UK Tenancy Agreement

Posted on June 6th, 2008 | by John Glenn |

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When you are putting up a tenant in your property and done all the evaluations and check on him, and identified him as an acceptable tenant, the next thing is to get him to enter into a tenancy agreement. A formal verbal agreement will have no problem if it takes effect on the day it is granted, it is for a term not exceeding 3 years, and it is at the best rent which can reasonably be obtained without a premium being taken. But in the case of any relative or friend, it is not suggested as it has no any documentary evidence.

The new legislation is originated from the Housing Act of 1988 which introduced two new types of tenancy; the Assured Tenancy (AT) and the Assured Shorthold Tenancy (AST). The 1988 Act was subsequently amended by the 1996 Housing Act. This updated procedures and made it even easier for landlords to let property without the worry that they would be unable to get their property back at the end of the term.

The AT gives a tenant extensive security of tenure. This means that at the end of the agreed term the tenant does not have to leave, having the legal right to stay unless the landlord can establish grounds for possession. AST agreements are up to date and also grant the tenancy that you want. Agreements in a digital format can generally be amended to suit your specific requirements and are therefore preferable.

AT sets the clear terms the rights and responsibilities of both the landlord and tenant. If disagreements arise then this agreement will be useful in settling disputes which may ultimately go as far as the Courts.