Obscene rent increase

[ShushAndLetMummySpeak]

Landlord has served Form 4a increasing my rent by £205 a month from October. This is a 46% increase.

The accompanying letter states

“After careful consideration, we have made the decision to implement an increase in the rent. This reflects the continued rise in property maintenance and operating costs, aligns the rent more closely with current market values, and will help support planned maintenance and improvement works to ensure the property is kept up as best as possible with future regulatory changes to the private rent sector”.

I understand that maintenance costs and improvements are the landlords responsibility and shouldn’t be a reason for a rent increase. And it is the landlords responsibility to ensure property meets the forthcoming EPC standards coming into force for private rented accommodation.

My wages haven’t increased by 46% a month.

I’ve lived here for 20 years. And the property only has one door. No fire doors, only 1 double glazed window that has blown, and does not meet fire escape route standards If there was a fire downstairs I have no other means of exit?

What can I do please

Based on my math your current rent is only 240£ (please correct me if my math is wrong) and while you don’t say where you are I find it hard to believe that you are paying anywhere near market rate. I am in Ireland so I do realize this does change my view but a 1 bed where I am rents for 1600-1800€
which even makes the increased rent a bargain,

A rent increase is always a shock could you try to negotiate staged increase even if 50 a
month over a year?

Yes me too, about the same percentage.
I blame shelter and labour, and I want to scream every time I hear Labour talking about their wonderful successful new laws to protect tenants.
you can contest it but ultimately if your landlord hasn’t increased your rent in 20years the new rate probably does align with market rates and inflation etc etc.
Basically I had to suck it up.

Has your rent risen previously? Where I live rents have increased by almost 3.5/4 x in the last 25 years.

Could you look online and find a better property for less money?

Is the rent now over market rate? If so and there are nicer properties in your vicinity why not move? It sounds like you are not too keen on the property due to the lack of entrances etc.

I think you were paying £446 and will be paying £650.

I don't know about the market around the country, but that sounds pretty cheap, but a bit of a dive.

If they are going to improve the property, £2,400 a year won't get them far. Maybe they should have charged more historically and upgraded the property, but they can only start from where they are.

No, I think OPs rent is closer to £450. Still very low though, unless renting a room in a house share.

I live in the north of England and a room in a house share would be more than £450 a month.

So your rent is still about £600 pcm. I honestly don't think you can complain about that OP. If the property has anything unsafe complain to your LL and ask for repairs.

You can apply to the first tier tribunal to get a judgement on whether the proposed rent is fair compared to similar properties on the market in your neighbourhood.

We know 46% = £205.
Therefore 1% of current rent = 205/46 = 4.45
Therefore 100% current rent = 4.45 × 100 = £445
Therefore new rent = 445 x 1.46 = £650.
Check: new rent = current rent + £205 = £445 + £205 = £650.
QED.

In my area, £650pm might just get you a single box room in a house share!

OP, have you checked the local rental market rates for similar properties in your area? How does it compare?

My LL did this, same reason in May even though he hadn’t spent a penny on the house in ten years.
I refused the rent increase unless he made significant improvements (I had large gaps in the outside doors letting cold air in, a mouldy bathroom that desperately needed ripping out etc) they actually agreed and did the work so I didn’t mind the increase. If there’s work needing doing nows the time to push it.

650 is for the same kind of property - 2 bed but those are with modern fixtures, double glazing, mod cons. We have nothing.

Then you need to point this out to the LL, and appeal it.

First of all sorry for my bad math!

OP would you try to move to a newer property if they would be a similar price?

In my experience I have always spent money to move between deposits and trying to get move in/out dates to line up, so not having savings could be a blocker here.

That still sounds very very cheap @ShushAndLetMummySpeak

which part of the uk are you in?

Would it be an option to not pay the extra, wait for an eviction and hopefully eventually get a council property?

Jeez I've just moved out of a 1 bed flat that was £750 a month!! You certainly couldn't get a 2 bed house for £650 here in the Midlands unless it is a dive. Even rooms are over £500.
I think £650 is a bargain tbf.

Your landlord has probably been spooked by speculation about council tax being altered to a land tax. Trying to get ahead of the game.
If the new rent is in line with the local market I don't know what detail a tribunal would go into? Is it just based on 2 beds are x amount or do they take the state of the property into account .
I'd try to get them to stagger the increase over this year and next.

It sounds like the rent hasn’t historically changed for a long time, and is now catching up
It is true that Landlord regulations and requirements are much stricter from this year, so I don’t think they are trying to scam you

Can you ask your boss for a promotion or pay-rise? Your salary should also have been slowly increasing. Or you may need to work extra hours etc or change employer

So properties in similar condition, what price are they?

When did the rent last go up?

It’s not surprising if landlord was on old rates.

We got one of the last low interest fixes (0.9%) and this year we finally have to pay the normal rates 4.25% . Good Lordy! My mortgage has doubled.

That’s a 100% increase for landlords and home owners. So I think you have been lucky OP.

Then move.

I cannot believe that £445 was market rate anywhere in the country, even in the roughest estate in the North East. Seems like you were lucky enough to pay under market for years.

Whats the postcode area?

If LL is overcharging you then you should look to move. You've got a couple of months notice to find a better property with all the mod cons this one is lacking.

Move that is the positive of renting. If you can afford to pay more for a better property I would do that. Rather than pay more for a property that is in some kind of disrepair.

If the rent genuinely doesn’t reflect the local market rates, you can challenge it. But it sounds as thought the landlord could make a case that it does and you’ve just been very lucky to have such low rent until now.

If you lose the challenge, then you should be able to move somewhere else at a similar low rate…

Seems like you have been paying a very low rent. And sounds like it's most likely below the market rate. If you don't think the property is worth it look for somewhere else. But I don't think you'll get far challenging the rent as it's extremely low even with the increase.

Labour is talking about rent freezes, so I assume landlords are going to try to ensure people are paying the market rent before any freeze.