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What is a tenancy agreement?

A tenancy agreement is a legally binding contract between a landlord and tenant that outlines the rights and responsibilities of both parties during the rental period. In the UK, a tenancy agreement can be either written or verbal, although having a written agreement is strongly recommended to avoid disputes and ensure clarity. At Stephensons, we often advise clients to ensure they fully understand the terms of their tenancy agreements before signing, as this document is crucial in defining the landlord-tenant relationship.

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Types of tenancy agreements

There are various types of tenancy agreements, each suited to different rental situations. The most common is the Assured Shorthold Tenancy (AST), which is typically used in the private rental sector. Other types include assured tenancies, regulated tenancies, and excluded tenancies or licenses. Understanding the type of tenancy you have is essential, as it dictates the specific rights and obligations of both the landlord and tenant.

Express terms in a tenancy agreement

Express terms are those specifically agreed upon by the landlord and tenant and are typically detailed in the written agreement. These terms can cover a wide range of issues, such as:

  • Rent: The amount of rent payable, how often it is due, and the method of payment.
  • Duration: The length of the tenancy, which could be fixed-term (e.g., six months) or periodic (rolling from one rental period to the next).
  • Responsibilities: Details about who is responsible for maintenance, repairs, and any other services provided by the landlord.
  • Restrictions: Any limitations on the tenant's use of the property, such as whether pets are allowed or if subletting is permitted.

These express terms must comply with statutory rights, meaning they cannot reduce the tenant's legal rights or impose unfair conditions.

Implied terms in a tenancy agreement

Implied terms are not explicitly stated in the tenancy agreement but are automatically included by law. These terms provide essential protections for both the landlord and tenant. Common implied terms include:

  • Right to quiet enjoyment: The tenant's right to live in the property without unnecessary interference from the landlord.
  • Maintenance and repairs: The landlord’s duty to maintain the structure of the property and ensure that essential services, like heating and water supply, are in working order.
  • Tenant-like manner: The tenant's obligation to treat the property with care, including minor maintenance tasks like changing light bulbs or keeping the property clean.

These implied terms are fundamental and cannot be overridden by the express terms in the tenancy agreement.

Rights and responsibilities of tenants

Tenants have several key rights under a tenancy agreement. These include the right to live in the property without undue disturbance, the right to have essential repairs carried out by the landlord, and the right to challenge excessive fees or unfair terms. Tenants are also responsible for paying rent on time, maintaining the property in a reasonable condition, and adhering to the terms of the agreement.

If a tenant believes that the landlord is not fulfilling their legal obligations, they may have the right to take action, such as withholding rent (in certain situations) or seeking a legal remedy through the courts.

Rights and responsibilities of landlords

Landlords also have significant responsibilities, which include ensuring the property is safe and habitable, carrying out necessary repairs, and respecting the tenant’s right to privacy. Landlords must provide certain documents to tenants, such as a gas safety certificate, an energy performance certificate, and, if applicable, details of the tenancy deposit protection scheme.

Failure to meet these responsibilities can lead to legal consequences, including fines and difficulties in regaining possession of the property.

Changing or ending a tenancy agreement

Changes to a tenancy agreement can generally only be made if both the landlord and tenant agree. These changes should be documented in writing. It’s important to note that both parties have rights when it comes to ending a tenancy. For instance, a landlord cannot evict a tenant without following the proper legal procedure, which often involves serving notice in a prescribed form and allowing a specific amount of time for the tenant to vacate.

In the case of an assured shorthold tenancy, a landlord must provide at least two months’ notice to end the tenancy after the fixed term has expired, using a Section 21 notice. Alternatively, if the tenant breaches the terms of the agreement, the landlord may serve a Section 8 notice, which could lead to eviction proceedings.

Unfair terms and discrimination in tenancy agreements

A tenancy agreement must be fair and clear. It should not contain any clauses that give the landlord an unfair advantage or bind the tenant to terms they did not fully understand. The Consumer Rights Act 2015 provides protections against unfair terms in tenancy agreements, allowing tenants to challenge clauses that may be deemed unreasonable.

Additionally, landlords must not discriminate against tenants based on characteristics such as race, gender, religion, disability, or sexual orientation. Discriminatory practices in offering, managing, or ending a tenancy are illegal and can be challenged through legal channels.

Common questions surrounding tenancy agreements

Different types of tenancy agreements

What is a assured shorthold tenancy agreement?

A shorthold tenancy agreement, also known as an assured shorthold tenancy (AST), is a type of rental contract in the UK. It grants the tenant the right to occupy a property for a specified period, usually six months or longer. The landlord retains the right to regain possession of the property after the fixed term, provided they follow the correct legal process. ASTs typically include terms about rent, responsibilities, and conditions for ending the tenancy. They offer both parties flexibility while protecting their rights.

What is a rolling tenancy agreement? (periodic tenancy agreement)

A rolling tenancy agreement, also known as a periodic tenancy, continues on a month-to-month or week-to-week basis after the fixed term of the original tenancy ends. It automatically renews until either the tenant or landlord gives proper notice to end it.

What is a licence agreement tenancy?

A licence agreement in the context of tenancy is not technically a tenancy but rather a legal arrangement where the occupier has permission (a licence) to use the property. Unlike a tenancy, it does not grant exclusive possession of the property, meaning the landlord can enter the property without notice.

Licence tenancy agreements are often used for lodgers or temporary housing situations where the occupier shares facilities with the landlord. It offers less security and fewer rights than a tenancy agreement.

What is a joint tenancy agreement?

A joint tenancy agreement is a rental contract where two or more people share the responsibilities and rights of the tenancy. All tenants are equally liable for the rent and other obligations, meaning if one tenant fails to pay, the others are responsible for covering the shortfall. Joint tenants have equal rights to the entire property, and typically, the tenancy can only be ended with the agreement of all parties or by serving notice as specified in the agreement.

