Ending a fixed term rental agreement: help needed

cabbles

So soon after I post a thread about the property boom and my anguish, I got dealt this little blow this morning. The mrs has been wanting to leave our current place for a while now as she's not a big fan of the house/area etc. I'm indifferent but she was quite down so I agreed.

We found a place and are able to move in on the 20th of this month. The only problem, and one we weren't aware of, is that we are required to serve out the full agreement of our fixed term, which ends on the 24th February 2015, and pay rent up until then. When we renewed in February of this year, we were just required to sign a piece of paper/renewal sheet stating that we were happy to continue for another year. We were happy to continue but on the assumption that, like all other tenancies (even fixed) we have previously had, that we are required to give a month's notice if we want to leave the property.

Basically I informed the letting agent this morning that we intend to be out by the 24th December. He's now come back and said that even if we leave on the 24th, we're still liable to pay rent for the remainder of the term, up until 24th Feb 2015. However, we only served notice because we had the following correspondence from him, listed below.

Hi Jules,

Ideally by close of business on the 20th December, notice will need to be serviced on the 24th December (Two months’ notice) which can be revoked, we would start to re-market the property in the new year if you decide you wish to leave the property or no new agreement is signed.

Robert, I have noted your email address.

I will confirm in advance when the GSC will be done.

Hi Scott
Are we on a 2 month notice period? I thought we were just on a 1 month notice period? i.e. a rolling contract now we're in a our 3rd year?
Thanks a lot
Jules

Hi Jules,

You are on no notice up to the end of the current tenancy, once you go a day over the 24th Feb you will then be in a periodic and be required to give one months’ notice.

Landlord needs to give two month notice by the 24th December to get possession back on the 24th Feb, once notice is given, marketing for a new tenant commences.

Because of the wording 'you are on no notice up to the end of the current tenancy', we interpreted that to mean we don't have to give a notice period, and if as he's suggesting notice will be serviced (I didn't differentiate between this and the term 'served') the 24th December, then I thought we were doing him a favour by letting him know as early as possible.

Now there are a couple of things here. Yes we should've checked the terms of the agreement, but we were guided by the email above. In addition, he has been talking about us only getting one month's notice as tenants if it is a periodic tenancy. Now we were never given the option of a periodic tenancy in February of this year. In fact he was quite keen to sign us up for another 12 months. If we had known that there was no notice period as tenants or that a periodic tenancy was available to us, we wouldn't have signed.

He's now also thrust upon us all sorts of penalties for breaking the lease early and costs incurred.

My issue is this. Why is it okay for the landlord to have a notice period and not us? And, we have only served notice because of that bloody email.

There is no way in the world we can afford to pay two sets of rent having already committed to the other property. What I am willing to do is recognise that serving notice on the 2nd of December and moving out on the 24th is only 22 days (which is quite short). So worst comes to worst pay a pro rata fee for the other 6 days (giving them the equivalent of a month's rent between now and the 1st Jan)

I don't think he's going to be very proactive about marketing this to new tenants and have a feeling he'll try and screw us here, which is annoying, because in the 7 years I've been renting, I've never missed or been late with a payment, and we look after all our places. We just wanted to leave, and based on that email, thought it was okay.

We don't have a relationship with the Landlord by the way, she is in Australia, and I shudder to think what stories the letting agent is feeding her, as he's more obligated to her than us I presume.

Any help or advice would be greatly appreciated

Thanks in advance

Leroy Ambrose

No offence here, but are you for real? Genuine question - not taking the piss.

cabbles

Leroy Ambrose said:

No offence here, but are you for real? Genuine question - not taking the piss.

Not at all mate. Genuine query. We asked him about the notice period, acted on the response we got from him being the letting agent. Just thought I would ask others on here because I often find people have been quite helpful on here.

If the general consensus is that you/others think I'm taking the piss, then more fool me

Addicted

What does your tenancy agreement state? The actual document that is, not what this guys says.

Er_Be_Ab_Pl_Wo_Wo_Ch

If you can find a replacement tenant that'd be one way out.

It'd be against the tenancy agreement but if you could find a mate in need of a place you could sub-let the old place and recoup something.

