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MPPT Spotlight are focusing on Tenants this week with a series of articles on getting the best out of tenant

MPPT Spotlight are focusing on Tenants this week with a series of articles on getting the best out of tenants

Tenants Thoughtlessness
May Go Against Tenancy Agreements

According to new research conducted by Ocean Finance, the majority of tenants in the private rental sector could be guilty of breaching their tenancy agreement for their rented properties.

The study found that 94% of tenants in private rented sector properties admitted to acting in a manner that could be considered to be in breach of their tenancy agreements, as not all tenancy agreements include restrictive clauses, but many do.

The survey discovered that:

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Section 8 - Grounds For Eviction

Section 8 – Grounds For Eviction

Taking the professional tenant eviction route may sound expensive to many UK landlords, but it can actually work out to be the cheaper option because professional tenant eviction specialists, like Legal 4 Landlords, know what they’re doing and work fast.

Many landlords try to tackle the eviction process themselves by serving a Section 8, but there a few details that must be 100% accurate and many landlords attempting to evict tenant’s themselves unknowingly serve an invalid notice, consequently delaying the entire eviction process, which ultimately may result in more lost rent for the landlord.

A Section 8 notice to quit, sometimes referred to as a Section 8 possession notice has to be completed and served correctly on the tenant(s) of the rental property, allowing the landlord to seek possession of the rental property from the tenant during the term of the Assured Shorthold Tenancy (AST).

The Section 8 notice needs to show that the tenant has breached the conditions of the tenancy agreement, any term or condition of the tenancy agreement that is seen to have been broken constitutes a breach. The most common type of breach is the non-payment or late payment of rent, however, damage to the property, unsociable conduct, and subletting are also grounds for a possession order.

To make a Section 8 form valid, the landlord must state which grounds the tenant has breached according to Schedule 2 of the Housing Act 1988

All Section 8 forms require the landlord to specify the grounds they are citing as reason for eviction.

These grounds for possession, under Schedule 2 of the Housing Act 1988, fall into 2 main categories and are listed below

  • Mandatory Grounds – this covers Grounds 1 to 8 and if one of these grounds is cited on a Section 8 form the court must grant possession to the landlord.
  • Discretionary Grounds – this covers Grounds 9 to 17 and in these cases the court will only grant possession if it feels it is reasonable to do so.
Ground Short Description
Ground 1 The landlord requires the property in order to use it as their main residence. This ground can only be used if the landlord used the property as their main residence prior to the tenancy beginning.
Ground 2 The mortgage lender on the property has served notice to foreclose. In this case the mortgage in question has to predate the start of the tenancy.
Ground 3 The property was previously used as a holiday let and is required to return to the status of holiday let. For the exact conditions that apply to this Ground please see the Housing Act 1988.
Ground 4 The property is being let by an educational institution and is now required by students of the educational institution. Written notice that this may happen must be served before the tenancy begins.
Ground 5 The property is owned by a religious body and they require possession for a member of their church i.e. a Minister of Religion.
Ground 6 The landlord wants to demolish and reconstruct, or redevelop all or part of the property. The tenant needs to have refused to live in all or part of the property while work is carried out for this ground to be feasible. If granted the landlord is required to pay all reasonable moving costs to the tenant.
Ground 7 The current tenant is a tenant heir and is not named on the original tenancy agreement. The landlord must serve a Section 8 notice within 12 months of the death of the named tenant.
Ground 8 The tenant has failed to pay more than 8 weeks rent in the case of weekly payments, 2 months in the case of monthly payments or 1 quarter in the case of quarterly payments. Ground 8 is often cited in conjunction with Grounds 10 and 11 so that a partial payment by the tenant just prior to the court hearing doesn’t render the possession order obsolete. Note: When claiming possession under this ground, it is advisable to cite more than one ground since, if the tenant pays off part of the arrears shortly before the hearing, this ground can no longer be proved and possession proceedings will have to be abandoned. It is, therefore, common practice to cite more than one ground for rent arrears (i.e. grounds 8, 10 & 11), if applicable, and to also wait until at least two months’ rent (or eight weeks in the case of a weekly tenancy) is unpaid before issuing the Section 8 Notice.
Ground 9 Suitable accommodation of the same type and quality has been offered to the tenant and refused. The landlord is required to pay all reasonable removal costs if possession is granted.
Ground 10 The rent is in arrears but by no more than 8 weeks in the case of weekly payments, 2 months in the case of monthly payments and 1 quarter in the case of quarterly payments.
Ground 11 The tenant is repeatedly late with payments or repeatedly fails to pay their rent until prompted by the landlord.
Ground 12 The tenant has breached any of the terms listed in the tenancy agreement.
Ground 13 The tenant has neglected or damaged the property, or they have sublet the property to another individual who has neglected or damaged the property.
Ground 14 The tenant is considered a nuisance to neighbours or other tenants and has received complaints concerning their conduct.
Ground 15 The furniture listed on the property inventory has been misused, damaged, broken or sold by the tenant or any individual living with them.
Ground 16 The property was let to the tenant as a condition of their employment but the employment has now come to an end.
Ground 17 The property was let on the basis of false information provided by the tenant or one of their referees/ guarantor.
Grounds For Eviction

Grounds For Eviction

How much notice is given in a Section 8?