What is a short term tenancy agreement?

A short-term tenancy agreement is the rental contract that covers a brief period, typically less than six months. It’s often used for temporary housing needs, such as holiday lets or short stays, and offers flexibility for both the landlord and tenant. Unlike standard tenancy agreements, short-term tenancies may have different terms regarding notice periods, rent adjustments, and renewals, reflecting the temporary nature of the arrangement.

What is a fixed term tenancy agreement?

A fixed-term tenancy agreement is a rental contract that lasts for a specific period, usually six or twelve months. During this time, the tenant has the right to stay in the property, and the landlord cannot change the terms or end the tenancy without agreement, unless there is a breach of contract.

What is a lifetime tenancy agreement?

A lifetime tenancy agreement is a type of rental contract that gives the tenant the right to live in the property for their entire life, as long as they comply with the terms. It provides long-term security, and the landlord can only end the tenancy in specific circumstances, such as serious breaches of the agreement.

There are many types of and iterations to tenancy agreements. Speak to a  solicitor at Stephensons so we can discuss which agreement is most suitable in your case. Call us on 0161 696 6170.

Can you write your own tenancy agreement?

Yes, you can write your own tenancy agreement. However, it's advisable to have a solicitor review or draft it to ensure it complies with legal requirements, is clear, and covers all necessary terms to protect both parties' interests and avoid potential disputes.

Do I need a solicitor for a tenancy agreement?

You don't legally need a solicitor to create a tenancy agreement, but it's highly recommended. A solicitor ensures that the agreement is legally sound, covers all essential terms, and protects the rights of both landlord and tenant. This can help prevent potential disputes and legal issues down the line.

Do you need a tenancy agreement to evict a tenant?

You don't necessarily need a written tenancy agreement to evict a tenant, but it is much more challenging without one. A tenancy agreement clearly outlines the terms and conditions, making the eviction process legally straightforward. Without it, you must rely on other evidence of the tenancy and follow the correct legal procedures, which can be more complicated.

Is it illegal to let a property without a tenancy agreement?

It is not illegal to let a property without a tenancy agreement in the UK, but it is highly inadvisable. Without a written agreement, both the landlord and tenant have limited legal protection, making it harder to resolve disputes, enforce rights, or evict a tenant legally. A written agreement provides clarity and security for both parties.

How long does a guarantor stay on a tenancy agreement?

A guarantor remains liable under a tenancy agreement for the duration of the tenancy, including any renewals or extensions, unless the agreement specifies a fixed term or conditions for release. It's crucial to review the terms carefully.

What happens when a six month tenancy agreement ends?

When a six month tenancy agreement ends, it usually becomes a periodic tenancy (rolling on a month-to-month basis) unless the tenant or landlord gives notice to end it, or a new fixed-term agreement is signed.

No tenancy agreement how much notice?

If there’s no written tenancy agreement, a landlord must give at least two months' notice under a periodic tenancy (rolling monthly). The tenant typically needs to give one month's notice. Notice periods may vary depending on the type of tenancy and local laws.

I don't have a tenancy agreement what are my rights?

For tenants:

Without a tenancy agreement, you still have rights, including living in a safe property, protection from unfair eviction, and receiving proper notice before leaving. You must continue paying rent and maintaining the property.

For landlords:

Even without a tenancy agreement, you have the right to receive rent on time and expect tenants to maintain the property. You must provide a safe living environment and give proper notice before ending the tenancy.

What does a tenancy agreement look like?

A tenancy agreement is typically a written document outlining the terms of a rental arrangement between a landlord and tenant. It includes key details such as the names of both parties, the rental property address, rent amount, payment schedule, deposit details, duration of the tenancy, and responsibilities of each party.

The agreement may also contain clauses about maintenance, repairs, notice periods, and any specific rules, like whether pets are allowed. The document should be signed by both parties to be legally binding.

How long is an assured shorthold tenancy agreement?

An assured shorthold tenancy (AST) agreement typically lasts for a minimum of six months, though it can be longer. After the fixed term ends, it can either be renewed for another fixed term or automatically continue as a periodic tenancy, which rolls on a month-to-month basis.

What is a break clause in a tenancy agreement?

A break clause in a tenancy agreement allows either the landlord or tenant to terminate the tenancy early, before the fixed term ends. It usually requires giving notice, often after a specified period, like six months, and must be clearly outlined in the agreement.

Who can witness a tenancy agreement?

In the UK, a tenancy agreement can be witnessed by any independent adult who is not a party to the contract. The witness must be over 18 years old, mentally capable, and should have no personal interest in the tenancy, such as being a close family member of either the landlord or tenant.

How to get a tenancy agreement?

The best way to get a tenancy agreement is to contact a solicitor to draft one. A solicitor ensures the agreement is legally sound, tailored to your specific needs, and compliant with current laws. This professional guidance helps prevent potential disputes and protects both parties' rights, offering peace of mind throughout the tenancy.

Why choose Stephensons?

At Stephensons, we understand that navigating the complexities of tenancy agreements can be challenging. Our experienced team is here to provide clear, practical advice to both landlords and tenants. Whether you need assistance drafting a tenancy agreement, resolving a dispute, or understanding your rights, we are committed to helping you achieve a fair outcome.

In conclusion, a tenancy agreement is a critical document that governs the relationship between landlord and tenant. Understanding its terms, whether express or implied, is essential for both parties. At Stephensons, we are dedicated to ensuring that our clients fully comprehend their rights and obligations, enabling them to manage their tenancies confidently and effectively. For expert advice on any tenancy-related matter, do not hesitate to contact us on 0161 696 6170.

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