December 4, 2021 admin

Periodic tenancy

You’ve heard about period tenancy; you might be in one but not entirely sure what it all means?

What is a tenancy agreement?

Whether written or verbal, your contract states what you and your landlord have agreed to. It doesn’t have to be in writing. Still, it must include information about how many tenants live in the property, their ages if they’re under 18, who’s on the tenancy agreement, your rent, when it’s due, who’s responsible for the bills and any other relevant information.

Going periodic: What happens when a tenancy is fixed?

If a landlord rents the premises to the owner, he has usually signed a landlord-tenant agreement specifying a fixed term of the stay. Its term constitutes what is known as the tenancy’s term, and the term is defined in the tenancy agreement. It is usually used to refer to the agreement as a fixed-term because it’s for a fixed period.

These are generally six weeks or one year, and they may be less frequently and in different periods. What happens when the time frame comes to a close? We look at various scenarios.

What is Contractual Periodic Tenancy?

A contractual periodic tenancy exists when landlords and tenants agree in a contractual agreement that the tenancy becomes periodic tenancy after the fixed duration. In contrast to ‘Statutory Period Tenancies’, a.. constant periodic tenancy will take the form of no new fixed Tenancy but continue from the same one in which a fixed period.

When this does, tenancy doesn’t stop… but. The lease shall continue (in some cases unless the rental tenant leaves) periodically if any, as stated in the lease.

This is usually for a monthly periodic lease. The advantage of contractual periodic tenancies is that you can set the term for your periodic tenancy; this ensures a certainty.

Council Tax liability during a periodic tenancy

Tenancies starting from periodic leases or contracts with shorter-term will follow the same rules as standard leases. Tenants pay council tax if they are living out of the home.

When a landlord has to give up the property for no reason, they cannot be reimbursed and have the opportunity to get back to the rental market while also paying council fees.

If the current period of the tenancy has ended after this point, the tenant shall be liable for the council tax until the end of its initial six month period as long as it follows the contract if the tenancy is in place for the whole of an apartment or a home instead of for one room.

Electricity safety during a periodic tenancy

All new tenancy created on or after July 01 2020, and if current tenancy begins April 01 2021, your electricians shall secure your property. This can be done by having a licensed person inspect the property and provide you with an EICR electrical safety report.

Electrical safety standards in the private Rented Sector England Regulations 2020 also set out the criteria to comply.

For contractual periodic tenancies which have been carried out over a fixed duration (fix term or temporary contract), the rules in the case of your lease will remain in effect until February 24 2021, even if the fixed term terminates.

How does a periodic tenancy work?

A periodic lease operates on a fixed basis and can occur from month to month or from week to week. Typically tenancy duration depends on when the owner pays the lease. Short term tenancies become periodic ones after the fixed term contract expires without any new contract signed with the remaining tenants.

The assured low-rent tenancy is automatically changed to a periodic tenancy as long as the tenants don’t change and are free to stay in the same contract. The same conditions are applicable, and either landlord or tenant needs no further action, and both landlord and tenant cannot act against each other.

If you have a joint tenancy

It is common practice for a tenancy owner or renter to agree on a fixed-term joint-tenancy period before terminating it; if your contract specifies breaking clauses, you need to get the tenants to decide to end any tenancy unless your agreement does otherwise.

Ask an individual for legal advice when you are considering releasing from tenancy. Get assistance from the Citizens advice office in your locality regarding your termination.

When you stop doing work, there may be a cost to everyone.

Periodic Tenancy Notice Period: Landlords

Landlords must give official notice to quit at the end of the rental term. Landlords may request injunctive relief from any court order regarding possession if their tenants fail to leave the property.

For statutory periodic rental, it is also possible for landlords to issue a notice under paragraph 21 as long as the landlord gives the tenant at least two months’ notice.

Amendments to the statute for Section 21 Notice now require landlords to provide evidence and a basis for giving the landlord the minimum notice period and include other information. If a tenant is not moving on this day landlord requests that change.

If the tenants remain in occupation

Fixed contracts are often preferable since they also provide landlords and tenants with greater security. Sometimes it is best to allow the tenancy to continue periodically, as it may be more flexible. The agent often wants to renew tenancies as they have the right to a renewal fee.

