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Question

Changing the Rent (England) | Deposits and Tenancy Deposit Schemes (England) | Moving in a Tenant (England) | Prescribed Information (England) | Tenancy Agreements (England)

I want to start brand a new tenancy agreement with my tenant

28 Dec 2016 | 2 comments

I’ve had a dream tenant since April 2006. Pays on time and maintains the property. However, this could be my downfall because I’ve been somewhat lax on the admin side of things.

I’ve only increased the rent once in all that time (by way of a new tenancy agreement). He has agreed to an increase that will shortly come into effect and what I would like to do is start a brand new tenancy with everything done properly upfront and then going forward be a bit more on the ball. Hence my reason for joining this association. At some point he will move on and while I don’t expect any problems I just want to be prepared in case there are. I have a concern that since I have only just protected his deposit, would this cause problems at the end of the tenancy? Should I draw up an agreement stating we agree to the termination of the current periodic tenancy? Return the current deposit and get him to pay a new one to me based on the new rent under the new agreement? I know that sounds nonsensical but given the way the law can work when there is a landlord-tenant dispute I don’t want the late protection of the deposit to put me in a precarious position.

Kind regards
Anita

Answer

2 Comments

  1. guildy

    Thanks for joining!

    This slightly depends on what has happened since the original 2006 agreement. If there were no new renewal tenancies since 6 April 2007, the deposit would only need protecting at a point before you asked them to leave via a section 21 notice (2 months no reason notice).

    If however, there was a renewal since 6 April 2007, then, the deposit should have been protected at that time. If it wasn’t, in an ideal scenario it would be good to return the deposit in full and then retake the deposit for the new tenancy you are drawing up. A paper trail with days between transactions would help.

    However, that being said, in the Superstrike case, it was held that where a new tenancy arises, the deposit is in fact returned under the old tenancy and retaken under the new – all automatically in law and without any actual money changing hands. However, it was a slightly different situation to a renewal although there is no reason why it shouldn’t apply in your case.

    There is no need to terminate the old agreement as your new one automatically does this (called a surrender and re-grant by operation of law).

    • anipani

      Hi

      Thanks for the speedy reply and advice.

      Yes, the renewal was after April 2007. I think I will play it safe – return the existing deposit and start a new deposit protection.

      Kind regards

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