In recent news it was brought to light that there would be various extensions made on eviction bans as well as the notice periods required by landlords which will affect tenancy agreement across the country.
The reason this came about is because, unfortunately, the reality is that many are still trying to find their feet. We are all try to navigate our way through the “new normal”.
In this blog we will discuss the importance of having the right tenancy agreements in place. Why you should get them checked regularly, and also why tenants should not just assume that the agreement given by their landlord is sufficient.
As this is a very contentious subject at the moment, we will impress upon you the importance to seek legal and professional assistance. When it comes to tenancy agreements getting good advice early on is crucial. As always, the Government’s website has some useful information on this subject here.
WHAT IS A TENANCY AGREEMENT
Tenancy agreements are contracts which are drawn up between a tenant and a landlord. They are put in place to provide protection to both parties while the tenant is living in the rental property.
A tenancy agreement needs to contain certain clauses and information. These could be any of the following:
- Name of both parties
- Address of property
- Agreed rental amount and date it is due
- What the rental amount includes
- Whether the landlord will be providing any extra services (maintenance of garden, pool etc.)
- Notice period
- Whether it is a short term tenancy agreement or longer term
- The date tenancy began
There can be various other things listed therein. It is also important to know that even an informal tenancy agreement is acceptable. However, it must mention, at the very least, the contact details of both parties. Also the address of the property, rental amount agreed on as well as date due and any added extras.
WHAT ARE MY RIGHTS AS A TENANT?
As a tenant, when you enter into a tenancy agreement you have certain rights, such as:
- Protection against unlawful evictions
- A safe secure and relatively decent living space on moving in
- Protection against unlawful raises in rental amount, unless otherwise stipulated in the tenancy agreement
- Have your deposit returned when tenancy ends (and in some cases interest will be due on this too)
Now, even though as a tenant you have rights. You also have responsibilities which also extend to the payment of your rental amount on time. Whilst also keeping the property in a good state of repair and abiding by the rules as stipulated in the tenancy agreement.
It is also your responsibility to challenge anything that may seem untoward when it comes to how the landlord or letting agents are handling things. If the tenancy agreement seems overly complex then seek advice.
DECISIONS MADE BY UK GOVERNMENT – RELATED TO TENANCIES
Both England and Wales have recently announced an extension when it comes to eviction notices and bans. As well as notice periods when wishing to end the tenancy.
The below outlines what was mentioned and how it pertains to both residential and commercial tenancies.
RESIDENTIAL TENANCIES
You have probably heard in the news all about the minimum notice periods and temporary eviction bans. Whilst we understand the Government’s reasons behind introducing these protective measures. Which include extending the minimum notice periods for residential possession claims until 31st May 2021 in England and to the 3oth June 2021 in Wales. We can also see the flip side to this which will inevitably result in a longer term problem. Landlords who may have been experiencing problems with tenants long before Covid hit the planet will be hit hard by these extended measures.
The Courts are being provided with guidance as to how to deal with these cases. Whilst the Government is trying to strike the right balance between protecting vulnerable tenants and ensuring landlords whose tenants may have acted in an illegal or antisocial ways have access to justice. Evictions therefore cannot be enforced until early June in England and the early July in Wales.
COMMERCIAL TENANCIES
Similarly to residential tenancies the temporary suspension on forfeiture proceedings for commercial leases has also been extended until 30 June 2021.
This means that landlords of commercial properties will only be able to rely on their rights under The Commercial Rent Arrears Recovery (“CRAR”) is certain circumstances. If you are a landlord of a commercial property who is struggling to understand how this affects you then we recommend you seek professional advice. The new rules and restrictions are complex. They include restrictions not only on the eviction and rent arrears process. But also on your ability as a landlord to serve statutory demands and issue winding-up petitions as a mechanism to recover rent arrears.
WHY YOU SHOULD LET A PROFESSIONAL ASSIST YOU WITH YOUR TENANCY AGREEMENT
So as you can see, entering into a tenancy agreement is not a one-size fits all situation. Because there are various types of tenancies including commercial tenancies, it is important to know when an agreement is abiding by all the legal requirements that it should, and when things are a little less than legal.
That is why we at K&K Legal Consulting offer straightforward easy to digest guidance, to help you understand the legal terms and conditions just that little better. Knowing these things also allows for both parties involved to be completely transparent and protected in the long run.
Need some advice on a tenancy agreement? Get in touch here.