Setting-up a “bullet-proof” tenancy in 2018

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Assured Shorthold Tenancy:

Under new rules introduced over the last couple of years, setting up a “bullet-proof” AST in 2018 is a bigger challenge that in the past, but it need not be all that difficult if you know exactly what’s required.

Get it wrong though, and you could be permanently lumbered with a bad tenant if you have problems and in the unfortunate event that you need to evict; with something like 20,000 possession claims every year in the UK, the risk is not insignificant.

This article applies primarily to English law. Although tenancy laws are similar in other jurisdictions, there may be significant differences. Always seek professional advice before making or not making important decisions.

The key to avoiding this sort of trouble and being in a position to use Section 21 to enforce an efficient eviction, you need two things:

1. You have completed and served all the correct paperwork
2. You have proof that you did that.

Many landlords forget the crucial second point, because if a tenant denies having received something, your court application will be dismissed and you can say goodbye to your £325 court fee – back to square one with rent arrears racking up.

In order to retain the considerable benefits of using the “no-fault” Section 21 eviction process, Parliament has introduced several conditions that landlords / agents must comply with. These hurdles are designed to weed out rogue landlords and generally improve the quality of lettings for tenants.

A bullet proof tenancy is also of course reliant on following a rigorous tenancy selection process: www.tenantverify.co.uk 

These new rules apply to tenancies commencing on or after the 1^st October 2015, and will apply to all existing tenancies after 1^st October 2018.

Critical Documentation

These are the documents you must give your tenant if your new tenancy is to be bulletproof:

Documents can be served via email providing the tenant has agreed to accept them in that way (clause in the agreement), but the full document must be supplied, not just a link to a website.

It is preferable and recommended that items 1 to 5 be physically incorporated (attached to) the tenancy agreement so there can be no argument as to what has been supplied and received. A full copy of the whole should also be supplied to any guarantor involved.

Download a selection of useful free and paid-for documents, agreements, forms, letter templates and checklists here: https://www.landlordzone.co.uk/documents and here https://www.tenantverify.co.uk/useful-documents.html

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