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09-01-2019, 16:43   #1
KeyserSoze
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Landlord Advice

Hi There,

I have recently given my tenants 8 months notice to vacate my property in the summer of 2019. I intend on using the property for personal use, my family and I want to move in.

The tenant was happy with the process and the manner the notice was provided, however the timing does not suit them. They asked for a 12 month extension to the lease, bringing them to summer 2020. By giving them an extension, it will cost me a significant amount every month for that 12 months.

They also offered to increase the rent they pay by 25% during the 12 months from summer 2019 to summer 2020. The house is in a hot zone, where rental increases are limited. Can I legally accept this offer from the tenant?

Any advice would be great.
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09-01-2019, 16:45   #2
ted1
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Originally Posted by KeyserSoze View Post
Hi There,

I have recently given my tenants 8 months notice to vacate my property in the summer of 2019. I intend on using the property for personal use, my family and I want to move in.

The tenant was happy with the process and the manner the notice was provided, however the timing does not suit them. They asked for a 12 month extension to the lease, bringing them to summer 2020. By giving them an extension, it will cost me a significant amount every month for that 12 months.

They also offered to increase the rent they pay by 25% during the 12 months from summer 2019 to summer 2020. The house is in a hot zone, where rental increases are limited. Can I legally accept this offer from the tenant?

Any advice would be great.
Just get them out.
How king have they been in? Where will you live if you let them stay ?
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09-01-2019, 16:50   #3
KeyserSoze
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They're in there 8 years.
We have an option to live somewhere else, but will cost a lot more. The increase they are offering will cover my cost.

They are good tenant and I'd like to help them out, but it has to suit me financially and I need to make sure I can legally accept their offer.
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09-01-2019, 16:52   #4
Fian
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No, you cannot legally accept this offer from the tenant.

If you do it would be easy for them to subsequently complain to the RTB, have a refund ordered and potentially punitive damages on top. never mind that it is likely to be criminalised (as well as unlawful) shortly when announced legislation is enacted.

I am assuming when you talk about it costing you money you are talking about saving accomodation costs where you currently live rather than renting to another person at a rate above RTB rates.
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09-01-2019, 16:53   #5
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Unfortunately your only option is to kick them out, despite how logical their offer is, and how good a tenant they have been.
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09-01-2019, 17:41   #6
GGTrek
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Unfortunately your only option is to kick them out, despite how logical their offer is, and how good a tenant they have been.
In the current anti-landlord climate this is the best advice the OP can receive. The current regulations have been crafted to be highly adversarial and the landlord cannot concede an inch or he/she will be in serious trouble.



Having a tenant 8 years is just very uneconomical with the current regulations (the law of unintended consequences of overregulation), if the 8 years have not expired the OP should also provide a second part-4 end notice (a Section 34(b) notice) for additional safety.


A tenant asking an extention of 12months after receiving an 8 months statutory notice is just taking the proverbial p.... OP should review that the notice has been served correctly (with statutory declaration attached) and prepare all the evidence to take the case to RTB when 8 months expire, in my opinion most long term tenants will understand only at the RTB when told by the adjudicator that the notice is valid and they have to get out.


If the OP goes to the RTB for overholding then he/she can negotiate the additional months as damage for the overholding by providing receipts on how much not moving to the property will cost the OP. Only at such point can the OP perform some negotiation on extra stay vs damages payment since the adjudicator will review the paperwork and agree that what the OP is requesting is monetary damage for overholding and not additional rent! And it absolutely should not be framed as a % of the current rent, but as a fixed value proved by receipts.
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09-01-2019, 17:58   #7
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In the current anti-landlord climate this is the best advice the OP can receive. The current regulations have been crafted to be highly adversarial and the landlord cannot concede an inch or he/she will be in serious trouble.



Having a tenant 8 years is just very uneconomical with the current regulations (the law of unintended consequences of overregulation), if the 8 years have not expired the OP should also provide a second part-4 end notice (a Section 34(b) notice) for additional safety.


A tenant asking an extention of 12months after receiving an 8 months statutory notice is just taking the proverbial p.... OP should review that the notice has been served correctly (with statutory declaration attached) and prepare all the evidence to take the case to RTB when 8 months expire, in my opinion most long term tenants will understand only at the RTB when told by the adjudicator that the notice is valid and they have to get out.


