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Renting with full management: they're leaving in a tenant with no contract whatsoever. WWYD?

(51 Posts)
EveryoneAnon Sat 19-Dec-15 20:37:51

Am I safe? I think not.

I use a high street letting agent and pay them for full management.

The contract runs out in a few days and I've been chasing them since November to sort it out.

The tenant paid 6 months put as wouldn't have passed the credit checks (didn't earn enough). But he wants to leave in a month rather than now. They seem to want to just ignore it for a month on trust, which surprised me as I would have thought they'd want to be covered legally themselves too, seeing as I'm paying them for full management.

I can't seem to get them to pull a finger out! We literally will have 24 hours left on Monday. WWYD? And where do I stand legally?

nameschangerer Sat 19-Dec-15 20:40:26

Don't pay them anymore management fee or trust they know what they're doing?

Toughasoldboots Sat 19-Dec-15 20:43:17

It's quite legal and very common, it's just a rolling contract from now on. The tenant doesn't have to leave at the end of a fixed contract anyway unless you have given them formal notice.
It means the tenant has to give a months notice to leave or you give two months.

EveryoneAnon Sat 19-Dec-15 20:49:10

They say he can't have a rolling contract because their policy is you only qualify if you pass the credit checks, which he can't.

Fuckitfay Sat 19-Dec-15 20:52:27

The contract continues on the same terms just Google rolling contract for info. However I certainly would NOT be paying full management fees this month as you wanted another fixed term contract and the management co have failed to sort.
I rent two properties out and always have rolling contracts often for yeas on end as I prefer it for a number of reasons. Particularly if there is trouble on a rolling contract with only 2 months notice to leave can get the tenants out quickly rather than wait for a fixed term to end. If tenants wanted security of fixed term I'd renew but no one ever has requested.

Fuckitfay Sat 19-Dec-15 20:53:41

Eh? But legally he will have a rolling contract as of next week it's not up to your management co to decide.
Why are you renting to someone who doesn't pass credit check tho?

EveryoneAnon Sat 19-Dec-15 20:58:45

He had come into money (bereavement), and they told me that he was willing to pay 6 months up front because he could afford it. I accepted that because he had rented elsewhere with the same company and they said he was highly recommended.

Doesn't anyone know how I can get round this problem of credit checks, like paying each month up front? But if that's what I agree to, then it's not really any different than anyone else. So perhaps I should insist on another 6 moths but sign to return the rent if he moves out beforehand?

Fuckitfay Sat 19-Dec-15 21:23:18

Hmm I see I think I'd insist on 6 months up front every 6 months in that case. Hope you got a larger than usual deposit too! I wouldn't have personally accepted this as the 6 months' money does run out every 6 months.....
You can tell your management co you are happy to accept no credit check if you are happy with him - they work for you! Or mange it yourself / get another management xo

Fuckitfay Sat 19-Dec-15 21:23:56

Although maybe they don't want the responsibility of chasing for rent someone with bad credit in which case you could agree te management contract won't include rent chasing if he's late

He wants to leave in a month, so I don't understand what it is exactly that you want your agents to do? Has he paid for the extra month?

Toughasoldboots Sat 19-Dec-15 21:51:15

It's the law, not up to your management company as to whether he goes on to a rolling contract.
Unless you give him the correct notice to leave, that is what will happen.

Toughasoldboots Sat 19-Dec-15 21:52:52

It's only a month isn't it? Are you suggesting that you take six months rent for the risk of one month?

ObsidianBlackbirdMcNight Sat 19-Dec-15 21:54:21

Honestly it's fine - the terms of the original agreement continue until someone gives notice.

ObsidianBlackbirdMcNight Sat 19-Dec-15 21:56:36

If you're not happy with him as a tenant just serve him notice. Perhaps you should give him a chance to demonstrate that he can pay the rent first? Passing credit checks doesn't mean he's solvent or honest, or that he's not. He may have got himself a decent job and be perfectly capable of paying.

ObsidianBlackbirdMcNight Sat 19-Dec-15 21:57:58

Of course you can't ask for 6 months rent and return him 5 months worth when he leaves. Honestly. Just make sure he had proper notice served or has served it himself if that's what you expect to happen and chill out.

