Crucial that landlords understand the types of tenancy contracts

An industry association has issued a reminder to landlords and rental agencies to make sure they understand the differences between contractual and statutory lease agreements

A recent example has brought attention to issues that arise when agents fail to recognise the distinctions between the agreements. A tenant once falsely claimed that they were exempt from a section 13 notice because of their periodic status, yet this was not the case. Once a six-month fixed-term tenancy has been established, it will transition to a periodic relationship, but which one? What is specified in the Assured Shorthold Tenancy agreement (AST) will determine this.

When the AST clearly states that a periodic tenancy will take over at the conclusion of the specified term, this effectively results in a contractual periodic tenancy. Conversely, if the AST does not include any post-fixed term agreements and the tenant stays on the property, then a statutory periodic tenancy is created.

A rent increase provision, which gives the landlord the right to raise the rent annually, is incorporated in many ASTs. Now, if your contract contains a periodic provision, you can utilise it to raise rent without having to submit a section 13 rent increase notice as long as the clause is deemed to be a fair term.

Even if the tenant in a contractual periodic rental vacates without providing notice, they will still be responsible for paying council tax until the end of the tenancy. On the other hand, as statutory periodic tenancies are considered fresh tenancies, the renters` duty for council tax is limited to the time they reside in the property. This implies that the landlord may be responsible for paying council taxes if the renter vacates the premises or leaves without giving notice.

#property #landlords #rental ...

Edging ever closer to a base interest rate cut

Ever since it was increased from 5% to 5.25% in August of last year, the Bank of England base rate has not moved for the sixth consecutive month

The Bank is likely to lower interest rates this year in order to meet its 2% inflation objective. It was always expected that the Bank would hold rates this month, and it is anticipated that June`s meeting would produce a similar result. However, by then, there ought to have been two more sets of better inflation statistics, supporting the case for rate cuts by the end of the summer. The anticipation is that June`s meeting will finally break the impasse over the base rate and start a rate drop, even though no change was anticipated by most.

In recent months, the housing market has been rather steady. According to the most recent House Price Index data, there are more properties for sale and increased buyer confidence. As of right now, 12% more sales have been agreed upon than at this time last year. In March, 61,300 mortgages were approved, somewhat more than the 60,500 that were approved in February. The number of monthly mortgage approvals that was observed in the three years preceding the epidemic is currently approaching 65,000.

Things are certainly looking brighter on the horizon. Despite the recent small increase in mortgage rates, two significant lenders—Barclays and Lloyds—offered some optimism lately by lowering some of their rates. Due to the intense competition in the mortgage industry, mortgage rates have already decreased this year and have been considerably less erratic. Now that the economic growth prognosis has brightened and buyer confidence has surged, we may anticipate a modest price rise for houses this year.

#property #mortgages #bankofengland ...

Local family educational events near Rugby

Education is the kindly of a flame, not the filling of a vessel, so open your senses to some education events taking place in your local area in the coming weeks

Education is everything, especially to a young life, and it’s one of the few things in life that we cannot have too much of. More education the better, so why not add to your children’s positive development and attend such events in your local area in the coming days? We’ve found what we think are the best local family education-related events taking place in your local area in the not-too-distant future.

Willow Garden Obelisk Weaving at Ryton Pools Country Park
From Eventbrite:
Come join us at the Willow Garden Obelisk Weaving event where we`ll learn to create beautiful woven structures together!
Location:
Ryton Rd Bubbenhall Coventry CV8 3BH
Date and time:
Monday, May 13 · 10am - 12:30pm GMT+1
https://www.eventbrite.co.uk/e/willow-garden-obelisk-weaving-at-ryton-pools-country-park-tickets-862978882067?aff=ebdssbdestsearch

Designated Safeguarding Lead Refresher
From Eventbrite:
Building on our experience & success of delivering training for DSLs over a number of years, we are delighted to offer a hugely interactive day which will not only refresh DSLs’ knowledge but also stimulate their thinking and inspire them to grow & develop the culture of safeguarding children in their settings.
Location:
Bulkington Village Community & Conference Centre, School Road Bulkington CV12 9JB
Date and time:
Tue, 18 Jun 2024 09:00 - 16:00 BST
https://www.eventbrite.co.uk/e/designated-safeguarding-lead-refresher-9am-4pm-on-18th-june-2024-tickets-548023512077?aff=ebdssbdestsearch

#property #family #education #rugby ...