Tenants refusing to accept rent increase!

Tenants refusing to accept rent increase!

0:02 AM, 9th August 2023, About A year ago 49

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Hi, I am facing issues with implementing rent increases. The tenancies are AST that have rolled on to periodic tenancies on the expiry of the initial fixed term. The rents have to go up as costs have gone up and rents have not been revised for over a year.

In one of the properties, the tenant simply refuses to accept the increase stating it is unaffordable for them and they will continue to stay in the property at the old rent until they find another suitable place to rent. They have stayed in the property for over a year without any increase. I increased the rent on other flats in the same block but did not increase their rent as there were some outstanding repair issues that were being dealt with. Soon after the repair works were completed, I have given the tenant a month’s notice of the increase.

The increased rent is in line with what can be achieved on similar properties in the area. However, the tenants are adamant and refuse to accept any increase in rent. It is highly unlikely that the tenants will be able to find another property at the same or lower rent. I have tried negotiating with them but they won’t budge. What are my options?

There is another tenant who brings up maintenance issues, every time a rent increase is proposed and refuses to pay the increased rent unless all the repairs are completed to their satisfaction. These repair issues are never flagged up during the year! Are tenants legally permitted to refuse to pay the higher rent on these grounds?

Thanks,

Sam


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Luke P

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13:53 PM, 9th August 2023, About A year ago

Reply to the comment left by Seething Landlord at 09/08/2023 - 13:50
I'll be out of the industry by then. Hundreds of properties sold. 'Market rent'...*I* set the rent. If you don't like it, move to the apparent endless cheaper properties. It's really that simple.

Seething Landlord

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13:58 PM, 9th August 2023, About A year ago

Reply to the comment left by Luke P at 09/08/2023 - 13:53
Your attitude is one of the main reasons for the clamour to abolish S21. Thanks a bunch.

Luke P

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14:03 PM, 9th August 2023, About A year ago

Reply to the comment left by Seething Landlord at 09/08/2023 - 13:58
It wasn't just my attitude...I served s.21 on ALL my tenants when UC came in and even had the accompanying letter read out at PMQs.

It's not me, it's politicians chasing what they perceive to be popular. They want control of the PRS without the responsibility of ownership.

As the second largest provider of PRS property to benefit recipients, I'm not playing their silly games any more. It's my way or I'm out. I account for a sizeable percentage of private rented property in one of the country's poorest towns. Someone else can fill the void if they reckon they can do a better job. I'm out.

Russell Cartner

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14:09 PM, 9th August 2023, About A year ago

Reply to the comment left by Dino Saw at 09/08/2023 - 13:47
Tenants know there rights especially after listening to Lefty Shelter and Generation Rent on ways to screw you. Use Section 21 screw them let them move out there is no cheap accommodation.

Russell Cartner

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14:13 PM, 9th August 2023, About A year ago

Reply to the comment left by Seething Landlord at 09/08/2023 - 13:58
He didn't cause it.
Goverment Lefty Shelter & Generation Rent did

Kate Mellor

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14:17 PM, 9th August 2023, About A year ago

Reply to the comment left by Russell Cartner at 09/08/2023 - 13:36
Sorry Russell, my last message was in to Luke P, not the OP. I suspect you’ve misread the thread?
I gave advice to the writer, Luke said my suggestions were too much trouble and I answered him, justifying my position.
If you didn’t misunderstand can you explain in what way my suggestions are unhelpful?

Russell Cartner

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14:22 PM, 9th August 2023, About A year ago

Reply to the comment left by Kate Mellor at 09/08/2023 - 14:17
Whe tenants think they own the house you need them out

Churchills Tax Advisers

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14:29 PM, 9th August 2023, About A year ago

Reply to the comment left by Luke P at 09/08/2023 - 14:03
I agree, it is the landlord's property, the landlord should be able to charge what they like. If they charge too much tenants can leave and the landlord will lose out, so generally landlords do not put up rent willy nilly.

Most landlords take the approach that It isn't worth putting up rent too much and the tenant leaving, unless the rent is way below market value. You just end up with a void period and a lot of unpaid admin.

Russell Cartner

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15:09 PM, 9th August 2023, About A year ago

Reply to the comment left by Churchills Tax Advisers at 09/08/2023 - 14:29
If the tenant says he cant afford to pay more its up to you whether that is ok.
Once they start putting hurdles in front of you get rid

Kate Mellor

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15:29 PM, 9th August 2023, About A year ago

Reply to the comment left by Russell Cartner at 09/08/2023 - 14:22
Russell, Sam has a whole block of tenants trying to gang together and get what they want. I’ve advised him to get his ducks in a row and give S21 if the rent increase isn’t paid. I don’t think it’s necessary to follow through with evicting everybody if they pay what they owe, but you’re free to disagree on that. I would question whether Sam can afford to have an entire block not paying rent at once though, potentially for many months while he waits for the bailiffs.
Usually a single eviction will serve the purpose and get everyone else in line, especially if they’ve all been served. I’m speaking as someone who manages multiple blocks and I’ve managed instances where tenants think they’re in charge. One of our worst tenants turned into a little lamb once we evicted his tough-guy neighbour. He ended up being our tenant for over 15 years until he prematurely passed away last year. We got rid of the ringleader, there always is one in these circumstances where people are acting in unison. It makes them brave. Deal with the ringleader and they’ll think twice about pulling stunts in the future.
Following through on a mass eviction and putting yourself under a load of extra financial and mental stress once you’ve got them paying their rent sounds like an emotional reaction rather than a measured business decision in my opinion. You may decide you want rid of them all, but if they’re paying their rent you can take your time and evict them singly, get each one relet before moving on to the next, so it’s not as big of a financial hit.

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