First-tier Tribunal Adjusts Rent After Considering Property Condition
📌 In brief
In a recent case, the First-tier Tribunal adjusted the proposed rent from £1550 to £1470 per month after considering the property's condition and local rental values. The decision was made by Judge Daley on 28 November 2024.
⚖️ Legal holding
A tenant is entitled to a fair market rent adjustment based on the property's condition and local rental values.
📖 What the law says
This section allows landlords to propose increases in rent for assured periodic tenancies, provided they follow a prescribed notice procedure. The notice must specify a new rent and a future period when the increase would take effect, which must be at least two months after the notice is served. Additionally, if the rent has been previously increased, the next increase can only be proposed after a certain period, depending on the type of tenancy.
This section permits tenants to apply to a tribunal to challenge the rent payable under their assured tenancy. The tribunal will then determine a fair market rent based on the open market conditions, considering factors like the tenancy periods and terms, and disregarding certain elements like improvements made by the tenant or reductions due to non-compliance.
Plain-English explanation — does not replace advice from a solicitor.
📖 Technical summary
The Tribunal adjusted the proposed rent after considering the property's condition and market value.
📜 Headnote Official document
The Tribunal adjusted the proposed rent of £1550 to £1470 per month after considering the property's condition and local rental values. The decision was made by Judge Daley on 28 November 2024.
📚 Full judgment Official document
OUTCOME: Allowed
1
Case Reference
: LON/00AJ/MNR/2024/0616
Property : [ADDRESS], Acton Ealing London W3 60A
Tenant
: [NAME] [APPELLANT] [NAME]
Landlord : [NAME] [APPELLANT] of Objection : 14 August 2024
Type of Application : Determination of a Market Rent sections 13 & 14 of the Housing Act 1988
Tribunal
: Judge [NAME], FIRPM
Date of Summary Reasons
: 28 November 2024
_______________________________________________
DECISION
The Tribunal determines a rent of £1470 per calendar month with effect from 28 November 2024 ____________________________________
FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)
2 © CROWN COPYRIGHT 2023
SUMMARY REASONS
Background 1. On 22 July 2024 the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £ 1550.00 in place of the existing rent of £ 1485.00 per month to take effect from 24 September 2024.
2. On 14 August 2024 under Section 13(4)(a) of the Housing Act 1988, the Tenant referred the Landlord’s notice proposing a new rent to the Tribunal for determination of a market rent. Although the application was dated 14 August 2024,the Tenant’s referral was date stamped as received by the Tribunal on 13 August 2024.
Inspection 3. The Tribunal has carried out an inspection of the property on 28 November 2024. The premises was a terraced house comprising a living room, kitchen, Bathroom/WC, 2 Bedrooms and a small terraced garden. Evidence 4. The Tribunal has consideration of the written submissions provided by the Tenant and/the Landlord.
Determination and Valuation 5. Having consideration the evidence proved by the parties and of our own expert, general knowledge of rental values in the area, we consider that the open market rent for the property in good tenantable condition would be in the region of £2200 per calendar month. From this level of rent we have made adjustments in relation to:
The dated kitchen and bathroom, the outdated electricals and lack of white goods and the current condition of the premises ( the premises was in need of modernisation. This resulted in any adjustments to the rent.
6. The full valuation is shown below:
per calendar month Market Rent
£2100
Less Kitchen 10% Bathroom 5% Lack of modern electrical fittings and white goods 5% Existing condition 10%
)
) approx. 30 %
£1470.00
3 7. The Tribunal determines a rent of £1470 per calendar month this equates to £339.00 per week.
Decision 8. The Tribunal therefore determined that the rent at which the subject property might reasonably be expected to be let in the open market by a willing Landlord under an assured tenancy was £1470 per calendar month.
9. The Tribunal directs the new rent of £1470 PCM to take effect on [28 November 2024. The Tribunal was satisfied that a starting date of that specified in the Landlord’s notice would cause the tenant undue hardship.
Chairman: Judge Daley
Date: 28.11.24
APPEAL PROVISIONS
These summary reasons are provided to give the parties an indication as to how the Tribunal made its decision. If either party wishes to appeal this decision, they should first make a request for full reasons and the details of how to appeal will be set out in the full reasons. Any request for full reasons should be made within a month. Any subsequent application for permission to appeal should be made on Form RP PTA.
📊 How courts decide similar cases
Among 12 similar decisions in this collection:
- First-tier Tribunal (Property Chamber) Tenant Wins Rent Adjustment Based on Property Condition
- First-tier Tribunal (Property Chamber) First-tier Tribunal Adjusts Rent Based on Property Condition
- First-tier Tribunal (Property Chamber) Tribunal Sets New Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) Tribunal Sets Fair Market Rent for Property
- First-tier Tribunal (Property Chamber) Rent Reduced to £2,500 Due to Property Condition
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent for Property
- First-tier Tribunal (Property Chamber) Market Rent Set at £840 per Month for Assured Tenancy
- First-tier Tribunal (Property Chamber) Tribunal Determines Fair Market Rent for Tenant
- First-tier Tribunal (Property Chamber) Tribunal Sets Market Rent of £1,800 for Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Adjusts Rent Based on Property Condition
A snapshot of this collection — not a prediction of your case's outcome.
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The tenant is entitled to a fair market rent adjustment.
- The adjustment is based on the property's condition.
- Local rental values and comparisons are considered.
- The rent must reflect current market conditions.
- Adjustments can be made for specific conditions of the property.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tribunal adjusted the proposed rent from £1550 to £1470 per month.
Who was involved?
The tenant and the landlord were involved in the dispute over the rent.
How did the court decide, and why?
The court decided to adjust the rent based on the property's condition and local rental values.
Which laws or rules were applied?
The Housing Act 1988 sections 13 and 14 were applied.
What was the argument that mattered most?
The argument that mattered most was the condition of the property and its comparison to local rental values.
Was the decision for or against the person who brought the case?
The decision was for the tenant.
What does this mean for someone in a similar situation?
Someone in a similar situation may also seek an adjustment in rent based on the property's condition and local rental values.
What evidence or documents mattered?
The condition of the property and local rental values were key pieces of evidence.
Can a decision like this be appealed?
Yes, decisions like this can be appealed within a month of receiving the summary reasons.
Is it worth getting a solicitor for a case like this?
It is always recommended to get advice from a qualified solicitor for such cases.
