teens", mark my words) inflation, but that is another discussion.

Anyway, here I am, living in a house that I can not afford to buy, but perhaps can make it even lower rent, with my renewal scheduled for October-09.

Will appreciate your advice, experience, e.g.,:

1. how much (if at all), the rents have gone down since, say, 12 months ago, especially in North London;

2. when's the best season to hunt for a rented house (i.e., perhaps I shud start hunting for alternatives now?); and

3. any practical tips tips on how to manage the negotiations v the landlord.

Thanks in advance.

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The best way to renegotiate a cheaper rent is to write a letter to the Landlord in order that he/she can sleep on it. In the letter state your case and show proven examples of similar properties that are cheaper in the area.

Remember to state the facts, as your Landlord like many will ring around agents and ask them for their take on the market.

I have a property let out and the lease came up for renewal in December, I rang the agents suggesting that I should lower the rent as the market had changed and they told me that was not the case for my particular property and advised me to put the rent up.

Not wishing to lose good tenants I went against their advice and kept the rent as it was, that is no rise for the past three years. I am happy, and my tenants rang me up to say they are very very happy with the arrangement also.

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Rents around here (Yorkshire) are down at least 10% from this time last year - surprisingly houses have fallen more than flats. I intend to negotiate a hefty discount when my contract comes up for renewal - there's an abundance of property to rent out there

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From above replies I see only small falls mentioned (10% or so). How is it, on the background of much larger falls in the prices of the properties (to buy)?

Also, does anyone know good analytical article(s) to discuss the implications of the financial crisis on the rental market? I dont want to read charlatanic idiots with arguments that dont stand the test of logic such as "people buy less, so rents are/will go up". Anyone?

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I'm in NW10, towards north acton, so slightly better than wilesden junction/harlseden (only just). 2bed top floor (3rd) modern development (built 95). But its 35-40mins to work in the center of london door to door.

I renewed on my flat in may and got a 9% reduction from last years. when we moved into the flat it was the cheapest one out there by some £20pw. in the small estate all the flats are similar size and layout bar the top floor having loft space and the 2nd floor having a small balcony. at that time there were a few flats to choose from, ours was 230pw, most were 250pw and one or two at 270pw. we share (my g/f and i) with a mate so between the 3 of us it works out very cheap. cheaper than our own place or in a bigger house, certainly for the space we have.

When it came to renewal i was offered to keep the rent the same, however id noticed another flat up round the corner. logged it on property bee and it had been on at 277pw for 3 weeks... i waited a bit and it dropped to 231pw. i then contacted that agency and haggled saying i wouldn't even visit unless they could drop to 200pw, with negotiation they came down to 205pw and i used this to negotiate the current rent with our agency. the cost of moving adds quite a bit even if you average it over the year (some 6-8 quid per week) so i was prepared to pay slightly more to stay where i was, and our LL and agency have actually been ok.

Since then a few more flats have come back on, and they range from 280pw to 360pw! which is nuts considering the location.... the best thing you can do is know the area and find a flat you wouldn't mind moving into that compares to your current place, negotiate the rent hard on that place and if you get it cheap you can either use that to re-negotiate your current place or move there. Ive always thought may to the end of august was the busiest time for rentals as thats the main time for students to start/end uni.

Edited by dandandan

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It might be different if you deal directly with a Landlord but if you are with an letting agents they will know what prices places are going for and if there is a difference will most likely do a deal. i just got my rent reduced by another 10% - 6 months after having already got 10% off the advertised price. what i did was simple:

look for somewhere nicer for less rent and show it out to the agent asking them to at least match the price.

have them tell me that the landlord was planning on increasing but could be persuaded to keep it the same.

point out that property bee showed they had reduced the rent on half of their properties that very weekend.

listen to how none of them were as nice as mine.

point out that they appeared to have a minimum of 2 months void on each new rental and explain that 1 month void would cost him more than reducing my rent by 10% over the next 6 months

hear about how his mortgage was currently more than my rent and he couldnt afford to reduce further

perform a virtuoso performance on the smallest violin in the world for my non-uk based landlord and point out that my taxes and savings were already subsidising his idiocy and that i didnt really feel the need to put my hand any deeper into my pocket for him

accept my renewal lease with 10% off which is going towards buying the place for half of what he paid for it when he goes under in about 12 months time.

