Rent Reduced Due to Property Condition - First-tier Tribunal Decision

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. TR/LON/OOAN/MNR/2025/0642

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] [NAME]

Landlord [NAME] c/o [NAME]

Tenant [APPELLANT]

1. The rent is: £1560.00 Per month (excluding water rates and council tax but including any amounts in paras 3)

2. The date the decision takes effect is: 1 January 2025

*3. The amount included for services is

not applicable n/a Per n/a

*4. Service charges are variable and are not included

5. Date assured tenancy commenced Around May 1993

6. Length of the term or rental period periodic

7. Allocation of liability for repairs landlord

8. Furniture provided by landlord or superior landlord n/a

9. Description of premises Ground floor, three room flat with a bathroom, kitchen and a garden, no central heating.

[NAME] of Decision 18 July 2025

(c)

1

FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : TR/LON/OOAN/MNR/2025/0642 Property : [ADDRESS], [POSTCODE] Tenant : [COUNSEL] Landlord : [APPELLANT] [NAME]-[NAME] C/O [NAME] of Application : Section 13 Housing Act 1988 Tribunal Members : [NAME] [NAME] and venue of Consideration : Determination on Papers following inspection Date of Summary Reasons : 18 July 2025

_______________________________________________

DECISION

The Tribunal determines a rent of £1560.00 per calendar month with effect from 1 January 2025. ____________________________________

Full REASONS

Background 1. On 27 November 2024 the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £2700.00 per month in place of the existing rent, to take effect from 1 January 2025.

2. On 23 December 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.

(c)

2 Inspection 3. The Tribunal did inspect the property and considered the case on the basis of the papers provided by the parties. The inspection found the ground floor flat was accessed through a communal front door which provided access to a small hallway. The subject property was accessed through a further front door at ground level and the hall leads to stairs to the other first floor flat in the building. The building itself was in structurally reasonable condition however the windows, gutters elements of roof and pointing showed disrepair. Within the ground floor flat the first room reached was used as a living room, this room had limited electrical sockets, single glazed wooden sash windows in poor condition, no central heating, heating was via electric oil radiator which was the tenants. The decoration throughout the flat was tired. The next room is a bedroom in similar condition. Along the corridor there is a central room used as a lounge, this is in similar condition, with single glazed sash window and some evidence of external water leak. Further along the corridor is a bathroom with a panelled ceiling following water damage from above. The bathroom has a bath, WC and sink these are all dated. The central corridor then reaches the kitchen. The units and white goods are the tenants other than the kitchen sink and its supporting units. Beyond the kitchen is a fair-sized garden which contains the remains of a shed which appears to have contained asbestos panelling. The shed and the contents are the landlords.

Evidence 4. The Tribunal has consideration of the written submissions provided by the tenant.

The tenant’s submission

The tenant submitted a document comprising 41 points which detailed the tenant's repairs and improvements.

The tenant completed a Reply Form which identified the flat as ground floor and detailed the size of the accommodation. The flat comprises one living room, a kitchen, two bedrooms and a bathroom. The Form notes the flat has no heating, and that the tenant has installed an electric oil heater in all rooms other than the bathroom.

The landlord’s submission

The landlord notes the premises is held of a verbal periodic assured shorthold tenancy and has done so since 10 November 2021.

The submissions note one-bedroom flats have a range between £1650 to £2000 per month. With two bedrooms £2250 to £2750 per month with some “outliers” at over £3000 per month.

A note from [NAME] suggesting one-bedroom flats in the area of £2200 per calendar month, and two-bedroom flats £2500 per calendar month potentially £2750 per calendar month.

(c)

3 The landlord completed a Reply Form, noting there was no request for an inspection or a hearing. The Form is otherwise blank.

Determination and Valuation 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/its current condition would be in the region of £2400.00 per calendar month. From this level of rent we have made adjustments in relation to:

6. The full valuation is shown below:

Market Rent in good condition £2400.00 per calendar month

Less

35 % for the condition of the property and its dated specification. £840.00 per calendar month

Market rent for subject property £1560.00 per calendar month

7. The Tribunal determines a rent of £1560.00 per calendar month

Decision

8. The Tribunal 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 £1560.00 per calendar month.

9. The Tribunal directs the new rent of £1560.00 per calendar month take effect on 1 January 2025. This being the date as set out in the Landlord’s Notice of Increase. Chairman: [NAME]: 18 July 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.