EveryoneAnon Sat 19-Dec-15 22:51:56

Ok so maybe the rolling contract isn't automatic if someone hasn't passed credit checks? It's just that they would only give me these two options, and when I enquiries about the periodic tenancy, blank refused.

Toughasoldboots Sat 19-Dec-15 23:01:09

It has nothing to do with credit checks, I promise you, it's a legal right.
The management sound shocking, it won't take you long to read up on a bit of housing and tenancy law, as a landlord it is good to know the basics.
Remember that you employ them, not the other way round.
It's a section 21, which you are too late for now anyway, it gives him two months notice or rolling contract.
The management can't make either of you sign anything if you don't want to.

ObsidianBlackbirdMcNight Sun 20-Dec-15 06:34:10

Letting agents are often complete cowboys who will happily ignore the law if the can make a buck.
Tenancy law states that at the end of a fixed term tenancy, if the tenant
Is still in situ, the conditions of the original agreement continue automatically.
The letting agents are motivated by money. They will charge the tenant for credit checks and a tenancy renewal as well as charging you. They would be pleased if the tenant left as they would then make more money from a new tenant. Remember letting agents ideal situation would be a new tenant every 6 months, whereas as a landlord you should be looking for a stable tenant who will pay your rent every month and reduce the risk of void months.
My letting agent recently tried to charge £95 to me and landlord to convert to a periodic tenancy - never mind that no agreement would have been signed and no work generated, and the fact that the tenancy would convert to periodic without their help anyway. They are scammers, a lot of them. Don't listen to what they are telling you because it's crap.

ObsidianBlackbirdMcNight Sun 20-Dec-15 06:36:32

In the extract of their letter to you they are giving you 2 options - one of which is impossible as it required 2 months notice which clearly you can't do now hmm and they don't mention the option of a periodic tenancy. They are twats, honestly. I know more about tenancy law from 15 years of renting than the average letting agent.

Roystonv Sun 20-Dec-15 07:08:14

Raising my head above the parapet, I am letting agent - I am a member of ARLA, meticulous in doing my job, feel totally unappreciated and earn less than the minimum wage so please don't lump us all in with negligent/money grabbing agents. P.S. all our contracts are statutory periodic unless requested otherwise.

EveryoneAnon Sun 20-Dec-15 08:52:45

What would you suggest I do, Roy?

Great if the Periodic agreement kicks in automatically (they told me that can't happen), but not so great that I had agreed for payment up front and the tenant doesn't want to do it this time because he only wants to stay another month (not sure if that's even in writing).

LittleBearPad Sun 20-Dec-15 08:57:34

But he'll pay for the month upfront yes? Rent isn't typically paid in arrears.

Your management company seem clueless and I would consider changing when he moves out.

Toughasoldboots Sun 20-Dec-15 15:05:25

I am sure that there are some good letting agents but I do agree that most are at best incompetent, worst, dishonest.
I have been a landlord on and off for over twenty years and a tenant for ten. I have never had one that hasn't tried to rip me or the tenant off in some way.
The last one that I was forced in to using as a tenant, I was able to prove had been extremely dishonest in front of a judge when I took the landlord to court. He was a member of ARLA too, it's not any guarantee of any honesty or integrity, ARLA are useless if you try to make a complaint too.

ObsidianBlackbirdMcNight Sun 20-Dec-15 15:31:56

Are you even reading these posts?

You agreed 6 months up front, and you got it.

Nobody gave notice, not you or him, so his tenancy continues on a periodic basis

He wants to stay one more month and will pay you for it

What the hell is the problem here?

ObsidianBlackbirdMcNight Sun 20-Dec-15 15:33:29

By the way - you ask what you should do - there is nothing you can do. You can't make him sign a tenancy, you can't make him pay for months upfront that he doesn't plan to use, even if he was planning to stay 6 more months you couldn't, and you can't take possession of the flat on Tuesday. So what do you want advice about? Sit tight and wait to see if he pays you on Tuesday.

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