In this context, the circumstances relating to the tenancy indicate that a flexible periodic tenancy would be preferable. They cannot be entitled to an annual fee a holder can pay at any time!

Let the tenant’s agent be clear not to over-promote you; it means that if you’re not pleased with the landlord, then you have no choice – accept it.

If the tenants have moved out

If the tenant leaves during the term, the tenancy ends. According to a principle quaintly called ‘effluxion of time’, landlords may have become concerned if tenants have moved out without their consent.

Sometimes they could include an agreement requiring the tenant to show their intention to leave the occupied room. Unfortunately (for renters), these terms will be void under the Unfair Contract Terms Regulations (now part of the 2015 Consumer Rights Act).

If the provisions were imposed which made him liable for a continued rent if he moved from the UK, it would be considered inapplicable and unusable.

Periodic vs fixed-term tenancy

Tenancies can usually begin periodically until the fixed term ends, and the tenant usually is a resident inside the property at that point. Under the Housing Act, the Act operates in its entirety month to month a week basis.

John Brown holds a six-month tenancy at 32 A street from January 23, which he pays £500 a month. A regular monthly tenancy may therefore be agreed upon under the Housing Act. Starting after letting expire on July 22, will it be between July 24. The rental fee is the same as the terms and conditions of the prior set price.

What is the difference between periodic and contractual?

A fixed-term period doesn’t automatically renew itself at the end of the term. You can choose to stay in your home for another fixed period by signing a new tenancy agreement before the end of your old one.

If you don’t renew, you become a periodic tenant again with less security than during an initial fixed term – but if you do sign another contract, both parties are committed to the new terms.

What is a periodic tenancy?

The length of a tenancy period depends on the type of agreement you have with your landlord, although it must be at least six months long.

What happens at the end of a periodic tenancy?

The type of you will determine what happens when your fixed term ends, and your landlord doesn’t need to give you notice before asking you to leave or seeking possession.

If it’s a shorthold tenancy, they must provide 2-4 weeks’ notice. If you have an assured shorthold tenancy with no fixed end date, they’ll need to seek possession through the courts.

What is a fixed-term periodic tenancy?

A fixed-term period doesn’t automatically renew itself at the end of the term. You can choose to stay in your home for another fixed period by signing a new tenancy agreement before the end of your old one. If you don’t renew, you become a periodic tenant again.

What is the tenancy deposit scheme?

Tenancy deposits must be protected in a government-approved scheme within 30 days of receiving it or before your tenancy starts if you move in without receiving a deposit first. There are three schemes available: Custodial, Insurance Based and Deposit Replacement.

What is a contractual periodic tenancy?

If no new agreement for another fixed term is signed when your previous contract ends, this automatically creates a ‘periodic’ or rolling month-by-month tenancy with no fixed date to end the tenancy.

What is a statutory periodic tenancy?

If you live in a shared building and your fixed term agreement ends, but the person who signed the agreement as head-tenant stays on, you automatically become a ‘statutory’ tenant and move on to a statutory periodic tenancy, with rights under LTA 1954. This applies even if you have given the notice to quit or served with a section 21 notice.

What are statutory periodic tenancies?

If a joint AST expires and no new tenants move in, the remaining occupants become “statutory periodic tenants”. They will usually have to pay rent at the rate that was due from when the tenancy started.

However, if their rent has been reduced since then, they can use it to show what they should be paying each month instead.

What is the difference between an AST and RS?

An AST gives you more protection against eviction but caps the rent increase at the Retail Price Index (RPI) plus 1 per cent for two years after your initial tenancy agreement. If it’s an older tenancy, rent can be increased annually by any amount.

A Rent Act protected tenancy (often referred to as a ‘Rent Act Tenancy’ or ‘RA Tenancy’) gives you more consumer protection from eviction but caps the rent increase at 1 per cent. If your tenancy began before January 15 1989, and has been renewed since then without a break, you won’t be subject to a limit on rent increases.

Why is my tenancy periodic?

If your fixed term agreement ended and you stayed in the same property, it automatically becomes a ‘periodic’ tenancy with no set end date. You will have to give 90 days notice if you want to leave at the end of a fixed-term tenancy for notice periods.

What is the difference between AST and PT?

