First-tier Tribunal Sets Market Rent at £1,400

OUTCOME: Allowed

1 Case Reference : CAM/00KG/MNR/2023/0152 P:PAPERREMOTE Property : 1 [ADDRESS] [POSTCODE] Applicant: [redacted] Respondent : [redacted] Determination of the market rent under Section 14 Housing Act 1988 Tribunal : Mrs [NAME] and venue of : 8 April 2024 Hearing Remote on the papers after an inspection _______________________________________________

DECISION ____________________________________ The market rent is £1,400 per month with effect from 23 March 2024. © CROWN COPYRIGHT FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

2 Background 1. On 20 October 2023 the tenant referred to the Tribunal a notice of increase of rent served by the landlord under section 13 of the Housing Act 1988.

2. The landlord's notice, which was served in August 2023, proposed a rent of £1,400 per month with effect from 23 October 2023 in place of the existing rent of £800 per month.

3. The tenancy agreement which was dated 19 October 2020, was for a period of twelve months from 23 October 2020 at an initial rent of £800 per month.

4. Directions were issued by the tribunal on 5 February 2024.

5. Prior to the hearing both the landlord and the tenant sent brief submissions to the tribunal and copied them to the other party. The Inspection 6. I inspected the property on the afternoon of 8 April accompanied by the landlord and a friend. The tenant had left the property prior to 3 April, the date of the proposed eviction.

7. The property is a semi-detached house in a cul de sac of similar residential properties. The accommodation comprises a living room/dining room, kitchen, conservatory and wc on the ground floor, two double and one single bedroom and bathroom/wc on the first floor. The property is centrally heated. The handrail for the staircase was fixed to the flank wall. However there was no rail or other barrier on the opposite side of the staircase to prevent a fall into the hall.

8. A detached house with garage has been built on what was originally the side garden of the subject property. No on site car parking was available.

9. Internally the property was in fair condition although the doors to the living room and kitchen were not in situ and the slats to all the Venetian blinds and the fitted wardrobes in the front right bedroom had been removed. The kitchen units were dated, no white goods or cooker had been provided by the landlord. The Evidence 10. The tenant in written submissions, stated that the landlord had issued the notice of increase after possession proceedings had commenced. The property was said to require work to be completed, the tenant asserted that the landlord had been expected her father to carry out any

3 repairs. She could not afford to pay the increase. She did not provide any rental evidence.

11. The landlord stated that large three bedroom houses let for about £1640 per month. Possession proceedings had commenced and at a hearing on 5 January 2024 the landlord was granted possession within 14 days. The tenant had not left the property in accordance with the order and bailiffs were instructed to attend on 3 April 2024 by which time the tenant had already departed. No comparables were provided. The law 12. In accordance with the terms of section 14 Housing Act 1988 I proceeded to determine the rent at which I considered that the subject property might reasonably be expected to be let on the open market by a [NAME] under an assured tenancy.

13. In so doing I, as required by section 14(1), ignored the effect on the rental value of the property of any relevant tenant's improvements as defined in section 14(2) of that Act or any diminution in value due to the tenant not complying with the terms of the tenancy and also any items of disrepair which either the tenant had not reported to the landlord or had not allowed access for the landlord to carry out the necessary repairs. Valuation 14. In coming to my decision, I relied on my own general knowledge of houses in the Grays area since neither party had provided any comparable evidence.

15. I determined that the open market rent of the property was £1,400 per month to reflect the older kitchen units, lack of white goods, no on site parking and limited street parking due to the situation of the property. The decision 16. The rent of £1,400 per month is effective from 23 March 2024 since in accordance with section 14(7) I am satisfied that backdating the increase to October 2023 would cause the tenant undue hardship as she was in rent arrears prior to leaving the property and had stated that she could not afford to pay the increase Chairman: [NAME]: 9 April 2024

4 ANNEX - RIGHTS OF APPEAL I. If a party wishes to appeal this decision to the Upper Tribunal (Lands Chamber), then a written application for permission must be made to the First-tier Tribunal at the Regional Office which has been dealing with the case. The application should be made on Form RP PTA available at https://www.gov.uk/government/publications/form-rp-pta-application-for- permission-to-appeal-a-decision-to-the-upper-tribunal-lands-chamber II. The application for permission to appeal must arrive at the Regional Office within 28 days after the Tribunal sends written reasons for the decision to the person making the application.