If the OP goes to the RTB for overholding then he/she can negotiate the additional months as damage for the overholding by providing receipts on how much not moving to the property will cost the OP. Only at such point can the OP perform some negotiation on extra stay vs damages payment since the adjudicator will review the paperwork and agree that what the OP is requesting is monetary damage for overholding and not additional rent! And it absolutely should not be framed as a % of the current rent, but as a fixed value proved by receipts.
Just sounds like someone asking a question to be honest. Sounds like a good tenant and landlord relationship.

But that doesn't suit your doom and gloom narrative I suppose.
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09-01-2019, 18:24   #8
InstaSte
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Just sounds like someone asking a question to be honest. Sounds like a good tenant and landlord relationship.

But that doesn't suit your doom and gloom narrative I suppose.
What's the alternative ?
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09-01-2019, 19:02   #9
handlemaster
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OP you have given the required. After that its their issue. They were happy with notice etc... apparently not 12 mth extension .. . This will not be easier. Be polite and decline offer to pay more will not fly legally and you cant afford to go else where. Give and inch and you'll be on again with another thread tenants refuse to move.
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09-01-2019, 19:56   #10
KeyserSoze
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Quote:
Originally Posted by Fian View Post
No, you cannot legally accept this offer from the tenant.

If you do it would be easy for them to subsequently complain to the RTB, have a refund ordered and potentially punitive damages on top. never mind that it is likely to be criminalised (as well as unlawful) shortly when announced legislation is enacted.

I am assuming when you talk about it costing you money you are talking about saving accomodation costs where you currently live rather than renting to another person at a rate above RTB rates.
Correct, it's actual cost to me to let them stay an extra 12 months. Not loss of additional rental income.
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09-01-2019, 20:43   #11
awec
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What's the alternative ?
"Sorry, I need the house back". The guy only asked a question, all this talk of taking the piss, uneconomical to have long term tenants etc is bollocks.

But again, it doesn't fit the narrative that before the rent controls the sector was absolutely perfect, landlords were never raising rents, nobody was ever evicted, it was a letting utopia for all involved.
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09-01-2019, 21:03   #12
InstaSte
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"Sorry, I need the house back". The guy only asked a question, all this talk of taking the piss, uneconomical to have long term tenants etc is bollocks.

But again, it doesn't fit the narrative that before the rent controls the sector was absolutely perfect, landlords were never raising rents, nobody was ever evicted, it was a letting utopia for all involved.
I think you are looking at different posts than I am, sorry.
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09-01-2019, 21:47   #13
the_syco
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Originally Posted by KeyserSoze View Post
The tenant was happy with the process and the manner the notice was provided, however the timing does not suit them. They asked for a 12 month extension to the lease, bringing them to summer 2020. By giving them an extension, it will cost me a significant amount every month for that 12 months.
In today's market, leaving a letting doesn't suit anyone.

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Originally Posted by KeyserSoze View Post
They also offered to increase the rent they pay by 25% during the 12 months from summer 2019 to summer 2020. The house is in a hot zone, where rental increases are limited. Can I legally accept this offer from the tenant?
When they leave, they'll be able to bring a case to the RTB that you increased rent above the rules.

Heck, they could do so after the first month, and then claim any attempt to evict them after that to be on false reasons.
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09-01-2019, 21:53   #14
runawaybishop
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"Sorry, I need the house back". The guy only asked a question, all this talk of taking the piss, uneconomical to have long term tenants etc is bollocks.

But again, it doesn't fit the narrative that before the rent controls the sector was absolutely perfect, landlords were never raising rents, nobody was ever evicted, it was a letting utopia for all involved.
Ah cop on would you, no one said it was perfect before rent controls
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09-01-2019, 22:11   #15
notharrypotter
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I have recently given my tenants 8 months notice to vacate my property in the summer of 2019.

The tenant was happy with the process and the manner the notice was provided,

They asked for a 12 month extension to the lease, bringing them to summer 2020.
A 12 month lease is superceded by tennant rights under law.

If you grant the "12 month extension" you run the risk of the tennant gaining full rights after 6 months.

If the correct legal notice for termination has been given simply follow the timeline. And leave it at that.
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