An AST gives you more protection against eviction but caps the rent increase at the Retail Price Index (RPI) plus 1 per cent for two years after your initial tenancy agreement. If it’s an older tenancy, rent can be increased by any amount.

A Rent Act protected tenancy (often referred to as a ‘Rent Act Tenancy’ or ‘RA Tenancy’) gives you more consumer protection from eviction but caps the rent increase at 1 per cent. If your tenancy began before January 15 1989, and has been renewed since then without a break, you won’t be subject to a limit on rent increases.

Your tenancy is periodic because the fixed term has ended, and you’re renting the property on a rolling monthly periodic tenancy. You will have to give 90 days notice if you want to leave at the end of a fixed-term tenancy.

What happens if your fixed term ends and your landlord doesn’t need to give you notice before asking you to leave or seeking possession?

If it’s a shorthold tenancy, they must provide 2-4 weeks’ notice. If you have an assured shorthold tenancy with no fixed end, they’ll need to seek possession through the courts.

What is a notice to quit?

A written statement telling you that your landlord wants you to leave the property. A valid section 21 notice would be written by your landlord and state that they want you to end the tenancy on a specific date, which must give you at least two months’ notice.

If they don’t state a specific date, it’s assumed that they want you to move out on your tenancy period’s last day.

What is an assured shorthold tenancy?

A type of agreement where you rent from a private landlord and have some protection from eviction. ASTs must include:

  • The name and address of the landlord
  • Your full names and those of anyone else on the tenancy agreement
  • How much rent is due and when it’s due
  • What will happen if you don’t pay your rent, for example, what charges apply or whether you’ll be evicted
  • How long the tenancy is for
  • That you have a right to pass on your tenancy to someone else, known as succession
  • The date the agreement started.

What are my landlord’s rights?

If you don’t pay your rent or break any of the terms of your agreement, they’re allowed to serve you notice and possibly evict you.

What is section 8 notice?

If you haven’t paid your rent or broken any of your tenancy agreement terms, then your landlord can end your tenancy by serving you with a section 8 notice. A section 8 must:

  • Be in writing and state that your landlord wants to end your tenancy on a specific date.
  • Include the name and address of the person claiming possession of the property, as well as those of any joint landlords
  • State what rent is owed and how it needs to be paid
  • State what the reason for serving notice is. The most common reasons are rent arrears or breach of contract, like breaching any terms in your tenancy agreement.
What is a section 21(1)(b) notice?

A mandatory ground for possession notice, based on section 21(1)(b), means your landlord can get a possession order without having to give you any reason. They must still provide some evidence, but they may not have to tell you what it is.

What is section 21(4) notice?

A mandatory ground for possession notice, based on section 21(4). Your landlord will need to show that at least eight weeks’ notice has been served on you and that no rent is currently owed.

What is a section 21 notice?

A written form stating that your landlord wants you to end your tenancy on a specific date. If it doesn’t display the date, they will assume that they want you to move out on the last day stated on your tenancy period. It must include:

  • Your name
  • The property’s address
  • The date your landlord wants you to leave the property
  • Your landlord’s name and address. Your tenancy will end on that date, whether or not you leave by then. A section 21 notice must be written on a particular form called Form 6A.

What is a fixed term?

A fixed term means that you and your landlord have agreed to rent the property for a set period. Your tenancy won’t end until the fixed time is over unless either party ends it through section 8 notice.

What is a joint AST?

A joint AST means that all tenants named on the agreement are responsible for everything related to the tenancy. If one of those joint tenants leaves, they’ll still be accountable for their share of the rent and bills until someone new moves in as a replacement tenant under an AST succession.

What is an AST succession?

If someone moves out of a joint AST before the end of their fixed term, the remaining tenants will usually have to find a replacement tenant under an AST succession. The original tenants are still responsible for paying rent and everything else until the new tenant has moved in.

Rolling or periodic tenancy agreement?

A rolling or periodic tenancy is when your fixed term ends, and you stay in the property without signing a new agreement. It’s common for many people to keep on living in the same place, so landlords sometimes don’t bother putting it down on paper – but it doesn’t mean that you’re not under an agreement to pay rent either.

Your tenancy period will depend on the length of your rent payment; you should check what’s in your tenancy agreement.

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