What's said in an email is irrelevant, as these can be ambiguous, as proven. What does the original tenancy agreement say about notice?

Covered End

I don't know about these things, but from what you've said, it appears that you've made a massive balls up.
As you said, you should have checked the terms of the agreement, before signing another one.
Apologies, but I can't see a remedy.

cabbles

Addicted said:

What does your tenancy agreement state? The actual document that is, not what this guys says.

As per what the letting agent is now saying - we don't have the right to serve notice, but the landlord does. It's just all the more frustrating because we were never event given the choice re: periodic tenancy, just another fixed term

PL54

Your deal ends in February and you can't get out before the end of the deal but you can walk at the end of it.

If the landlord wants you out in February then he is tied to 2 months notice (warning) so has to tell you in December.

Seems generous to me. Nobody is screwing you over - you didn't read the contract.

cabbles

Thanks all so far, it is what I thought was the case, but wanted to ask

Covered End

cabbles said:

Addicted said:

What does your tenancy agreement state? The actual document that is, not what this guys says.

As per what the letting agent is now saying - we don't have the right to serve notice, but the landlord does. It's just all the more frustrating because we were never event given the choice re: periodic tenancy, just another fixed term

You've answered your own question I'm afraid. You can't give notice, so you have to pay the rent in full, until expiry, which is only fair if that is the agreement.

Addicted

I may have misinterpreted your text wall there but didnt the letting agent state you have 1 month notice via e-mail at some earlier stage?

Edit: Just seen that was him talking about next year.

Terms in the contract are going to be tough to escape to be honest. Our last landlords had a clause where they charged £150 out of our deposit for the privilege of them coming to check if we deserved our deposit back. i never checked it and no amount of ranting could get us out of it.

Best thing you can do is see if you can sublet it on gumtree for a short term.

ricky_otto

Covered End said:

I don't know about these things, but from what you've said, it appears that you've made a massive balls up.
As you said, you should have checked the terms of the agreement, before signing another one.
Apologies, but I can't see a remedy.

I'm not an expert, and unless you can find a loophole, covered end is correct.

Looks like you will have to swallow your medicine and pay the remainder of the agreement to get out....unless as suggested in a previous comment you sub let i. Not really worth the potential repercussions though Imo.

swords_alive

http://england.shelter.org.uk/get_advice/private_renting/ending_a_tenancy/renewing_your_private_tenancy

cabbles

swords_alive said:

http://england.shelter.org.uk/get_advice/private_renting/ending_a_tenancy/renewing_your_private_tenancy

Thanks mate. Feel a bit embarrassed given the general consensus on here literally was going bit by the wording of the email correspondence, and assumed (wrongly) that we have the opportunity to break.

Had financially taken into account paying for jan, not feb. And now feel like a lemon for opening up to advice

LenGlover

cabbles said:

swords_alive said:

http://england.shelter.org.uk/get_advice/private_renting/ending_a_tenancy/renewing_your_private_tenancy

Thanks mate. Feel a bit embarrassed given the general consensus on here literally was going bit by the wording of the email correspondence, and assumed (wrongly) that we have the opportunity to break.

Had financially taken into account paying for jan, not feb. And now feel like a lemon for opening up to advice

We've all made mistakes by reading in a hurry.

You're just unlucky in that it will cost you more than anticipated

cabbles

LenGlover said:

cabbles said:

swords_alive said:

http://england.shelter.org.uk/get_advice/private_renting/ending_a_tenancy/renewing_your_private_tenancy

Thanks mate. Feel a bit embarrassed given the general consensus on here literally was going bit by the wording of the email correspondence, and assumed (wrongly) that we have the opportunity to break.

Had financially taken into account paying for jan, not feb. And now feel like a lemon for opening up to advice

We've all made mistakes by reading in a hurry.

You're just unlucky in that it will cost you more than anticipated

LenGlover said:

cabbles said:

swords_alive said:

http://england.shelter.org.uk/get_advice/private_renting/ending_a_tenancy/renewing_your_private_tenancy

Thanks mate. Feel a bit embarrassed given the general consensus on here literally was going bit by the wording of the email correspondence, and assumed (wrongly) that we have the opportunity to break.

Had financially taken into account paying for jan, not feb. And now feel like a lemon for opening up to advice

We've all made mistakes by reading in a hurry.

