Tenancy Agreement Form

Tenancy Agreement Form

Unlike earlier types of tenancies; assured and shorthold tenancies permit landlords to seek the full market rental value for their property.    Shorthold tenancies also permit landlords to let their property for shorter durations. If you grant a shorthold tenancy, then you may regain possession of your property 6 months after the start of the tenancy, as long as   you provide   two months’ notice to your tenant stating that you require possession of your property.

The Unfair Terms in Consumer Contracts Regulations are applicable to tenancy agreements so a landlord must be very careful of simply devising their own tenancy agreement form, because if a term is felt to be not fair it is then not enforceable. The Office of Fair Trading offers some guidance as to what is   considered unfair; this can include issues such as the use of plain English in a tenancy agreement.  In view of this, as a landlord you should make sure that any tenancy agreement form that you use has been prepared by a professional specialising in housing law.

Tenancy Agreement Form

Another area that you need to be very careful with is if the tenant has provided a deposit. A key piece of protection for you as a landlord in case of rent default or damage to your property is the deposit.  However a landlord may not serve a notice citing   the Housing Act 1988, Section 21 if a deposit has not been safeguarded with an authorised scheme.    The deposit is typically 1.5 times the monthly rent however it is rarely less than one month’s rent and any deposit of more than two months’ rent could well be regarded as a premium.

Any landlord should detail   in the tenancy agreement the conditions whereby some or all of a deposit may be held back at the conclusion of the tenancy and agree an inventory of items with the tenant as well as performing a condition survey in the property at the start of their tenancy.  This means that a legally written assured shorthold tenancy agreement form is crucial.  Landlords should be warned that any oversight in    looking after a deposit can have severe consequences for them as they will be unable to regain possession by citing Section 21   of the 1988   Housing Act. Also a landlord may be fined up to 3 times the sum of the deposit if they fail to secure the deposit with an appropriate scheme within 14 days of the tenant handing the deposit over.

Tenancy Agreement Form

It is sensible to ensure that your tenancy agreement form covers all possibilities.   Make it clear whether smoking or pets are permitted and whether a tenant can have cable television or   Internet Broadband installed. These points should be negotiated at the outset of any tenancy and incorporated into the terms of the tenancy agreement. Also if any white goods are included, whether these are part of the rental agreement because if they go wrong and they are included as part of the rent payments then the landlord will be responsible for replacement or repair.

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