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my agents had a client lined up with a target price and told my LL I WANTED to move.

fell on my feet with a place at least twice the size, for £10 pw more.

My Agents are crims, and I am now issuing a TDS appeal as they refused to return 100% deposit even after the landlord agreed to do so ( in writing).

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Dude you may need to change your plans rents have stopped falling and have started to rise again in some areas

http://news.bbc.co.uk/1/hi/business/8071659.stm

No figures to back the claim up - the BBC news editors are saying it because they desperately want it to come true.

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No figures to back the claim up - the BBC news editors are saying it because they desperately want it to come true.

Bro click the link!!

Theres numbers and figures everywhere like

"Birmingham, there was a 0.3% rise in typical asking rents in the West Midlands. London and the South East of England also saw average rents increase slightly"

Did you actully click it come on be honest!!

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Bro click the link!!

Theres numbers and figures everywhere like

"Birmingham, there was a 0.3% rise in typical asking rents in the West Midlands. London and the South East of England also saw average rents increase slightly"

Did you actully click it come on be honest!!

Wow, 0.3%, what a stellar rise, and clearly this single month sets a clear trend for the future.

You do realise that's the equivalent of £3 PCM on a £1,000 PCM rent right? It means nothing. The trend is downwards.

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Bro click the link!!

Theres numbers and figures everywhere like

"Birmingham, there was a 0.3% rise in typical asking rents in the West Midlands. London and the South East of England also saw average rents increase slightly"

Did you actully click it come on be honest!!

Yeah, because people always get what they ask for.

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all i can say whoever says this kind of things must be stupid; i mean all music genres have always been through this, when techno music started people were like wtf is this noise? is that music?

but yeah theres always haters.

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Yeah, because people always get what they ask for.

I thought I had been talking to my agents for last few weeks about re-negotiating. They are very slow - and the girl is a bit dim.

Anyway, after explaining in detail why i feel my current rent is too much, what others are asking for locally and the general state of rental market the agent said they would speak to landlord. I gave them an indication and justification of what I wanted and asked them to make me an offer. Girl agreed to speak to LL and come back to me.

Hey presto, a few moments later I was told that before agreeing anything they wanted to do an inspection.

Great I thought. They know what I want and this seems to be going the right direction. I knew there would be no problem with the inspection and thought no more about this.

Bit of a communication breakdown at inspection cos the person that came out asked if we wanted to renew, I explained that I had alrteady started negotiations and was eagerly awaiting an an offer from LL.

Until...................................Alas the girl hadnt at any point spoken to LL. And didnt for 3 weeks until i phoned to chase them up.

Upshot is, they now think ive left it too late to move if i want to move out on last day of my tenancy - next week. Hence they offered to knock £20 off whilst I had asked for £75.

On the flip side, I saw this as giving me bargaining strength. If i could find a property that is currently empty and offer to be paying rent next week, a LL would be able to trade off lower rent against the void they are currently expecting! As such I told my current agent I was neither accepting nor declining and would let them know tomorrow, but expressed my regret that they could not offer a bigger discount. Amusingly they justified it by saying the LL had to cover his mortgage - boy did I chuckle to myself and steel myself that I really was going to put myself out and move in less than 1 week.

In a few hours I haggled with a few agents and found a house with 3 beds (currently a bit cramped in a new build 2 bedder), a converted attic, conservatory, back garden 3 times bigger than the postage stamp attached the the slave box i currently call home and adjoins / views over a spinney. All for the same money Ive been paying for last 2 years and 12% less than the Ll/agent was asking for!

There was sooooooo much backtracking when i phoned my current agent. LL bought the place i rent in 2007. Had it for 3 weeks before i moved in. Paid on time every time & no voids. He's had it good so far (if you dont count the fact that the place has lost about £40k since he bought). And in the current market he will need to continue with little / no voids bad tenants etc.

