First-tier Tribunal Sets Market Rent for Basement Flat
📌 In brief
The First-tier Tribunal decided on the market rent for a basement flat in good condition, setting it at £1,500 per month. This decision was based on comparable evidence and adjustments for the property's characteristics.
⚖️ Legal holding
A tenant is entitled to a rent that reflects the open market value adjusted for the property's characteristics.
📖 What the law says
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 the tenancy. The tribunal will then determine the rent based on what a willing landlord would charge in the open market for a similar property, taking into account the property's characteristics and the terms of the existing tenancy.
Plain-English explanation — does not replace advice from a solicitor.
📖 Technical summary
The Tribunal determined the market rent for a basement flat in good condition to be £1,500 per month.
📜 Headnote Official document
The Tribunal determined the market rent for a basement flat in good condition to be £1,500 per month after considering comparable evidence and adjusting for the property's characteristics.
📚 Full judgment Official document
OUTCOME: Allowed
MR22 First-tier Tribunal – Property Chamber File Ref No. LON/00BK/MNR/2025/0753
Notice of the Tribunal Decision and Register of Rents under Assured Periodic Tenancies (Section 14 Determination or Section 22 Determination)
Housing Act 1988 Section 14
Address of Premises The Tribunal members were 36 [ADDRESS] [POSTCODE]
Judge [NAME]
Landlord [NAME] 45 [ADDRESS], [POSTCODE]
Tenant [NAME]
1. The rent is: £ 1500 Per month (excluding water rates and council tax but including any amounts in paras 3)
2. The date the decision takes effect is: 1 May 2025
*3. The amount included for services is not applicable none Per
5. Date assured tenancy commenced 19 January 2021
6. Length of the term or rental period 6 months
7. Allocation of liability for repairs As per the tenancy agreement
8. Furniture provided by landlord or superior landlord White goods
9. Description of premises Basement flat comprising one bedroom, living room/ kitchen, bathroom
Chairman Andrew Dutton Date of Decision 12 August 025
(c)
FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : LON/00BK/MNR/2025/0753 Property : 36 [ADDRESS] [POSTCODE] Tenant : [NAME] Landlord : [COMPANY] of Application : Section 13 Housing Act 1988 Tribunal Members : Judge [NAME] and venue of Consideration : Paper determination on 12 August 2025 Date of Summary Reasons : 13 August 2025
_______________________________________________
DECISION
The Tribunal determines a rent of £1,500 per calendar month with effect from 1 May 2025 ____________________________________
2 SUMMARY REASONS
Background 1. On 27 February 2025 the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £1,330.25 in place of the existing rent of £ 1,289 per month to take effect from 1 May 2025 2. On 21 March 2025 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. The Tenant’s referral was received by the Tribunal on 24 March 2025 Inspection 3. The Tribunal did not inspect the property but considered this case on the basis of the papers provided by the parties. Evidence 4. The Tribunal has consideration of the written submissions provided by the Tenant and has noted the letter from [NAME] advising that their view was that the market rent was £1800 but was reduced by 80% to the figure of £1,440 but further reduced to £1,330.25 as a result of the cap placed upon it by [NAME].
5. Mr [NAME] sent in an undated written submission the contents of which we have noted. Determination and Valuation 6. Having consideration of the comparable evidence proved by the tenant and of our own expert, general knowledge of rental values in the area, we consider that the open market rent for a one bedroomed property in good tenantable condition be in the region of £1800 per calendar month. From this level of rent we have made adjustments in relation to the location of the property in the building (basement with limited natural light) and conclude that an open market rent for this property would be in the region of £1,500 per month.
7. The property is let on the terms of an AST with no real obligations on the tenant’s behalf save as set out in the agreement. We therefore do not consider there would be any further deductions to make.
8. The Tribunal determines a rent of £1500 per calendar month.
3 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 £1,500 per calendar month/week.
9. The Tribunal directs the new rent of £1,500 to take effect on 1 May 2025, there being no evidence of undue hardship on the tenant’s behalf. This being the date as set out in the Landlord’s Notice of Increase
Chairman: Judge Dutton
Date: 13 August 2025
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) Rent Determination for Assured Tenancy Under Housing Act 1988
- First-tier Tribunal (Property Chamber) Rent Adjustment Based on Property Condition - First-tier Tribunal Decision
- First-tier Tribunal (Property Chamber) Rent Determination for Assured Periodic Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent for Property
- First-tier Tribunal (Property Chamber) First-tier Tribunal sets new rent for assured periodic tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Adjusts Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Adjusts Rent Based on Property Condition
- First-tier Tribunal (Property Chamber) Rent Determination for Assured Periodic Tenancy
- First-tier Tribunal (Property Chamber) Rent Adjustment for Assured Tenancy: Factors Considered
- First-tier Tribunal (Property Chamber) Tribunal Sets New Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets New Rent of £2,200 Per Month
- First-tier Tribunal (Property Chamber) Rent Reduced Due to Property Condition - First-tier Tribunal Decision
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 open market rent for a one-bedroom property in good condition was considered to be around £1800 per month.
- The property's location in the building, being a basement flat with limited natural light, justified a reduction in rent.
- The Tribunal used its own expert knowledge of rental values in the area to determine the rent.
- The new rent was directed to take effect from May 1, 2025, as there was no evidence of undue hardship for the tenant.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The market rent for a basement flat in good condition was set at £1,500 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 based on comparable evidence and adjusted for the property's characteristics.
Which laws or rules were applied?
The Housing Act 1988 was applied in determining the market rent.
What was the argument that mattered most?
The argument that mattered most was the comparable evidence provided by both parties.
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 should gather comparable evidence to support their case.
What evidence or documents mattered?
Comparable evidence and the property's characteristics were important.
Can a decision like this be appealed?
Yes, decisions like this can be appealed within a month of the decision.
Is it worth getting a solicitor for a case like this?
It is always recommended to seek advice from a qualified solicitor for such cases.
