Ask Andy - My Landlord Won't Issue Another Tenancy!!

''Dear Andy,

I have a twelve month tenancy agreement and my landlord had said she won't issue a new one, it runs out in three weeks.  Is she right that my old tenancy will continue as it is? Please advise, I don't want to leave.

Thanks,

Pete.”

Andy’s  Answer:

Hi Pete,

All assured shorthold tenancies automatically become periodic at the end of the fixed term period, as long as the tenant(s) continue to live in the property, so you needn’t worry about leaving unless you want to give notice and move.

Should the landlord create another fixed term tenancy, this may give you more peace of mind. A renewal ties you in for another six, twelve, etc months (as stated in the tenancy).

What are the disadvantages of renewing tenancies?

About two years ago I renewed a tenancy for a tenant after speaking to the landlord. It’s worth mentioning that this tenant wanted the security of having the property for at least another 12 months.

Three months into the renewal I received an email from the tenant – to cut a long story short, his mother became unwell and needed constant care back home. This would mean he would no longer need the property. Unfortunately, he was now liable for the full 12 months.

 

Now the tenant had a few options: he could pay the full 12 months and leave the property, or we as the agent would find a new tenant – however, all costs would be charged to this current tenant and rent would still need to be paid until a suitable tenant was found (the landlord can not incur any more costs).

If this tenant did not request to be tied in for another 12 months, all they would have needed to do is given one months notice.

Now, if the landlord wanted the property back for whatever reason he/she cannot issue a Section 21 Notice (two month’s notice) to get their property back until after the fourth month of a six month fixed term tenancy, or the tenth month in a twelve month fixed term tenancy.

So I really see no major advantage of renewing a tenancy.

At Hamlet Homes I advise all my tenants and landlords to allow the AST to roll into periodic once the fixed term comes to an end.

Some agents will do renewals of tenancies (but that’s only because they charge a renewal fee).

I hope I have put your fears to bed.

If you are a tenant and have a question, feel free to drop me an email or give me a call, my details are at the bottom of this article.

Landlords, if you are looking for an agent that is well established, professional and communicative, then contact us to find out how we can get the best out of your investment property.

Email me on andy@hamletwarrington.co.uk or call on 01925 235338. If you are in the area, feel free to pop into the office – we are based on 6 Bankside, Crosfield St, WA1 1UP. There is plenty of free parking and the kettle is always on.

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