Anyway, not yet signed tenancy for new place, but emotionally we have moved already. But the desperation on the part of the agent and LL is amusing. The agent should have put this to bed 3 weeks ago or start looking for a tenant. I reckon the LL is going to be rightly pi55ed at them.

Meanwhile, we will know its at least 2 years before we will buy, so we may as well have a bit more enjoyment in amuch nicer house with more space and the back garden gets the sun all day, not just the 4 hours we've tolerated for too long!!!!

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Result. One less LL mouthing off how some mug is paying his mortgage. I think house collecting is finally becoming less attractive. May I suggest stamp collecting?

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In a few hours I haggled with a few agents and found a house with 3 beds (currently a bit cramped in a new build 2 bedder), a converted attic, conservatory, back garden 3 times bigger than the postage stamp attached the the slave box i currently call home and adjoins / views over a spinney. All for the same money Ive been paying for last 2 years and 12% less than the Ll/agent was asking for!

Good luck to you, it is a renters' market out there.

I pointed out to our LL the state of the market earlier this year, and asked what sort of a reduction they would consider on the rent. Was told that there wouldn’t be one. They came back to us later, offering a paltry £50 pcm reduction, but it was too late by then.

For a fraction more than we are currently paying we will shortly be moving into a house with roughly double the sq ft living area, a pool, and the best part of 4 acres of land.

Don’t fancy the chances of existing LL renting current house out; the one next door has been up for rent since last summer, with virtually no interest whatsoever. LL is going to have to discount severely to avoid a lengthy void.

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We're in a nice 4 bed house 7 miles south of Lincoln. Been here since last September on a 12 month agreement paying £1000pcm, which was reasonable at the time. Interesting thing is that the house next door is virtually identical to the one we are in and is also for rent with the same agents. It though has been empty since last October. In that time the rental asked for it has gone from the same £1000 we are paying, to £895 about 6 months ago, and in the last couple of weeks it has dropped to £795.

So, it should be easy pickings when we come to renew on this in September. We're going to ask our LL to either beat that price or tell him we'll be moving next door.

Darren.

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We're in a nice 4 bed house 7 miles south of Lincoln. Been here since last September on a 12 month agreement paying £1000pcm, which was reasonable at the time. Interesting thing is that the house next door is virtually identical to the one we are in and is also for rent with the same agents. It though has been empty since last October. In that time the rental asked for it has gone from the same £1000 we are paying, to £895 about 6 months ago, and in the last couple of weeks it has dropped to £795.

So, it should be easy pickings when we come to renew on this in September. We're going to ask our LL to either beat that price or tell him we'll be moving next door.

Darren.

My advice would by not to wait until September. Start negotiating now, as your hand will be weakened if the house next door is gone by then.

It is a renter's market out there at the moment. We move at the end of next week from a five bed detached with bog-standard garden, to a massive six bed place with a swimming pool and the best part of 4 acres; All this for roughly an extra couple of hundred quid a month. Who wants to buy when there are such fantastic deals out there?

Good luck.

Hope this helps.

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At the end all I managed was to puch the landlord down by 8% from what I pay today.

The point is that this is just the beginning. When the &^!£ will really hit the fan (dont know exactly when, but it shud happen and soon), then the precedent has been set, and I think I will be able to push it down by 25-30%. But who knows? With high inflation, it may not be easy to reduce the NOMINAL rent.

Thanks to all the contributed.

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At the end all I managed was to puch the landlord down by 8% from what I pay today.

The point is that this is just the beginning. When the &^!£ will really hit the fan (dont know exactly when, but it shud happen and soon), then the precedent has been set, and I think I will be able to push it down by 25-30%. But who knows? With high inflation, it may not be easy to reduce the NOMINAL rent.

Thanks to all the contributed.

A lot must depend upon where you are.

My landlord rents some of the better properties in town so he always advertises at a top rent. For reference, this is an uninteresting town with no obvious generator of tenants.

Last week he had two (out of 12) void, one of them for 8 weeks. Yet he was still advertising them at the same rent that I agreed to 15 months ago. A new guy has just moved in to one of them and managed to negotiate a 4% discount.

Now that was from a person who didn't have any costs of "walking away". I suspect that if I tried to negotiate down he would call my bluff.

tim

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