III. If the application is not made within the 28-day time limit, such application must include a request for an extension of time and the reason for not complying with the 28-day time limit; the Tribunal will then look at such reason(s) and decide whether to allow the application for permission to appeal to proceed, despite not being within the time limit.

IV. The application for permission to appeal must identify the decision of the Tribunal to which it relates (i.e. give the date, the property and the case number), state the grounds of appeal and state the result the party making the application is seeking. Please note that if you are seeking permission to appeal against a decision made by the Tribunal under the Rent Act 1977, the Housing Act 1988 or the Local Government and Housing Act 1989, this can only be on a point of law. Appendix Housing Act 1988 14 Determination of rent by rent assessment committee. (1)Where, under subsection (4) (a) of section 13, a tenant refers to a rent assessment committee a notice under subsection (2) of that section, the committee shall determine the rent at which, subject to subsections (2) and (4) below, the committee consider that the dwelling-house concerned might reasonably be expected to be let in the open market by a [NAME] under an assured tenancy— (a) which is a periodic tenancy having the same periods as those of the tenancy to which the notice relates; (b) which begins at the beginning of the new period specified in the notice; (c) the terms of which (other than relating to the amount of the rent) are the same as those of the tenancy to which the notice relates; and (d) in respect of which the same notices, if any, have been given under any of Grounds 1 to 5 of Schedule 2 to this Act, as have been given (or have effect as if given) in relation to the tenancy to which the notice relates. (2) In making a determination under this section, there shall be disregarded—

5 (a) any effect on the rent attributable to the granting of a tenancy to a sitting tenant; (b) any increase in the value of the dwelling-house attributable to a relevant improvement carried out by a person who at the time it was carried out was the tenant, if the improvement— (i) was carried out otherwise than in pursuance of an obligation to his immediate landlord, or (ii) was carried out pursuant to an obligation to his immediate landlord being an obligation which did not relate to the specific improvement concerned but arose by reference to consent given to the carrying out of that improvement; and (c) any reduction in the value of the dwelling-house attributable to a failure by the tenant to comply with any terms of the tenancy. (3) For the purposes of subsection (2)(b) above, in relation to a notice which is referred by a tenant as mentioned in subsection (1) above, an improvement is a relevant improvement if either it was carried out during the tenancy to which the notice relates or the following conditions are satisfied, namely— (a) that it was carried out not more than twenty-one years before the date of service of the notice; and (b) that, at all times during the period beginning when the improvement was carried out and ending on the date of service of the notice, the dwelling-house has been let under an assured tenancy; and (c) that, on the coming to an end of an assured tenancy at any time during that period, the tenant (or, in the case of [NAME], at least one of them) did not quit. (4)In this section “rent” does not include any service charge, within the meaning of section 18 of the Landlord and Tenant Act 1985, but, subject to that, includes any sums payable by the tenant to the landlord on account of the use of furniture or for any of the matters referred to in subsection (1) (a) of that section, whether or not those sums are separate from the sums payable for the occupation of the dwelling- house concerned or are payable under separate agreements…. (7)Where a notice under section 13(2) above has been referred to the appropriate tribunal, then, unless the landlord and the tenant otherwise agree, the rent determined by the appropriate tribunal … shall be the rent under the tenancy with effect from the beginning of the new period specified in the notice or, if it appears to the appropriate tribunal that that would cause undue hardship to the tenant, with effect from such later date (not being later than the date the rent is determined) as the appropriate tribunal may direct.