Rent Reduced to £2,500 Due to Property Condition

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. HS/LON/00AQ/MNR/2024/0167

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 67 [ADDRESS] ,[POSTCODE]

[NAME] Mr [RESPONDENT] JP

[RESPONDENT] 401A [ADDRESS], [POSTCODE]

[NAME]

1. The rent is: £ 2,500 Per Month (excluding water rates and council tax but including any amounts in paras 3)

2. The date the decision takes effect is: 24th March 2024

*3. The amount included for services is not applicable

Per

*4. Service charges are not included.

5. Date assured tenancy commenced 24th December 2021

6. Length of the term or rental period Statutory Periodic Tenancy

7. Allocation of liability for repairs In accordance with agreement

8. Furniture provided by landlord or superior landlord None

9. Description of premises A 1930s built semi detached house with loft conversion, rear garden and off-street parking located in established road. Accommodation comprises: two living rooms, kitchen/breakfast room, 4 bedrooms, 3 bathrooms /shower rooms.cloakroom.

[NAME] of Decision 23rd October 2024

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Case Reference

: LON/OOAQ/MNR/2024/0167

Property : 67 [ADDRESS], [POSTCODE]

Tenant

: [APPELLANT]

Landlord : [COMPANY] of Objection : 10 June 2024

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

Tribunal

: Mr [NAME] Mr [NAME] JP

Date of Summary Reasons

: 23rd October 2024

_______________________________________________

DECISION

The Tribunal determines a rent of £2,500 per calendar month with effect from 23th March 2024. ____________________________________

FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

2 © CROWN COPYRIGHT 2023

SUMMARY REASONS

Background

1. On the 6th February 2024 the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £3,050 per month in place of the existing rent of £2,210 per month to take effect from 24th March 2024.

2. The Tenants application is dated the 21st March 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.

3. The Tenant has lived at the property since 24th May 2015 under an Assured Shorthold Agreement of that date which was renewed on the 24th of December 2021.

6. This case was originally to be considered on the papers dated 18th September 2024. However, upon further consideration the Tribunal was of the opinion there was a dispute of facts regarding the use of the loft conversion, and as such, the application was not appropriate for determination on the papers and the matter was set down for an inspection.

Inspection

3. The Tribunal arrived at the property on the 23rd October 2024 at around 11.30am in the presence of the tenant.

Evidence

5. The Tribunal has consideration of the written submissions provided by the landlord and tenant together with comparable evidence from the landlord together with photographs.

6 The first matter for the Tribunal to consider is the allegation from the Tenant stating that the loft conversion can only be used as a study, as the shower fittings are leaking. The Tribunal has considered this matter and it found that this room can certainly be used as a bedroom as well as a study. The dormer window has double glazed windows which can be opened and provide adequate ventilation.

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Determination and Valuation

7. Firstly, having consideration of the comparable evidence together with our own expert, general knowledge of rental values in the Hayes area, we consider that the open market rent for the property in its current condition would be £2,700 per month.

8. The Tribunal now needs to adjust this rent to allow for the poor internal condition of the property, the leaking sanitary fittings and damp staining to plasterwork. Using its own expertise upon the inspection, the Tribunal considers that a deduction of £200 should be applied. This reduces the rental figure to £2,500 per month.

Decision

9. The Tribunal therefore determines 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 in its current condition is £2,500 per calendar month.

10. The Tribunal directs the new rent of £2,500 to take effect on the 24th March 2024. This being the date set out in the Landlord’s Notice of Increase and the Tribunal was satisfied that a starting date of that specified in the Landlord’s notice would not cause the tenant undue hardship.

Chairman: [NAME]: 23rd October 2024

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 subsequent application for permission to appeal should be made on Form RP PTA.