Tenant Issues!

[SocialButterfly101]

Hi

I just wondered if anyone could provide advise on the next step. Apologies for the long read.

I currently rent out my house. Following a divorce in 2022 I didn't want to live in the house any longer so I moved out of the area and put my house on rent. My current tenants moved in June 2022. On the whole I've had a good relationship with them. In March 2023 the female tenant contacted me asking if the tenancy will be fixed again and requested the rent not to increase. However this was the time mortgage rates rocketed and my fixed term was ending in December 2023 and therefore I decided to sell as I wasn't ever going to move back in with the bad memories etc. I met with the tenants in April 2023 and broke the news to them that I was selling but I was absolutely flexible re what they wanted to do I.e. if they wanted to move out they could and viewings etc would work around them. They advised they were looking to buy the house and requested I wait until they got some mortgage advise. I absolutely agreed and as they were already living there they were my first choice in selling too. Fast forward about a 6 weeks- I'd been chasing and chasing and still hadn't heard back. At around June 2023 I said I was going to have to put the house up because for 8weeks they hadn't confirmed their position so I paid an online agent and put it on sale.

It wasn't of course the best time to sell given the mortgage rates etc. The tenants were clear they loved the house and it appeared they didn't want it to sell- they'd even taken the for sale board down which of course I challenged. I have been open and honest with them throughout that my mortgage rate is ending and on top of that being single now my self assessment tax bill had been 6k. So alongside the increase in mortgage and the tax I simply couldn't afford to keep it and if I had any other choice I would let them stay.

In Nov 2023 the estate agent said sometimes tenanted properties are difficult to sell and suggested I ask them to leave and see if I can sell it empty. I of course did not want to do that with Christmas and New Years coming up so I waited and served the Section 21 early January again apologising and explaining the situation from my side. They again said maybe by March they might by it.

Throughout January and February they continued asking for more time sighting various reasons which I politely declined again explaining my current situation and why I needed to sell. A week before the eviction notice was going to expire the lady messaged me stating she would give me 2k for my tax bill if i let them stay and I again politley declined as my priority was to sell. 2 days before the Section 21 was expiring the lady WhatsApped me and said I might get a call from housing for a reference which I said was absolutely fine. I asked if they were moving in 2 days and she replied yes. Then the next day (day before expiration of section 21) they said their house had fell through and they weren't moving. I asked via the letting agency what their plans were and they said they didn't know. On that day I gave them 24hrs notice to inspect the property and when I went round the next day nothing was packed and it was clear they had no intention of moving.

Since this date they have been very evasive with the agents not responding to emails or calls so unfortunately I've now had to apply to court for the eviction process to commence.

On April 2nd i informed her the rent was going up from 1500 to 1800 and they were of course free to vacate. The letting agency gave them formal rent increase notice on the 20th April- so they've known for about 6 weeks that it's going up. Rent is due next week and they have emailed the agents yesterday stating they can only pay 1600 as they cannot afford more. My view is they're renting 4 bedroom house and if they aren't able to afford it then they should move and downsize. For 2 years I hadn't increased the rent out of respect and actually I was selling so they were already being inconvenienced so I didn't want to be more difficult.

To give you an understanding my mortgage payments pre Dec were 1100- they're now 1985. You're probably wondering why I'd gone for the house as mortgage rates were going to increase but when the house was bought I was with ny ex husband so it would have been manageable.

Anyway if they refuse to pay the increase- would I just put a separate application to county court/Small claims court? for the rent they owe- however much will be accrued whilst the eviction process is taking place?

It seems that might want a council house but there's the man, the woman and 2 adult sons who are working in that home and 2 other under 18 children. There's other families who are actually destitute that need council support but these guys are all working. Also to add before they moved into mine they'd actually sold their house so my place was a stop gap until they brought something else so in conversation before all this had happened the woman had said that have a deposit to put as a down payment on their next house.

As you can tell I'm extremely frustrated so any other advice will be welcomed.

Thanks

Do nothing with that information-just carry on with court proceedings and get them out.

Are you sure the 4 bed hasn't been sold but Land Reg isn't yet updated due to backlog?

Yeah even before all government admin functions fell to shit, it used to take at least six months for the Registry to update.

It has no bearing on what you need anyway, just follow the s21 process.

Not entirely sure. It's the same address they used when they signed the AST abd that was 2 years ago 🤷🏻‍♀️

"Further exploration has uncovered that they actually own a 4 bedroom home in the area"

That's not OK if it still belongs to them and they haven't declared it and are asking the council for housing. Not OK at all.

It does sound like it might be the delays at the Land Registry, it takes ages to update like a pp said.