  • The amount of notice a landlord is required to give differs according to the grounds they are citing on the Section 8 form. Ground 2 for example, requires a minimum of 2 months’ notice but grounds 8, 10, 11, 12, 13, 14, 15, 16 and 17 only require 2 weeks’ notice.

What happens after the Section 8 Notice has been served?

  • All Section 8 forms must clearly state the date on which the notice expires. This is the date that the tenant has to have paid their rent arrears by, or have vacated the property by, and in nearly 80% of cases the tenant leaves or pays before this date arrives.
  • If the tenant refuses, the landlord can start court possession proceedings on the day following the date cited on the Section 8 form.
  • To do this the landlord has to acquire forms N5 and N119 from their local county court and pay the appropriate court fee. This then starts the process of gaining a possession order.

Will a Section 8 guarantee that a possession order will be granted?

  • In simple terms, NO!.
    The likelihood of being granted a possession order is dependent on the Grounds cited on the Section 8 form, and as mentioned earlier some grounds are mandatory while others are discretionary.
  • Grounds 2 and 8 are always granted the order but the circumstances surrounding the other grounds are carefully considered by the court before a decision is made.
  • The evidence of the landlord and any evidence submitted by the tenant is looked at closely and factors such as hardship and extenuating circumstances suffered by the tenant are taken into consideration.
  • If a possession order is granted it normally takes effect within 14 days, but in cases of true hardship on the part of the tenant this can sometime be extended to six weeks.

Tenant eviction can be a bit of a minefield for the uninitiated landlord and the safest and fastest way to evict a tenant is to use a tenant eviction specialist, like Legal 4 Landlords who take care of all the paperwork and appoint trained legal teams to deal with the hassle.

The UK's leading tenant eviction specialists

Legal 4 Landlords

knowledge of tenant evictions is second to none, that’s why they are the UK’s leading tenant eviction specialists!

Landlords Must Address Landmark Legal Ruling

Landlords Must Address Landmark Legal Ruling

A UK court case has delivered a landmark ruling that will affect every landlord in the country.
Now any legal notice served on a tenant must have the landlord’s own address on it and not a care of address being that of the agent.

The case of Beitov Properties v Elliston Bentley Martin [2012] UKUT 133 (LC) ruled that a landlord seeking to recover a service charge from a tenant had not complied with the statutory requirements of section 47 of the Landlord and Tenant Act 1987 because the landlord used an indirect address ‘care of’ its managing agents in its demand notice.

The landlord was deemed not to have served a valid demand by using a care of address and the court ruled that the statutory requirements of section 47 of the Landlord and Tenant Act 1987 had been breached so therefore nothing was due from the tenant.

It is common practice for a landlord seeking payment for sums due from a tenant – whether rent, service charge or insurance – to delegate the collection task to managing agents and for the managing agent to be named as the correspondent and recipient of the sum due in payment notices.

The landmark legal case will serve as an important reminder to UK landlords and property managing agents to get ALL the technical details right.

Section 47 of the Landlord & Tenant Act 1987 requires a landlord to give his or her name and address in any written demand to his residential tenants, wether they are comfortable with disclosing it or not.

The Act applies to all UK landlords and their appointed agents.

An individual landlord managing their own properties has to provide their legal residential address, and a company has to provide the address of its legally registered office. Using the letting agent’s or managing agent’s address does not suffice, as it is not the landlord’s legal address.

The implications of the Beitov decision may be more far-reaching than is first apparent. For example, it may not be possible simply to re-serve the demand with a correct address, as the demand could be out of time: service charge demands must be made within 18 months of the liability being incurred.

And of course, many landlords do not like to disclose their addresses to their tenants.

Finally, if a tenant has already paid as a result of a demand that proves defective, they may be able to claw back payments on the basis that they were forced to pay under an invalid demand.

Sim Sekhon, spokesman for Legal 4 Landlords, said: “Property managing agents and landlords need to sit up and take notice of this landmark legal case or face the consequences. If the landlord’s demand notices to tenants are found to be technically defective, they can face consequences paying out up to six years worth of payments if demand notices are not fully compliant with the Landlord & Tenant Act in terms of correct address details.

Landlords are urged to obtain professional advice if they are unsure of any situation regarding the law and Legal 4 Landlords will be happy to help.

Contact Legal 4 Landlords Now : 0844 567 4003

Two landlords have paid a heavy price in separate cases for failing to comply with HMO regulations.

Sikander Hayat has been fined £9,500 after being prosecuted for blocking escape routes, failing to ensure that the fire alarm system was working, and failing to ensure a constant supply of electricity at one of his rental properties.

Hayat pleaded guilty to seven charges of failing to comply with HMO regulations in respect of a property in Banbury, Oxfordshire.

Banbury Magistrates’ Court heard he also failed to make appropriate arrangements for disposal of refuse.

Hayat was prosecuted by Cherwell District Council and also had to pay the authority’s costs of £300.

In a second case, Graham Snowdon has been fined £10,000 by York magistrates for renting out an HMO without a licence.

The case was brought after a licensing enforcement officer visited the premises in April for an unannounced inspection and found eight tenants living over four floors.

The council said that the premises did not have an HMO licence and was lacking in fire detection and prevention equipment. Other amenities were below the legal standard.

As well as a £10,000 fine, Snowdon was also ordered to pay costs of £1,216.50 and a £15 victim surcharge.

 

Source: RLA News Service

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