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Terminating a fixed term lease

  • 16-02-2017 6:53pm
    #1
    Registered Users, Registered Users 2 Posts: 19


    I intend to sell a recently inherited rental property and the tenants have been there since 2011 so they are entitled to 168 days notice. They signed a one year fixed term lease back in August which I now realise was probably unnecessary and a waste of money to our letting agency. Does this mean that I can only issue them with notice to terminate the tenancy next August and then I have to wait the 168 days on top of than? Would they just stay on the same rent for those 168 days or can I increase it in line with the new rules? They are renting at approx €400 below market rate and it was last increased August 12 months ago. Appreciate any advice.


Comments

  • Registered Users, Registered Users 2 Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    You'd need to read the lease - any break clause?


  • Registered Users, Registered Users 2 Posts: 19 Maya22


    You'd need to read the lease - any break clause?

    No it's just the usual anti-social behaviour clauses. I'm fine with waiting until the end of the current lease but I didn't know that I had to then give notice of a further 168 days to get them to vacate. There really is no point of a fixed term lease otherwise is there?


  • Registered Users, Registered Users 2 Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    Maya22 wrote: »
    No it's just the usual anti-social behaviour clauses. I'm fine with waiting until the end of the current lease but I didn't know that I had to then give notice of a further 168 days to get them to vacate. There really is no point of a fixed term lease otherwise is there?

    I'm probably the wrong person to ask, you'll see some threads on this very subject started by me. They basically give the tenant and the LL security that neither will end the Part IV within the fixed term period. There main function seems to be to generate a yearly commission for letting agents.

    I'll let someone else comment on notice periods, I believe there is a maximum notice one can give so you'll need to time the notice to coincide with the end of ther fixed term, but no so early as it's invalid. Normally I'm the first to offer half baked legal advice and the moderators are very generous in allowing people to talk about notices etc. However it is to absolutely critical you get this right, even I know enough to not offer you a firm answer.


  • Hosted Moderators Posts: 7,486 ✭✭✭Red Alert


    You could offer them a financial inducement to leave. Nothing prevents the termination of a lease by mutual consent.


  • Registered Users, Registered Users 2 Posts: 19 Maya22


    Red Alert wrote: »
    You could offer them a financial inducement to leave. Nothing prevents the termination of a lease by mutual consent.

    Yea I was half thinking of contacting them and letting them know we plan to sell at the end of the lease. They had mentioned that they needed to move somewhere bigger but decided to stay for just one extra year back in August but I do wonder whether they'd be as happy to have a reason to break the lease themselves. Although the rent being so cheap it's probably deterring them from leaving


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  • Registered Users, Registered Users 2 Posts: 19 Maya22


    Does anyone have a link to the new rules which state that I can't give the notice until the last day of a fixed term lease and then I have to give another 168 days? I can't get my head around the fact that the tenant signed for one year so why wouldn't a landlord be able to choose to do whatever they like with their property after that agreement expires? Just want to have a read up on it all.


  • Registered Users, Registered Users 2 Posts: 834 ✭✭✭GGTrek


    Maya22 wrote: »
    Does anyone have a link to the new rules which state that I can't give the notice until the last day of a fixed term lease and then I have to give another 168 days? I can't get my head around the fact that the tenant signed for one year so why wouldn't a landlord be able to choose to do whatever they like with their property after that agreement expires? Just want to have a read up on it all.
    You shall not find it in the RTA 2004 to 2016. It is case law from the pro-tenant biased RTB tribunal, which means you will have to search through the RTB tribunal reports here: http://www.rtb.ie/dispute-resolution/prtb-dispute-outcomes


  • Closed Accounts Posts: 2,379 ✭✭✭newacc2015


    Your estate agent screwed you over IMO. The tenant was on Part IV, there was little reason to have them on a fixed term lease as it was only really benefiting them. It locked you into another year with that agent. It benefits you in the sense, you have security for another year with the tenants. But fixed term leases are generally broken without recourse

    One option is put the house on the market around June/July (with tenant permission) and advertise as vacant possession, as the tenant will be moving

    IMO you should just go to a solictor to discuss this. AFAIK you have to make a legal declaration that you are selling the house anyway.


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