You're just unlucky in that it will cost you more than anticipated

Based on the feedback Len I think the majority might say unlucky fool might be more appropriate:)

I have nightmare visions of people saying to work colleagues 'look at this idiot etc now'

Oh well, all I can do is chalk this one up to stupidity on my part, sick it up and crack on.

Jodaius

Just one thought - whilst it is correct that you have no unilateral right to break before the end of the fixed term, it is possible to end the tenancy early by mutual consent with the landlord. Usually they would expect you to cover some of the costs of re-letting etc, but you might be able to negotiate a better deal, e.g. by agreeing to pay 1 month's rent instead of 2. Particularly if the property is in a high demand area and the landlord thinks they can relet quickly, they may take the gamble.

Obviously so close to the end date they may decide it's not worth the hassle/risk, but no harm in asking. And there are all sorts of reasons why the letting agent might not want you to do this, so it may be worth approaching the landlord directly.

charente addick

Jodaius said:

Just one thought - whilst it is correct that you have no unilateral right to break before the end of the fixed term, it is possible to end the tenancy early by mutual consent with the landlord. Usually they would expect you to cover some of the costs of re-letting etc, but you might be able to negotiate a better deal, e.g. by agreeing to pay 1 month's rent instead of 2. Particularly if the property is in a high demand area and the landlord thinks they can relet quickly, they may take the gamble.

Obviously so close to the end date they may decide it's not worth the hassle/risk, but no harm in asking. And there are all sorts of reasons why the letting agent might not want you to do this, so it may be worth approaching the landlord directly.

The landlord may be more open to a deal if they are able to relet very quickly. Ask them if they will let you off the full two months on condition that a new tenant is found to move in almost as soon as you move out. This would require you to fully cooperate with potential viewings etc.

A bit of a long shot given the relatively short timescale but landlords do not like void periods.

Don't get into conflict with the landlord before you leave as it will lead them to get picky with deposit issues.

cabbles

charente addick said:

Jodaius said:

Just one thought - whilst it is correct that you have no unilateral right to break before the end of the fixed term, it is possible to end the tenancy early by mutual consent with the landlord. Usually they would expect you to cover some of the costs of re-letting etc, but you might be able to negotiate a better deal, e.g. by agreeing to pay 1 month's rent instead of 2. Particularly if the property is in a high demand area and the landlord thinks they can relet quickly, they may take the gamble.

Obviously so close to the end date they may decide it's not worth the hassle/risk, but no harm in asking. And there are all sorts of reasons why the letting agent might not want you to do this, so it may be worth approaching the landlord directly.

The landlord may be more open to a deal if they are able to relet very quickly. Ask them if they will let you off the full two months on condition that a new tenant is found to move in almost as soon as you move out. This would require you to fully cooperate with potential viewings etc.

A bit of a long shot given the relatively short timescale but landlords do not like void periods.

Don't get into conflict with the landlord before you leave as it will lead them to get picky with deposit issues.

I had always budgeted for paying them the Jan instalment, it is just the Feb instalment that will be a problem. Again thanks for the advice charente

Covered End

cabbles said:

charente addick said:

Jodaius said:

Just one thought - whilst it is correct that you have no unilateral right to break before the end of the fixed term, it is possible to end the tenancy early by mutual consent with the landlord. Usually they would expect you to cover some of the costs of re-letting etc, but you might be able to negotiate a better deal, e.g. by agreeing to pay 1 month's rent instead of 2. Particularly if the property is in a high demand area and the landlord thinks they can relet quickly, they may take the gamble.

Obviously so close to the end date they may decide it's not worth the hassle/risk, but no harm in asking. And there are all sorts of reasons why the letting agent might not want you to do this, so it may be worth approaching the landlord directly.

The landlord may be more open to a deal if they are able to relet very quickly. Ask them if they will let you off the full two months on condition that a new tenant is found to move in almost as soon as you move out. This would require you to fully cooperate with potential viewings etc.

A bit of a long shot given the relatively short timescale but landlords do not like void periods.

Don't get into conflict with the landlord before you leave as it will lead them to get picky with deposit issues.

