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AllowedFirst-tier Tribunal (Property Chamber)·

First-tier Tribunal Sets Fair Market Rent for Property

Case No.

📌 In brief

The First-tier Tribunal decided on a fair market rent for a property, taking into account the property's condition and comparable rents in the area. The rent was set at £1,650 per month, effective from September 15, 2024.

⚖️ Legal holding

A tenant is entitled to a rent determination that reflects the open market value adjusted for the actual condition of the property.

Topics

rent determinationtenancy agreementmarket rent

Provisions

📖 What the law says

Housing Act 1988 s.14

Under the Housing Act 1988, section 14 allows a tenant with an assured tenancy to apply to a tribunal to challenge the rent payable under their tenancy. The tribunal will then determine a fair market rent based on what a willing landlord would charge for a similar property in the open market. The determination takes into account the periodic nature of the tenancy and adjusts for improvements or damages caused by the tenant.

Plain-English explanation — does not replace advice from a solicitor.

📖 Technical summary

The Tribunal determined a fair market rent for a property based on comparable evidence and adjustments for the current condition of the property.

📜 Headnote Official document

The First-tier Tribunal determined a fair market rent of £1,650 per month for a property, adjusting the open market value for the current condition of the property and the absence of certain amenities.

📚 Full judgment Official document

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. HAV/00HY/MNR/2024/0509

Notice of the Tribunal Decision and Register of Rents under Assured Periodic Tenancies (Section 14 Determination)

Housing Act 1988 Section 14

Address of Premises The Tribunal members were [ADDRESS] [POSTCODE]

[NAME] Mr [RESPONDENT] I [RESPONDENT]

Landlord Mrs [RESPONDENT], [ADDRESS], [POSTCODE]

Tenant Mr & Mrs [APPELLANT] & [APPELLANT]

1. The rent is: £ 1650.00 Per Calendar Month (excluding water rates and council tax but including any amounts in paras 3)

2. The date the decision takes effect is: 15 September 2024

3. The amount included for services is not applicable n/a Per n/a

4. Date assured tenancy commenced 15 February 2010

5. Length of the term or rental period Monthly

6. Allocation of liability for repairs Landlord

7. Furniture provided by landlord or superior landlord

8. Description of premises Detached 4-bedroom chalet bungalow.

[NAME] of Decision 11 November 2024

© CROWN COPYRIGHT 2024

FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : HAV/00HY/MNR/2024/0509 Property : [ADDRESS] [POSTCODE]

Tenant : Mr [COUNSEL] & Mrs [COUNSEL] :

None

Landlord : Mrs [COUNSEL] : [COUNSEL] and Wallis Type of Application :

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

Tribunal Members : Mr [NAME] R [NAME] Mr [NAME] I [NAME] of Application : 22nd August 2024 Date of Decision :

11th November 2024

DECISION

The Tribunal determines a rent of £1,650 per calendar month with effect from 15th September 2024.

HAV/00HY/MNR/2024/0509

2

SUMMARY REASONS

Background 1. On 1st August 2024 the Landlord’s Agent served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £1,750 in place of the existing rent of £1,250 per month to take effect from 15th September 2024.

2. On 22nd August 2024 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. Inspection 3. The Tribunal did not inspect the property but considered this case based on the papers provided by the parties and information freely available on the internet. Evidence

4. The Tribunal has considered the written submissions provided by the Tenant and the Landlord. Determination and Valuation 5. Having considered the comparable evidence provided by the parties and of its own expert, general knowledge of rental values in the area, the Tribunal determines that the open market rent for the property in good tenantable condition would be in the region of £1,750 per calendar month.

6. Such a tenancy would normally include white goods, carpets, curtains/blinds and associated fittings to all be provided by the Landlord.

7. In this case the property is not let in such condition or with white goods, carpets and curtains all supplied so some adjustments to the ‘open market rent’ are necessary. In particular the Tribunal has made the adjustments for the Tenants’ provision of some white goods, a dated kitchen and general wear and tear.

8. The full valuation is shown below: Full open market rent in good condition £1,750 Less deductions for:- Tenants’ provision of some white goods

£20 Dated kitchen units

£30 General wear and tear

£50

____ TOTAL RENT PAYABLE PER MONTH

£1,650

HAV/00HY/MNR/2024/0509

3 9. The Tribunal therefore decided that the rent at which the subject property might reasonably be expected to be let in the open market in its’ present condition by a willing Landlord under the terms of this assured tenancy was £1,650 per month.

10. The Tenant made no representation that the starting date for the new rent specified in the Landlord’s notice would cause the Tenant undue hardship.

11.

Accordingly, the Tribunal directed that the new rent of £1,650 per month should take effect from 15th September 2024, this being the date specified in the notice.

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:

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 tribunal determined the open market rent for the property in good condition was £1,750 per month.
  • The tribunal made a deduction because the tenants provided some white goods.
  • The tribunal made a deduction due to the dated kitchen units in the property.
  • The tribunal made a deduction for general wear and tear of the property.
  • The new rent was set to take effect from the date specified in the landlord's notice.

❌ Tends to be rejected

  • The tenant did not argue that the new rent's start date would cause them hardship.

Patterns observed in similar cases in this collection — every case is unique.

❓ Frequently asked questions

What did this decision decide?

The Tribunal set a fair market rent of £1,650 per month for the property.

Who was involved?

The tenant and the landlord were involved in the rent determination process.

How did the court decide, and why?

The court considered comparable evidence and adjusted the open market rent based on the property's condition.

Which laws or rules were applied?

The Housing Act 1988, specifically section 14, was applied.

What was the argument that mattered most?

The argument that mattered most was the need to adjust the open market rent based on the property's current condition.

Was the decision for or against the person who brought the case?

The decision was for the tenant, as the rent was adjusted downward from the landlord's proposed rent.

What does this mean for someone in a similar situation?

Someone in a similar situation should consider the condition of their property when negotiating rent with their landlord.

What evidence or documents mattered?

Written submissions from both the tenant and the landlord, as well as comparable evidence, were important.

Can a decision like this be appealed?

Yes, either party may appeal this decision if they disagree with the outcome.

Is it worth getting a solicitor for a case like this?

It is recommended to seek advice from a qualified solicitor for cases involving rent determination.

Official source: First-tier Tribunal (Property Chamber) headnote and full judgment reproduced from the court's public records. View on the official source ↗Summary, holding, technical summary and questions: produced by Artificial Intelligence based on the official headnote and judgment. These are VadeLab’s own material and are not the work of the Court.This decision was issued by the First-tier Tribunal (Property Chamber) and is reproduced from its published records. VadeLab is not affiliated with, and this page is not endorsed by, that court or tribunal.