It took 2 years for the land registry to update when I bought my flat in 2021!

Thanks all!

It's absolutely irrelevant to the eviction process and the OP.

If they're trying to fraudulently get an LA property that's another matter but I'm fairly sure they won't get away with it.

@SocialButterfly101 I don't have time to read the whole thread so sorry if it's been said already: when your case finally gets to the court the very first thing the judge will check is if the Section21 you served is valid. If invalid, you're fucked and back to where you began. They won't even engage you and give you a minute if their time, the court I mean.
I strongly recommend you check your Section21 validity online, this is a great source nearlylegal.co.uk/wp-content/uploads/2021/10/s21updatedOctober21.pdf

In England only a court or a tenant can end a tenancy. You, as a landlord, can request to end a tenancy but your tenant has no obligation to leave their house unless they want to or are ordered to vacate the property by the judge.
For the time being (this might soon change by law) a valid Section21 will most likely result in courts decision to terminate the tenancy but it's crucial you precisely follow the legal process of it so it's in your best interest to stop engaging with the tenants directly, only via courts.

Thanks @lemongirl1985 all in order. I had confirmation that the court has accepted the case and given the first date to vacate so good news!

Nope they didn't! They paid the normal amount and not the increased amount as per the Section 13.

Did you actually expect them to pay the increased rent? Actually??

they have already overstayed their tenancy past the date for the section 21. Are you actually legally allowed to raise the rent at that point?

Yes she is-provided the fixed term has expired, and it's raised using a s13 with the appropriate notice. Unless the tenant is holding over on a contractual periodic, in which case the tenancy agreement terms re rent raises are followed. If the agreement is silent as to the contractual procedure for rent increases, then its appropriate to follow the s13 process.

I have already sought legal advice and yes I can raise the rent under the Section 13 process. I feel I have been as fair as can be. If they're exercising their right to remain in the property past the Section 21 notice and I need to apply via the courts then I can equally exercise my right to raise the rent.

Now that there are rent arrears- if they don't clear them then I've been advised I can make a claim via court and that could impact on their credit scores if they choose not to pay. I know that were wanting to buy a property so I'd hope they'd think about the impact this will have on them.

For now the process will continue.

Sneaky 😡

A landlord can raise the rent under a s13 once per 12 months. There's nothing sneaky about it.

The court service is overwhelmed at the moment. It can take 6 months to get a case to court and a further two to three to a warrant of execution. If the rent rise is due during that period, providing it's in line with market rents it's fine.

If the tenant objects they can take the matter to a rent review tribunal. That is their legal recourse.

Anymore sneaky than saying they're packed and ready to move and email the agent at 5pm on a Friday to say they're not going and switch their phones off?

I haven't raised the rent since they moved in 2 years ago. The court process in this area is a minimum 6 months because the bailiffs are running 3 months behind.

It's sneaky because they are trying to coerce the tenants into leaving or alternatively they are taking advantage of the tenants' ignorance of this aspect of housing law to punish them for not leaving. Very sneaky, very Tory, very underhand

Sure, you're doing nothing wrong 🙄

Fortunately the op won't be a "landlord" for much longer and has probably learned a lesson or two about what it really involves.

It’s not sneaky!

OP sounds like a great landlord, and is following the law to the letter. It works both ways.

Relying on renting and the lack of security is miserable for tenants, but it doesn’t make landlords exercising their legal rights sneaky!

If the tenants don’t understand the law, that is on them. I rented for a long time, I made sure I knew the law around my housing situation in the same way I now do as a home owner.

Ignorance is never an excuse!

You done nothing wrong op. As a tenant I have had a section 21 and had to go through the full eviction route as I was not able to get private rent . But I was honest with the landlord from the start. I didn't say stupid things like I want to buy. A place I was hoping for fell through. Etc . And from what you have said theses people owm another property if that's right then the council won't help tj anyway.

Regarding the rent situation they have to be in 2 months worth of rent arrears before you can do a section 8. Since they are paying the old amount it could tsje a little while to get to the 2 months rent arrears.

Either way you have not done anything wrong.

The tenants are experiencing the right to stay but seem to be playing it dirty.

Coercion it most definitely is not. Increasing rent to the market rent is lawful, that is why s13 exists. If Parliament wanted to legislate that increasing rent during the possession process is unlawful they would do so.

As I said, the tenants have the right to apply to a property tribunal to have the rent increase declared void.

The fact is, if the rent increase is within the range considered market rent they will lose. In exactly the same way they will lose at court, because with s21 notices, providing the statutory rules have been followed, the court cannot do anything other than grant the Possession Order.