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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John Porcella

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20:57 PM, 9th August 2023, About A year ago

Reply to the comment left by Graham Bowcock at 09/08/2023 - 13:53
See the void as the opportunity to do those works that you said need doing anyway.

I ask myself why they need doing? Are you suggesting that if a tenant remains you will not do them?

With the number of people looking to rent, you ought to be able to get a new tenant in pronto and at a higher rent.

Graham Bowcock

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21:43 PM, 9th August 2023, About A year ago

Reply to the comment left by John Porcella at 09/08/2023 - 20:43
Not true John, if a landlord serves a s13 rent notice, the tenant can appeal to the rent tribunal. The Tribunal will then determine the rent that just be in line with the Market Rent.

This does not preclude the landlord from serving a 21 notice to gain vacant possession, provided that they are able to serve a s21.

Dan Johns

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7:17 AM, 10th August 2023, About A year ago

From your phrasing it doesn't seem like these tenants are costing you money, just reducing your profit margins. On this basis it is hard to justify demanding increased rent solely on the basis that rent hasn't been revised for "over a year". Many actual jobs do not get pay rises in line with inflation every year, and Landlords don't magically get income increases to match cost increases either. If your margins are sufficient to keep housing a longer term tenant who pays regularly and keeps the property well then it is worth continuing as is.

Fed Up Landlord

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6:52 AM, 12th August 2023, About A year ago

Reply to the comment left by John Porcella at 09/08/2023 - 20:43
As other posts have stated, you can increase rents:

1. By informal agreement;
2. In accordance with a clause in the AST;
3. By issue of a Section 13 Notice, which gives the tenant the right to appeal to Rent Tribunal.The Tribunal can increase the proposed rent as well as decrease it. If it's a market rent then there will be no decrease.

In 20 odd years never had a tenant refuse a Section 13 proposed rent or go to Tribunal. I have however had tenants argue the toss on informal rent rises and AST clause rent rises which give a rise between two CPI or RPI inflation figures, i.e " not less than 2% but no more than 5% per annum.

Section 13 is formalised, legal, and much less hassle.

Julie

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8:05 AM, 12th August 2023, About A year ago

Reply to the comment left by Kate Mellor at 09/08/2023 - 10:38
Perfectly executed.

Julie

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8:07 AM, 12th August 2023, About A year ago

Reply to the comment left by Luke P at 09/08/2023 - 11:13
If you don’t put in the effort to take full action, then you’ll be out of pocket and have more hassle down the line. Kate is 100% right.

Ma'at Housing Solutions

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9:30 AM, 12th August 2023, About A year ago

Reply to the comment left by Russell Cartner at 09/08/2023 - 10:42
" by whatever means possible"?!
" show them who's boss"?!

You're a Landlord, not their employer/ 'boss'!

And it is this " by whatever means possible" attitude which more often than not lands Landlords in a mire of problems when they act unlawfully!
The ONLY means to LEGALLY evict a tenant is to ENSURE AS THE LANDLORD YOU HAVE COMPLIED WITH YOUR LEGAL RESPONSIBILITIES WITH THE MANAGEMENT OF THE TENANCY AND CAN EVICT THE TENANT IN ACCORDANCE WITH THE LEGAL PROCESS !
It doesn't have to get unpleasant or worse for either Landlord or Tenant!

Judith Basham

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10:58 AM, 14th August 2023, About A year ago

What will happen if the current Section 21 is abolished and we, the Landlords/Property Owners will be forced to use a special Court set up for this purpose? £££££ that is what is going to happen to us.

Russell Cartner

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11:13 AM, 14th August 2023, About A year ago

Reply to the comment left by Judith Basham at 14/08/2023 - 10:58
You have answered the question and the answer is Sell

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