First-tier Tribunal Determines Market Rent for Portsmouth Property

OUTCOME: Allowed in Part

FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

Case Reference

HAV/00MR/MNR/2026/0114

[ADDRESS], [POSTCODE]

Tenants

[NAME] & [NAME]

Tenants’s Representative

-

Landlord

[RESPONDENT]

Landlord’s [ADDRESS] [POSTCODE]

Landlord’s Representative

Date of Application

21 April 2026

Type of Application Determination of a Market Rent sections 13 & 14 of the Housing Act 1988

Tribunal Members [NAME] of Decision

2 June 2026

Rent Determined

£1575 per calendar month

2 Date the new rent takes effect 5 July 2026 © CROWN COPYRIGHT

REASONS FOR THE

DECISION Background 1. On 21 April 2026, the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £1600.00 per calendar month (pcm) in place of the existing rent of £1550.00 pcm to take effect from 5 July 2026.

2. On 21 April 2026, under Section 13(4)(a) of the Housing Act 1988, the Tenants referred the Landlord’s notice proposing a new rent to the Tribunal for determination of a market rent.

3. The assured tenancy commenced on 5 May 2025 for a term of 12 months. The rental period is monthly. Allocation of Repairs between Landlord and Tenants.

4. As per section 11 of the Landlord and Tenants Act 1985. Services Charges or furniture provided by Landlord (other than carpets and curtain and white goods specified below) and the costs relating to the same.

5. None Liability for Council Tax 6. The Tenants are responsible for the payment of Council Tax in respect of the Property. The rent determined is exclusive of Council Tax. Any other terms of the tenancy taken into consideration in determining the rent.

7. N/A

3 Inspection/Hearing 8. Neither party requested an oral hearing. The Tribunal has considered this case on the basis of the papers provided by the parties and its own knowledge and specialist expertise. The Property 9. The Property is a modern mid terrace house forming offering the following accommodation: Ground Floor: Entrance lobby with Cloakroom /WC off. First Floor Landing, 3 bedrooms, Bathroom /WC. Outside: Front. Small lawn at entrance. Enclosed rear garden. Garden shed. 2 parking spaces. The Property is heated by a gas combi boiler and has double glazing. The Property is situated about 5 miles to the Northwest of Portsmouth and half a mile from Porchester station. The area comprises mainly residential properties with some industrial /commercial users nearby. Evidence 10. Both the Tenants and the Landlord returned the Tribunal’s Reply forms. The Tenants.

11. The Tenants made the following comments: a) The Tenants cited several maintenance items outstanding including bathroom light not replaced, a defective bathroom downlight, broken door fitting to kitchen units, carpet in kitchen diner not fit for purpose, bedroom door handle missing and garden shed in disrepair. The Tenants a say that none of the Actions Required in the Landlords report have been attended to. b) The market evidence supplied by the Landlord does not show properties in the same category. None of the comparables is a terraced house. The property is in Paulsgrove which is inferior to Porchester.

4 12. In terms of rental evidence in support of a rent of £1450 pcm, the Tenants said there are a lot of 3 bed terraced house in the area available for £1250-£1500 and a lot in better condition. They provided 7 comparable properties in the general areas of PO 1, 4 and 5. The Landlord 13. The Landlord made the following comments: a) The property is well maintained and finished to a high specification. All previously reported maintenance issues have been addressed and completed. b) The property is in the more desirable area of Porchester, has 2 off road parking spaces and is located in a quiet cul de sac. It includes modern appliances, central heating and is well maintained by comparison with others on the market. c) The Landlord has provided a condition report dated 8 January 2026 which concludes that much of the interior requires redecoration and carpets need general cleaning and some repair.

14. The Landlord referred to the letting of an apparently identical 3-bedroom house in [ADDRESS] agreed to be let in December 2025 at £1550 pcm. Seven other comparable properties were referred to at rents of £1550 to £1795 pcm. Each was said to be within half a mile of the subject property and comprised semi-detached houses and one detached house. Determination and Valuation 15. The letting achieved in [ADDRESS] provides good evidence of market value. The other comparables provided by the Landlord are either semi-detached or detached whilst this is a terraced property. The Tenants refer to mainly older properties outside of this post code at lower rents.

16. The photographs in the Landlords condition report indicates that the house is heavily used by the tenants for example there is significant damage to decorations beyond fair wear and tear. Section 14 [c] of the Act requires the Tribunal to disregard any reduction in the value of the dwelling-house attributable to a failure by the tenant to comply with any terms of the tenancy.

17. There are some items listed which do fall under the Landlords responsibility such as issues with the condition of some carpets and the leak in the ensuite requiring repair. The Tribunal determines that an adjustment in rent should be made to reflect this.

5 18. Relying on its own expert, general knowledge of rental values in the area, and the comparables provided by the parties, the Tribunal considers that the market rental of the subject property in good order would be in the order of £1600.00 pcm. This is the rent we would expect the property to let for in the open market if it was in the general condition expected by the market on letting .

19. From this level of rent, the Tribunal has made adjustments in relation to the following: Starting Rent £1600.00 pcm Less Items given under 17 above -£25.00 £1575 Market rent £1575.00 pcm Undue hardship 20. In cases of undue hardship, the Tribunal has a discretion to fix a later starting date up to the date a Tribunal makes its determination. The Tenants have confirmed that the proposed rent would not cause undue hardship. The new rent takes effect from the date specified in the Landlord’s Notice of Increase. Decision 21. The Tribunal determines the market rent at £1575.00 per calendar month with effect from 5 July 2026. APPEAL PROVISIONS If either party is dissatisfied with this decision, they may apply for permission to appeal to the Upper Tribunal (Lands Chamber) on any point of law arising from this Decision. Prior to making such an appeal, an application must be made, in writing, to this Tribunal for permission to appeal. Any such application must be made within 28 days of the issue of this statement of reasons (regulation 52 (2) of The Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rules 2013) stating the grounds upon which it is intended to rely in the appeal.