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Question

What to Do if Tenancy Is to Continue (England)

Renew tenancy agreement

19 Jun 2020 | 1 comment

Hello,

This is my first let property and I used the letting agent to find a tenant. The 6 months agreement is due to end at the beginning of August. Tenants would like to renew the contract on the same basis which I am also happy to do. There is a guarantor on the existing agreement as the tenants have not rented the property before.

What is the correct procedure for the tenancy renewal?

Do I need to renew a deposit protection?

Do I need a renewed the contract with the guarantor or would he automatically extend as a guarantor for another 6 months.

 

I appreciate your advice.

 

Regards Marze

Answer

1 Comment

  1. Imported

    There is no legal requirement to renew an AST, and in fact many landlords simply allow the tenancy to lapse into a rolling monthly periodic tenancy – just ensure you inform the tenancy deposit scheme if there is a deposit that’s being held in an insured scheme as you may need to renew your protection.

    However, in this instance as the tenant has expressed a desire for a renewal fixed term and you’re happy to comply with this, you will all need to sign a new AST agreement – ensuring the guarantor is given site of a draft copy first.

    Again, if the deposit is with an insured scheme, contact the deposit scheme and renew the protection if required, but no need to re-serve the deposit prescribed information if there is no other change.

    You will, however, need to re-serve the prescribed information under the Deregulation Act 2015:

    -the gas safety certificate
    -a valid energy performance with a rating of E or above
    -the latest edition of the government How to Rent guide (if you’re serving this by email, download the guide and serve it as an attachment, not just a link)

    As your new tenancy will be dated after 1 June 2020, you will also need to serve your tenants a valid electric safety certificate.

    Whether the guarantee will continue to cover the tenancy depends on whether the guarantee is limited or unlimited. If the guarantee does not stipulate a time period, it will continue, provided it has been signed as a deed by the guarantor and witnessed.

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