I had always budgeted for paying them the Jan instalment, it is just the Feb instalment that will be a problem. Again thanks for the advice charente

Apply for a 0% credit card now & spread the repayments, without interest.

Leroy Ambrose

Don't fell like a lemon - sounds like you just didn't know about rental contracts. Standard practice for the landlord to be able to serve notice on you, and for you to pay up to an agreed date. As has been said above, if you can find a tenant to move in before your lease is up, the landlord might be amenable to this - but don't expect the letting agent to help. Obviously, the letting agent will not give a flying f*ck about your situation - all they'll care about is that they have the luxury of two months to find a new tenant for their landlord.

cabbles

Leroy Ambrose said:

Don't fell like a lemon - sounds like you just didn't know about rental contracts. Standard practice for the landlord to be able to serve notice on you, and for you to pay up to an agreed date. As has been said above, if you can find a tenant to move in before your lease is up, the landlord might be amenable to this - but don't expect the letting agent to help. Obviously, the letting agent will not give a flying f*ck about your situation - all they'll care about is that they have the luxury of two months to find a new tenant for their landlord.

Agreed mate. I genuinely misinterpreted the emails as the Landlord has the right to serve notice on the 24th Dec, he said we have no notice up to the end of the tenancy which we wrongly assumed meant that we also have a right to serve a notice, but it doesn't matter when.

This was also going on the fact (wrongly again) that previous rental agreements we've had were at a month's notice.

Where I got frustrated was that we were never given the periodic tenancy option, but again it's a lesson learned and all that and everyone who has replied has been helpful.

Robbo on the wing

There's nothing worse than an agent giving you a kick up the crown Jules.

JaShea99

My sister's tenant announced she was leaving with 4 and a half months to go on her contract. Despite the best efforts of my sister, the tenant was able to do just that, leaving my sister to wonder what the point of a contract is if there are no repercussions for breaking it.

Fiiish

JaShea99 said:

My sister's tenant announced she was leaving with 4 and a half months to go on her contract. Despite the best efforts of my sister, the tenant was able to do just that, leaving my sister to wonder what the point of a contract is if there are no repercussions for breaking it.

Unless there was some legal reason why the tenant did not have to honour the contract then the tenant opens themselves up to legal proceedings as well as their credit record reflecting they refused to pay money they owed. Most landlords also want 1-3 months rent up front as a deposit to ensure people don't go skipping off into the distance.

Athletico Charlton

Two things:

1. If you have been there 7 years you may find your rent is soft compared to the market, depends on how aggressive the agent/landlady have been on upping each year. If you are underpaying and the house is easily re-let table (the market remains very bouyant at the moment but depends on whether Xmas puts a damper) then the landlady may be keen to see you leave as she can improve her return with a new, higher rent? Worth asking/exploring with the agent anyway.

2. I am no lawyer (there are some on here) but where the agent has expressly told you in an email 'you are on no notice up to the end of your current tenancy' that does feel very ambiguous to me and I wonder whether you could use it as a loop hole. Probably not and probably not worth the grief to do so when you are only talking about a month to six weeks to sit it out but if you have a legal friend, maybe worth asking?

roseandcrown

Move on




Sorry could not resist. I hope it all works out well for you in the end.

Addicted

Athletico Charlton said:

Two things:

1. If you have been there 7 years you may find your rent is soft compared to the market, depends on how aggressive the agent/landlady have been on upping each year. If you are underpaying and the house is easily re-let table (the market remains very bouyant at the moment but depends on whether Xmas puts a damper) then the landlady may be keen to see you leave as she can improve her return with a new, higher rent? Worth asking/exploring with the agent anyway.

2. I am no lawyer (there are some on here) but where the agent has expressly told you in an email 'you are on no notice up to the end of your current tenancy' that does feel very ambiguous to me and I wonder whether you could use it as a loop hole. Probably not and probably not worth the grief to do so when you are only talking about a month to six weeks to sit it out but if you have a legal friend, maybe worth asking?

RE point 2, I think there is case law regarding contracts where verbal terms override the contract (Curtis v Chemical Cleaning). That being said, I dont know whether e-mails count, it is ambiguous and effort is probably better spent finding a short term lodger rather than challenging something that isnt clear cut.