What is an AST?
You are a private landlord or housing association
The tenancy started on or after 15th January 1989
The property is your tenants’ main residence
You do not live in the property
A tenancy cannot be an AST if:
It began or was agreed before 15th January 1989
The rent is more than £100,000 per year
The rent is less than £250 a year (or £1,000 in London)
It is a business tenancy or tenancy of licensed premises
It is a holiday let
The landlord is a local council
The Contract
The tenancy agreement details how much rent is owed, who is responsible for repairs and how long the tenancy lasts. Although you are responsible for most repairs, such as work to the roof, walls, windows, doors, wiring and plumbing, the contract should state who is responsible for other work, such as garden maintenance.
Under an AST, the tenant must take care of your property and conduct day-to-day tasks, such as changing light bulbs.
Tenancy deposits
The deposit should then be returned at the end of the tenancy. However, you can make reasonable deductions if the tenant has caused damage or fallen into rent arrears during the tenancy.
Inventories
Inventories will help you resolve tenancy deposit disputes at the end of the tenancy.
Rent rises
Once the fixed term ends, you can increase the rent.
Repairs
Also, you are legally obliged to arrange a gas safety inspection every year. Once this is complete, you must give a copy of the gas safety certificate to your tenants.
Renewal
Ask for a new fixed term contract – they should be aware of any renewal fees they’d have to pay and any rent increase you decide to implement
Leave at the end of the fixed term – you may decide to request notice before they leave
Stay beyond the fixed term, even if they don’t sign a new contract – the agreement becomes periodic and rolls from month-to-month at the same rent
Leave before the end of the fixed term – the contract may include a break clause that gives them this option
Eviction
Landlords, you must get a court order to evict your tenants and follow a set of procedures. The most common forms of eviction notice are section 21 and section 8 notices.
You do not need to give grounds for eviction if you use a section 21, although a reason is required for section 8 notices.
If you rent your property on an AST, which you most likely do, you must understand the rules surrounding this type of tenancy. Don’t be caught out when letting your property!
For more information on Managing Rent Collection and Tenancy Agreements why not visit our blog?…