Rent Adjustment for Assured Tenancy Based on Property Condition

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. LON/00BJ/MNR/2025/0628

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 40 [ADDRESS], [POSTCODE]

R [NAME] C Piarroux JP

Landlord AH St [NAME] [NAME], [ADDRESS], Hampshire, [POSTCODE]

Tenant Mrs [APPELLANT]

1. The rent is: £ 609.00 Per week (excluding water rates and council tax but including any amounts in paras 3)

2. The date the decision takes effect is: 09 December 2024

*3. The amount included for services is/is

negligible/not applicable n/a Per n/a

*4. Service charges are variable and are not included

5. Date assured tenancy commenced Periodic tenancy

6. Length of the term or rental period Periodic tenancy

7. Allocation of liability for repairs Landlord external structural

8. Furniture provided by landlord or superior landlord none

9. Description of premises Semidetached house built around 1890 5 bedrooms – poor internal condition

Chairman R [NAME] of Decision 12 May 2025

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FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : LON/00BJ/MNR/2025/0628 Property : 40 [ADDRESS], [POSTCODE] Tenant : Mrs [APPELLANT] Landlord : AH St Pier Type of Application : Section 13 Housing Act 1988 Tribunal Members : [NAME] [NAME] C Piarroux JP Date and venue of Consideration : Hearing at [ADDRESS] Offices with later inspection. Date of Summary Reasons : 12 May 2025

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DECISION

The Tribunal determines a rent of £609.00 per week with effect from 9 December 2024. ____________________________________

Full REASONS

Background 1. On 6 November 2024 the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £900.00 per week in place of the existing rent of £554.00 per week to take effect from 9 December 2024.

2. On 29 November 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. The Tenant’s referral was received by the

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2 Tribunal on 5 December 2025. No copy of a tenancy agreement was supplied, the tenant noting none was supplied by the landlord.

3. The tenant succeeded the tenancy from their parents' regulated tenancy and holds a secure assured tenancy from 2009.

4. The current rent of £554 per week is a result of a determination by the tribunal on 25 March 2024. This related to the rent payable from the date of the previous notice which was 4 December 2023.

5. The hearing was carried out by remote video. For the Applicant Tenant, Mrs [APPELLANT] was present and supported by her son Mr [RESPONDENT]. For the Respondent Landlord, Mr [RESPONDENT] accompanied by the property manager who manages the property Ms [NAME].

Inspection 3. The Tribunal did inspect the property. The property description is carefully set out in the tenants Reply Form and it accorded with the condition found by the tribunal. The tribunal would add that the exterior of the property looks sound and well maintained and the roof new. It is understood from the papers that the exterior of the property was repaired in or around 2023.

The property was originally constructed as a five-bedroom semidetached house with three reception rooms, and kitchen, three bedrooms on the first floor with a bathroom and WC and two further bedrooms in the attic. One room at first floor level however is currently used as a kitchen / breakfast room.

During the inspection, Mrs [NAME] was present and as was her son.

Evidence 4. The Tribunal has consideration of the written submissions provided by the Tenant and the Landlord. These have been considered in full, and the details not replicated within the tribunal decision in detail.

The tenant supplied as completed Reply Form requesting an inspection and a hearing. The form identified the property as a three-storey house, on the ground floor a living room, kitchen, on the first, a second living room, bedroom and bathroom, and on the second-floor bedroom 2 and 3.

The tenant contends the property has damp issues cracking, partial central heating only partial double glazing. The tenant also submitted photographs of the interior and exterior of the property.

The landlord submitted a schedule of rental properties details which were contended as comparable, £4600 to £7000 per calendar month.

A letter dated 4 December 2023 noting completion of roof works and double- glazing works.

A copy of an Electrical installation certificate.

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A completed Reply Form.

A written submission – the contents of which are noted. The submission notes “ the condition of the property has not changed since last year and internally it doesn't present well.”

Submissions from the landlord gave details of comparables in the vicinity whose rent achieved ranged from £4600 to £7000.00 per calendar month.

A valuation is included which starts at £ 7000 per month and then with adjustments reaches £5885 pcm.

The Hearing

Applicant Tenant Submissions

The Property

The Applicant Tenant Mrs [APPELLANT] supported by her son Mr [APPELLANT] gave an overview of the nature and condition of the property which accords with the completed Reply Forms and Inspection. In addition, it was noted by Mrs [NAME] that the property whilst built as one house and currently occupied as one house had at one stage in its life accommodated two families. This had resulted in there being two sets of services installed, and s two sets of standing charges were payable by the occupier.

The Rent

The Applicant Tenant did not have a view of what rent the property would command in a contemporary condition. However, Mrs [NAME] pointed out that the subject property was in a layout as built and had not been reconfigured to meet modern contemporary living requirements.

Hardship

The Applicant noted that previously there had been three children living with Mr and Mrs [NAME] in the property. Two, it was understood had moved out, leaving Mr [NAME] her son. In terms of income Mrs [NAME] noted that both her and her husband had state pensions, in addition her husband had a private pension. Mr [NAME] her son was currently looking for work. Mrs [NAME] and her son confirmed that neither was in receipt of housing benefit, and informed the tribunal they were not eligible.

Landlord Respondent Submissions

The Property

The Applicant landlord described the outside works to the property which he said was in good order. In terms of the inside, the landlord contended that he

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4 was willing to undertake a repairing programme inside but that the tenant had frustrated access and as a consequence the inside was in a poor state.

The Rent

The landlord submitted the tribunal should determine the valuation that had been set out in his submission.

Per month

Comparable Market Rent £7000

Less discounts bst £750

WC to ground floor £25

Second Bathroom £50

Internal amenity £ 150

White goods/ carpets £ 210

Addition semidetached £50

Rental value £ 5865 per month

Determination and Valuation

The Property

The property internally is set out in the original Victorian layout which differs from modern contemporary living in particular number of bathrooms and size of kitchen. The Rent

The tribunal has made adjustments for (a) difference from modern layout and (b) internal condition and specification including two sets of services

Open market Rent 5. Having consideration of the comparable 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 and the existing layout would be £4500 per month.

6. The full valuation is shown below:

per calendar month Market Rent

£4400.00

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5 Less Deductions 40% £1760.00 No central heating Partial double glazing Inadequate electrical installation by modern standards Kitchen is inadequate by modern standards Bathroom is inadequate by modern standards Damp in places and defective plaster

Net Rent

£2640.00

Weekly equivalent of rent £609.23

The tribunal therefore determines that the market rent value of the property should be £609.00

Hardship

The tribunal was in various oral evidence on income sources of the Applicant tenant and wider family. The tribunal heard that the family is not in receipt of housing benefit. The tribunal did not have details of the additional source of income in the form of a private pension held by Mr [NAME] senior. Nor did the tribunal understand why housing benefit was not obtainable. In the circumstances the tribunal determines the case for hardship has not been made.

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 £609.00 per week with effect 9 December 2024.

9. The Tribunal directs the new rent of £609.00 per week to take effect on 9 December 2024. This being the date as set out in the Landlord’s Notice of Increase.

Chairman: R [NAME]: 12 May 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.